First-Time Car Insurance in Ireland: 2026 Cost & Savings Guide

April 2026

So, you are thinking about taking out your first car insurance policy. Congratulations. Learning to drive brings a real sense of freedom and independence, with plenty of exciting journeys ahead. 

That said, choosing your first insurance policy can feel daunting, and often more expensive than expected. Insurance costs tend to be higher for new drivers, particularly those under 25, which can make the process feel even more challenging. 

But there are options available. At Allianz, we are proud to support young and new drivers across Ireland, helping them get on the road with confidence. Explore some of the car insurance options available to you below.

Once you are 17 years or older and hold a valid learner permit or driving licence, you can be added to your parent’s car insurance as a learner driver. 

Their insurance premium will increase, but it is a great idea to get driving practice in before getting your full licence or buying your own car. It may also help reduce your car insurance premium when you take one out in your own name.

Becoming a named driver on a parent’s policy can be a simple and cost-effective way to get started on the road. However, it is not the same as having your own car and your own insurance policy. 

If you are looking for your first car insurance policy, there are a number of factors to consider. 

Your age, occupation, where you live and where your car is parked all play a role. Insurers will also take into account who else is named on the policy, as well as the type and age of the car you drive, when calculating your premium.

A quick comparison helps the user decide their best entry point.

One of the main factors you can influence is the type of car you drive. For first time drivers, choosing a smaller engine car, such as a 1.0 or 1.1 litre, can help keep insurance costs lower. It is also advisable to avoid high performance models and to opt for a vehicle with lower horsepower. 

The age of the car also matters. Older cars can sometimes be more expensive to insure, while brand new cars often come with higher premiums due to the cost of parts and repairs. As a result, it is usually best to choose a car that sits somewhere in the middle for your first year or two on the road.

The advice to stick to 1.0L engines is still good, but "Insurance Groups" are now based more on safety technology (like Automatic Emergency Braking).

1. Driving Test: To reduce the costs associated with insurance for new drivers, the best thing you can do is pass your driving test as soon as possible. It is more expensive to insure learner drivers. Your car insurance premium will get cheaper the longer you hold a full licence.  
2. Experience Skills: Then, you need to build up your driving experience. You can do this as a named driver on someone else’s policy or with a policy in your own name. 
3. Safety Skills: Safe driving will also help lower your premium, especially when you rack up the no claims bonus. The more years you have with no insurance claims, the cheaper your car insurance premium will become. 
4. Young Driver Insurance: Whilst your age and inexperience will play the biggest part in your first-time car insurance premium, Allianz is here to help with competitive prices for young drivers. 
5. Online Quote: Get a car insurance quote online so we can you get up and running with your first car insurance policy. Freedom, independence and road trips are all just a call away.

Since March 31, 2025, it has been a legal requirement. Providing your 9-digit number (field 4d on your license) allows insurers to verify your license status and penalty points directly via the Irish Motor Insurance Database (IMID). This helps Gardai identify uninsured drivers instantly at roadside checks.

Yes, but your options are more limited. Many insurers charge a "Learner Premium" because you are statistically more likely to have a minor accident. Once you pass your test, notify your insurer immediately—most will provide a pro-rata refund or a lower rate for the remainder of your policy year.

• Named Driver: Usually, the cheapest way to get on the road. You leverage a parent's higher No Claims Bonus (NCB). It's great for practice, and most insurers (like Allianz) will give you a "Named Driver Experience" discount later. 
• Own Policy: More expensive upfront, but it’s the only way to earn your own No Claims Bonus. In the long run, having your own policy can be more cost-effective as your personal discount grows each year.

Allianz p.l.c. is regulated by the Central Bank of Ireland. Standard acceptance criteria and policy conditions apply. 

Information correct as at 24/04/2026