If you want to go directly to another section of our guide to car insurance, you can click on one of the links below:

Part 1 - Car insurance explained
Part 3 - Where your car insurance premium goes
Part 4 - Car insurance jargon buster
Part 5 - Why car insurance costs so much
Part 6 - Optional extras
Part 7 - Cutting the cost of your car insurance
Part 8 - Shopping around for the best car insurance quote

In the UK car insurance (also known as ‘motor insurance’) is compulsory for any person intending to drive or operate a motor vehicle. That’s why moneysupermarket.com has compiled an exclusive guide to help you cut costs and find the right car insurance quote for you.

Liability and legal requirements

The law requires that any vehicles of three years old and over have a valid MOT certificate. You are unable to tax a vehicle without an MOT and certificate of insurance and driving a car without these is an offence.

The Road Traffic Act states that all motorists must be insured against their liability for injuring other people (including passengers) and for damage to other people’s property. It is also vital to keep your insurance company up-to-date including vehicle modifications and fixed penalties as it is an offence not to – and it may affect any claim you make.

Most insurers will issue the following documents:
· Certificate of insurance – You will need this to buy your road tax.
· A cover note - It acts as a temporary policy and certificate until your new insurance policy has been set up.
· Policy document – This tells you everything you are covered for.

These numbers vary between insurers. Some are better than others at saving and on cutting their overheads.

Most car insurance companies will have a claims helpline with certain office hours. Some will offer an accident emergency recovery hotline for outside those hours if you have the addition of roadside recovery as part of your claim.

It is worth discovering beforehand if your insurer will immediately authorise repairs from recommended agents and in the event of a theft does your insurance include cover for personal belongings or replacement locks? It’s also worth checking whether a courtesy car is included in the price quoted, and if so, for how long –your own car may be off the road for a number of weeks after an accident and hire cars can be expensive.

Move on to part four for a crash course on understanding insurance jargon.