Online car insurance is fast becoming the way of the future. As well as being cheaper they can now compare insurance companies from all over the country and usually get you a better deal. To prove this point I want to recount something that happened to me only a few weeks ago.

I currently get my car insurance through Yes car insurance and the wife bought herself a car after having been without one for almost a year. She hasn’t got any no claims as she only passed her test a while back but we thought it best to start her on her way with the no claims bonus so wanted to put it in her name. The car was only a Fiat Punto, over 11 years old and cost under £200. I called Yes and told them what I needed and they came back with a quote of over £1100 for third party cover. After I stopped laughing I hung up and told her to try one of the online places, I think she tried Money-supermarket but not sure. Anyway, I went to work and left her to it and within an hour she called me and said she had a quote of £230. I told her to go for it and asked who it was with. I was surprised when she told me it was through Yes and told her to call them to confirm. It was right and she took out the insurance.

Now can anyone explain to me why there was almost £900 difference in quotes, Yes couldn’t. I can only assume the first person I spoke to made a mistake. When all is said and done I think car insurance is probably the one thing that people try to lower by calling around every year. I know that I always do, especially as I usually have a car worth less than £1000 and hate paying almost a third of that again every year for cover. One last thing I’d like to mention is that finally these online companies have seen sense and now instead of having to leave the car off the road while your insurance is posted you can actually print out your documents immediately.

Over the next few pages I will show you sites that I think do well in getting you the best deals and try to explain the pros and cons.

The first of these is 2insure4less, just clink on their name to go to the right page.