Car insurance premium

[jackie0]

Hi there,
I passed my driving practical test in February (I'm over 25 yrs). I rang my insurance company as soon as I passed, thinking my insurance premiums were going to go down immediately. But my insurance company said the way it works it that it doesn't go down and won't go down until November when it was time for renewal. Is this true or where they just trying to cheat me?

[london hippo]

i think u should put this in motoring as you may get more answers.

[Loosehead]

No, standard practice, premiums are for a year even if you actually pay monthly. It works both ways, if something happens that adds to the premium it will not happen until renewal.

[JudgeJ]

And in any case, what makes you think that you present less of a risk (which is what determines the premium charged) simply because you have passed your test? If anything you may present more of a risk because you are, suddenly, no longer forced to drive under supervision.

You may well find that your insurers do not reduce your premium (apart from any no-claims discount you may earn) until you have held a full licence for some time.

[buildersmate]

However ...................
There is some bit of legislation (I believe) that the FSA produced that forces insurers to refund your premium proportion if you cancel it. In the old days, insurers just told you that once you had had more than 6 months of a 12 months policy, you lose the rest if you cancel. Therefore, find out what a new 12 months policy cost would be for yourself, then find out whether what I am saying is valid (they may charge you a small fee (�20?) to cancel. It may worth cancelling and starting anew policy.

[jackie0]

Ok, thank you all for this information. I'll find out how much a new one will cost.