Which Level of Car Insurance?

Car insurance is a legal requirement and without it you could end up in prison or faced with a hefty fine and a driving ban. People who drive without car insurance are not only putting themselves at risk but others too.

When it comes to buying car insurance there are several different components to take into account. Whether it is your first car, where the car will be parked, how much you can afford to spend; these are all factors that need to be considered when buying car insurance. There are three main types of car insurance and which one is right for you will depend on your situation.

The three main levels of car insurance cover are:


Third Party


Third party car insurance cover is the absolute minimum level that is legally required. The cheapest of all three options, third party car insurance policies are often taken out by first time drivers that are teenagers without much money to spend on insurance and whose cars are not worth much money. Third party car insurance covers for:

  • Injuries to other people including passengers in your vehicle.
  • Damage to other peoples' property/vehicle

Third party car insurance does not cover for:

  • Damage to your property/vehicle caused by you.
  • Theft of your vehicle.

Third party only car insurance is usually recommended to people whose vehicles are worth less than £500 and is ideal if money is tight and you are not bothered about damage to your vehicle.


Third Party Fire and Theft


This is the next level of car insurance and pretty self explanatory. Third party fire and theft car insurance is advised for drivers whose cars are not worth too much but would rather pay the insurance excess than the cost of the car if they had to replace it. Third Party Fire and Theft car insurance covers for:

  • Injuries to other people including your passengers.
  • Damage to other peoples property/vehicle.
  • Theft of your vehicle.
  • Damage to your vehicle caused by fire.

Third Party Fire and Theft car insurance does not cover for:

  • Damage to your vehicle caused by you.


Fully Comprehensive


This is the most inclusive level of cover and is recommended for drivers whose cars are worth in excess of £3,000. Unlike third party cover, fully comprehensive covers for most issues that occur as a result of an accident or damage to your vehicle. Fully comprehensive car insurance does cost the most but the excess is often less than on third party car insurance and in the event of damage or an accident you will get more financial assistance. Fully Comprehensive car insurance covers for:

  • Injuries to other people including your passengers
  • Damage to other peoples property/vehicle
  • Theft of your vehicle
  • Damage caused by fire to your vehicle
  • Accidental damage to your vehicle
  • Personal accident benefits
  • Medical expenses
  • Loss of or damage to personal items in vehicle

It is important to remember that not all car insurance policies are the same - all will cover the basics, but different companies will vary what they offer. For example, some may offer car breakdown cover and a courtesy car as standard on their comprehensive policy, while others may charge extra; because of these inconsistencies, it pays to know which type of car insurance you need for your purpose and to shop around for the best deal.


Once you have decided which level of car insurance you want there are a few other things to take into account. Most car insurance providers will charge extra for legal expense cover, depending on your level of insurance, you must decide if this is necessary or not - legal costs can soon add up in the event of an accident. Another optional extra is often protection for your 'no claims bonus', which can prove useful in the event of an accident. Again, some companies add this to car insurance policies as standard but it is important to check.


Finally, most car insurance providers will expect you to pay an excess in the event of a claim. This means that before the car insurance company pay out you must pay the amount set which can vary greatly depending on your age and experience. Because the excess can often be more than the damage caused it is important to take this into account when shopping around for car insurance quotes.

Compare - Car Insurance Comparison Website Quotes
Provided via:Total Number of InsurersWomens Car InsurersYoung Driver InsurersOver 50 Car InsurersGet Quotes
110YesYesYesGet Quotes >

Compare deals to find affordable car insurance that's right for you.

Compare - Latest Car Insurance Deals
ProviderSpecial OffersGet Quotes

5 Star Car Insurance from £196* - You could save up to 20% online.
10% of customers are expected to receive the maximum saving.

Get Quotes >
Save up to £917 on Car Insurance.

(10% of consumers achieve this saving. Based on an independent research by Consumer Intelligence during 01 August-31st August 2016.)
Multicar discount - minimum premiums apply. Guaranteed Hire Car cover comes as standard with our comprehensive motor insurance. Underwritten by U K Insurance Limited

Get Quotes >
Car Insurance from £190.
10% of new customers paid £190 or less (Aug '15 – Jul '16). Key features of comprehensive cover: Courtesy car included, European cover, Uninsured driver promise, £30 off car insurance available to current account customers, up to £200 personal belongings cover, UK-based call centres. Nationwide car insurance is provided by Liverpool Victoria Insurance Company Limited (LV=)
Get Quotes >

Don’t get caught out when you break down. Churchill offers free breakdown cover to new Motor customers
First year Breakdown service (roadside only), provided by Green Flag, new policies only. Excludes N.I . Breakdown chargeable at renewal. Underwritten by U K Insurance Limited. Terms & conditions apply

Get Quotes >
Multi Car Insurance - You could save £318†
Great cover if you need to insure more than one car
Get Quotes >

Comprehensive cover available from just £152 a year**.
5 Star Rated Comprehensive Cover, you'll benefit from the following as standard: Uninsured driver cover, Vandalism cover, Guaranteed replacement car, Emergency any driver cover, Cover for driving in the European Union for an unlimited period.

Get Quotes >

97% of customers would buy again from LV= (verified by Reevoo)

Benefits include UK call centres, 24/7 claims helpline, unlimited cover for factory fitted phone, audio and sat nav equipment, and replacement child car seats. Plus optional extras, such as motor legal expenses, guaranteed courtesy car, European car insurance cover, increased personal accident cover and breakdown cover.

Get Quotes >
Confused.com compare prices from over 130 motor insurance providers to find you their best dealGet Quotes >
Save up to £230 on your car insurance (51% of consumers could achieve a saving of up to £229.96 with Gocompare.com car insurance based on a comparison of at least 40 companies)Get Quotes >

Save 15% Online††
No claims discount up to 75%.

Get Quotes >
5 Star car insurance from £222***
Uninsured driver promise. Courtesy car as long as your car is being repaired.
Get Quotes >

Get Comprehensive Car Insurance Quotes Online.

Get Quotes >

 * 10% of customers buying comprehensive car insurance with us from October 2014 to December 2014 paid this price or less for our standard cover (excluding optional extras). The price you will pay depends on individual circumstances, cover chosen and payment method. Our Defaqto 5 Star Rating gives you independent expert reassurance about the quality of cover we provide as well as options to tailor your cover. Discount depends on individual circumstances and does not apply to optional extras. Minimum price applies.