Motorists across the UK could slash their annual car insurance bill by an average of £1,371 simply by timing their renewal correctly, according to new analysis.
The 'Sweet Spot' for Renewal Savings
Experts at Money Saving Expert (MSE), the consumer website founded by BBC and ITV star Martin Lewis, have identified an ideal window for securing the cheapest quotes. Their data indicates that the optimal time to shop for a new policy is 20 to 27 days before your current cover is due to expire.
MSE states that this specific timing can reduce insurance expenses by more than 50%. They pinpoint the single best day to act: 26 days before your renewal date. Leaving it later is seen as a sign of disorganisation by insurers, while getting quotes too early—more than 28 days out—can also push prices up as fewer providers are willing to quote.
How the Savings Add Up
The stark difference in cost is revealed by an analysis of over one million quotes from January to April 2024, sourced from MoneySuperMarket. On the day of renewal itself, the average annual policy cost was a hefty £2,277.
However, for those who got their quote at the optimal 26-day point, the average annual price plummeted to just £906. This represents a massive saving of £1,371 for the same level of cover.
Insurers typically send renewal notices around 28 days before a policy ends. If a driver takes no action, the policy will usually renew automatically at the new, often higher, price. MSE advises all drivers to diarise their renewal date to ensure they have time to shop around within this crucial window.
Real-World Success Stories
The strategy has already delivered significant savings for MSE readers. One reader, Hayley, reported that after following the advice and renewing three weeks early, her monthly premium dropped from £108 to £51, saving her £684 over the year.
"Checked the comparisons later and it went back to £100," she noted, highlighting the importance of timing. Another reader, Cara, saved over £690 by getting quotes 24 days before her renewal date.
The clear message from the experts is that being proactive and organised with your car insurance renewal is one of the easiest ways to keep motoring costs under control. Marking that date and getting quotes during the 20-27 day 'sweet spot' could put hundreds of pounds back in your pocket.
