It seems strange that insurers have not cottoned on sooner to the fact that drivers are not made of money. It seems that if you are a driver everyone and their Uncle are out to take your money whether it is for petrol, repairs or servicing and of course insurance.
If you are a new driver you will no doubt have purchased a cheap second hand car that you need to get insured. After paying for the car you may not have much in the way of cash left to cover the cost of insuring it. In many cases the cost of the insurance can be greater than the car, it seems like a waste of money paying more to insure the car than to buy it but insurance is a legal requirement in the UK. So a good way of making your premiums more affordable is to spread the cost of car insurance, no deposit monthly payments make it easy to afford.
This is not a new way for you to pay for your car insurance, in fact many insurers have had a monthly payment option for many years. Some 20 years ago I was paying the insurance for my first car and the only way I could afford to insure it was to pay monthly.
The insurer was only too happy to accept monthly payment however there was a reason they were happy about it, I ended up paying a lot more than if I had paid for it all up front. First there was a large deposit in addition to a monthly administration fee and to top it all off they charged interest on the outstanding balance.
No deposit car insurance where you pay monthly is different from other monthly insurance schemes. There is no deposit to pay and no other hidden charges, you just pay for your insurance a month at a time. You can also stop your policy at any time without incurring any cancellation fees. Pay as you go no deposit monthly car insurance is an affordable way to manage your car insurance costs.