• Building up a no claims bonus is essential. Statistically, by building up five years of no claims you could reduce your insurance cost by 60- 70% depending on what company you are insured with.

• Make your voluntary excess limit as high as possible. This means that the amount you pay in the event of a claim is more; therefore your insurance cost is kept lower.

• Choose to go fully comprehensive if you can afford to. This means that in the event of an accident where you damage your own vehicle only, your insurance company will have to pay out to fix it for you.

• By opting for third party, fire and theft cover only you will make a big saving. This works out cheaper than fully comprehensive cover, but means that your insurance company will not pay out for a repair to your vehicle that was caused by an error on your part..

• If you have recently passed your driving test, look into whether it's worth while completing the Pass Plus course. Not all insurance companies give discounts for Pass Plus, but the number that do is on the increase. By taking this course you could save up to 10% on your insurance.

• Parking your car on your drive, or better still- in your garage, can result in big discounts.

A Car Insurance guide, written by Clare Westwood, part of the car insurance team at moneysupermarket.com.