Say yes to cheaper van, home and car insurance

The rising cost of owning and running a car has not been enough to put the UK's student population off buying them, according to research carried out by Alamo Rent A Car.

Almost half (48 per cent) of the students it asked owned a car, but one in ten had no idea how much it cost them to run it.

"Owning a car has never been more expensive and it is a concern that students, who are already accruing debt through the student loan scheme, could be caught unaware by the hidden costs of running a car," stated Dawn Clayton, marketing manager for Alamo.

She also expressed concern that students "may be tempted to buy a banger which could be unsafe and unreliable for longer journeys".

The average cost of running a car, according to the 90 per cent of those asked who did know how much they spent on their motor, was over £2,000 per year.

When asked, 52 per cent of students said they were considering hiring a car to suit their needs rather than buying one. "There are considerable savings to be made by considering car rental over ownership," Ms Clayton said.

"Without road tax, maintenance, insurance and depreciation to worry about, students can save themselves a lot of hassle and money."

Practicality and the buzz associated with owning your first car are likely to win through however. If you are considering buying you first car, make sure you find the most appropriate and the cheapest car insurance available.

© Adfero Ltd