Anyone who drives a car needs motor insurance, of course - the law requires it. Yet even though this makes it probably the most widely purchased kind of insurance, there is an almost overwhelming choice. The availability of online motor insurance both increases the range of products available, but also helps to make sensible choices between them considerably easier.

When shopping for anything - whether online or on the high street - you need first to make a few decisions about just what it is you want. When it comes to motor insurance, the first question is whether you are after third party only, third party, fire and theft, or comprehensive insurance cover. Whatever your choice, however, purchasing the insurance online can realise valuable discounts on the premiums you will need to pay.

Third party only motor insurance is the minimum level of cover required by law. This ensures that the insured person is covered for liability for injuries to anyone else (including passengers in the policy holder's vehicle); any damage caused to someone else's property; loss or damage to third parties caused by passengers in the policy holder's vehicle; and loss or damage suffered by third parties caused by a trailer or caravan attached to the policy holder's car. This most basic level of cover is likely to attract those with a very low-value vehicle, where the cost of almost any kind of repair is likely to outweigh the value of the car itself.

Just as the title suggests, third party fire and theft motor insurance covers a somewhat wider range of risks, including the possibility of fire or theft of the vehicle. Although this will provide cover against all claims from third parties, it does not cover accidental damage caused as a result of the policy holder's own fault. Therefore, this level of cover is very popular for drivers of relatively low-value cars which are nevertheless worth more than the claims excess that applies to the insurance cover. Third party, fire and theft insurance is also attractive to younger drivers, for whom fully comprehensive insurance is likely to be prohibitively expensive, for drivers who use their cars quite rarely or for drivers who have yet to accumulate a significant no-claims discount.

Finally, of course, for regular drivers of cars of any value there is fully comprehensive insurance. Although comprehensive motor insurance is the fullest type of cover available, it nevertheless varies from insurer to insurer. Here once again the internet is an invaluable tool for comparing just what is included in any particular insurer's version of the comprehensive option. All can be expected to cover not only the third party, fire and theft benefits mentioned above but also accidental damage to the policy holder's own vehicle, personal injury benefits; benefits to cover the cost of medical treatment; and damage to or the loss of personal possessions in the vehicle.

But there might also be other benefits packaged with the comprehensive option, such as a courtesy car if your own breaks down, is stolen or is involved in an accident; protection of any no-claims discounts; cover for driving abroad in Europe; and legal expenses for the pursuit of claims if you are involved in an accident which was not your fault.

Did you know that the reason that women's car insurance is lower is because that over 92% of driving offences are done by men. Also, 98% of convictions for dangerous driving are done by men.

It's been proven that women drive slower and are more courteous towards pedestrians and other road users. However it is true that women have almost the same amount of accidents as men do, but, they are usually much less serious and less expensive.

We are all aware of the new businesses popping up and the women only car insurance policy offers that are currently available to the British public, but what other ways are there to lower that insurance quote even further? Check out these tips to see the cost go down again!

If you go for a small run around for your first car you will save money simply because it will have a smaller engine. Similarly, if you have just passed your test, take out your own insurance as soon as you can rather than using your parents' - you can build up you no claims bonus nice and quickly for when you want to buy a bigger car.

Try to avoid modifications! That spoiler and noisy exhaust will usually do absolutely nothing to your car other than cost you more money on your insurance, as unfortunately most drivers with said modifications have more car accidents. Why not put money aside for a deposit on a nice new car instead?

Something you should definitely add to your car however is extra security. Anything from new locking to a simple steering bar will make your car much more secure and therefore bring down your insurance costs.

If you are not going to be using your car very much and travelling small distances you could choose to go for a "pay as you go" style insurance. You will have a small monitor put in your car that will record how much you travel and charge you only while you drive.

A late-June study by the Consumer Federation of America (CFA) revealed that many American drivers are unaware of the fine print in their own insurance policies. As consumers have made major changes to driving habits-walking or biking to work, avoiding long trips, and consolidating errands-they have inadvertently qualified themselves for lower insurance rates. The problem is, many of them don't know it.

The study points out the obvious-insurance rates are directly correlated to risk of accident, which is directly tied to how often and how far a vehicle is driven. It's simple: the fewer miles and hours a vehicle spends on the road, the less likely it is that it will be involved in an accident. This reduced risk logically leads to less exposure by the insurer-which can be passed on to the consumer in reduced rates. The study outlines a couple of specific ways in which many Americans have changed their driving habits, unwittingly qualifying themselves for lower rates.

Many drivers have simply stopped driving, period. The number of people in urban (or even rural) areas who walk, bike, or take public transportation to work has seen drastic increases that correlate to increased fuel costs. By doing so, these auto owners have moved their vehicles from a "Work Vehicle" to a "Pleasure Vehicle" classification-which can be up to 15% less expensive in terms of insurance premiums.

Consumers who still drive to work have made other modifications, joining carpools or driving smarter, working their errands into their daily trip to and from work, rather than getting back out of the house at night. Although these are still classified as work vehicles, many now fall into a lower annual mileage category, often resulting in savings of up to 10%.

Consider the case in Florida, where the average driver spends over $830 yearly on auto insurance. A five to fifteen percent rate reduction works out to yearly savings of up to $125. That certainly doesn't completely offset higher fuel prices, but it helps-it's a car payment for many people, or equivalent to the cost of two tanks of gas.