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1. Shop around for the best car insurance

This is the number one way to save on car insurance. Savings of hundreds of pounds can be found if you shop around when you renew your cover.

Be careful though. When shopping around for car insurance, it's important to make sure that you are comparing like-for-like cover. Some policies may seem cheaper, but you may find you don't have the same level of cover when you have to make a claim. 

Use an online comparison service to do the hard work for you. Put in your details and check the prices that come up. You can alter the excess that you are willing to pay and the mileage you will drive and get new quotes.

Try This is Money's car insurance search powered by MoneySupermarket here - it will search more than 130 insurers for you, remember your details for next year and remind you when it is time to renew.

Also check the insurers that don't feature in comparison sites, the big two are Direct Line and Aviva. It is also worth checking Admiral separately for its Multicar offers if you are looking to insure more than one vehicle. 

Other car insurance comparison options include Confused.com, GoCompare, and ComparetheMarket 

If you've been happy with the cover your existing provider has given until now but are unhappy with their renewal quote, let them know the best offer you have received from a rival insurer and ask them to at least match it. Comparing prices is essential to finding this information.