Martin Lewis has revealed how motorists can secure the “cheapest car insurance” policies as annual premiums continue to rise.

The Money Saving Expert founder claimed that the most expensive comprehensive cover can sometimes be cheaper than a third-party agreement.

It means eagle-eyed motorists may have the benefit of being more protected on the road while also saving the pennies.

Third-party cover is the bare minimum motorists need to use the roads and will only pay for damage caused to other vehicles. 

Meanwhile, comprehensive policies will usually include the benefits of fire and theft cover as well as damage sustained to your car.

The finance guru made the revelation on ITV’s Tonight Show last week as they looked into the rising cost of motoring across the UK.

Martin explained: “If you want the cheapest, sometimes comprehensive policies can be cheaper than third-party policies.

“Comprehensive is seen as a lower risk by some insurers and that outweighs the fact you're getting more for it.”

Recent data from the Association of British Insurers (ABI) shed light on the dramatic hikes in the cost of car insurance across the UK.

Average premium fees are up 12 percent with average premiums standing at £627 compared to £562 last year.

According to Confused.com, the cost of car insurance has now reached “record-breaking levels”. The comparison site has put the average price of car insurance at an eye-watering £995 per year.

The survey found that a whopping 63 percent of road users have noticed their motoring costs rise over the past 12 months.

A staggering 18 percent even admitted they had thought about selling their vehicle over the past year due to financial concerns.

Specialists at Money Expert have previously backed up Martin’s claims as they stressed fully comprehensive customers are often considered more careful and responsible drivers.

They also suggested that claims data could be to blame with drivers on third-party policies likely to be involved in more shunts.

This is because drivers with risker profiles such as young drivers tend to secure third-party deals as a way to keep down their insurance costs.

Money Expert added: “Because those riskier drivers are choosing third-party policies and, resultantly, are putting in claims, it’s driven the cost of third-party policies up.”