Car insurance is a priority especially now as most of us now seeks to avoid public transport. The less you pay, the better especially since this is one of the few types of insurance cover that you are legally obliged to pay. Thanks to the internet, it is easier than ever to search through quotes from rival companies to get cheap car insurance in the UK.

If you are using an online price comparison site you have to supply quite a lot of information, because how much you pay depends on personal factors such as your age, sex, occupation, where you live, what car you drive and whether you have any motoring convictions.

Insurance companies partly base their premiums on how likely they think you are to make a claim, and the potential size and cost of any claim. Of course, nobody can predict accidents, but insurance companies do complex sums to work out who is more likely to have accidents.

Younger drivers, for example, are five times more likely to have an accident than a driver aged 35 or over, and are therefore penalised with far higher premiums.

Contrary to the outdated stereotype of women being bad drivers, they have a better motoring record, and grateful insurance companies reward them with cut-price rates.

Premiums will also depend on other factors, such as:

1. How many miles you drive each year as the more you drive, the greater the chance of a crash
2. Where you park at night, as it is safer in a garage than on the road
3. Whether you have fitted any security measures to deter thieves

There are three main types of car insurance that you can choose from. The first is third party insurance; which is the absolute legal minimum, which covers your liability for personal injuries to other people, including passengers in your car, and damage to other people's vehicles. If you bump into somebody's car, your insurance pays for their damage, but not your own.  As its name suggests, third party, fire and theft will also pay up if your car catches fire or is stolen. If you think your old car isn't a target for thieves – cars between 12 and 14 years old actually have the greatest risk of being stolen.

The next type of insurance is comprehensive. This covers all parties, including the policyholder, for damage or personal injury regardless of fault. It also covers fire and theft. Policies may also cover loss or damage to personal effects left in the vehicle, within set limits, and may include personal accident benefit in case of death or specific permanent disability.

You can't change your age, sex, occupation or neighbourhood, but there are plenty of things you can do to trim your car insurance premium. You should keep in mind that you shouldn’t just compare premiums, but you must also compare the policy terms and conditions and the small print of all these agreements. Also, you must take into consideration some necessary aspects before legally binding yourself to a policy.

Is the policy going to include a courtesy car as a standard and under what terms would this be done? Would you be covered in the event that you need roadside assistance, if you should happen to break down? Will you have to pay additional fees for overseas cover?

Ask yourself if your insurance provider is covering you in all these areas, and you should be set to wisely choosing a policy, that works for you and your finances.