Tesco Bank car insurance review

5 min Read Published: 17 Sep 2021

Who is Tesco Bank?

Tesco bank car insurance reviewTesco Bank was originally established in 1997 with the aim of helping Tesco supermarket customers with their banking needs. Tesco Bank first started offering a car insurance product in 2002 and now offers a range of insurance, loans and savings products to more than 5 million customers. Tesco Bank car insurance is underwritten by Tesco Underwriting Ltd.

Tesco Bank car insurance policies

Tesco Bank Standard car insurance

Tesco Bank Standard car insurance policy is available for drivers aged 21 or over with a range of optional extras available.

Tesco Bank Black Box car insurance

Tesco Black Box car insurance is available for young or inexperienced drivers aged 17-35. A black box is fitted to the car which monitors all driving behaviour with good driving rewarded with bonus miles and a competitive renewal premium.

How does Tesco Black Box car insurance work?

  • when you start your policy you select the number of miles you intend to drive in the year - 6,000, 8,000 or 10,000
  • once your black box is fitted you can access an online portal that will show information regarding your driving performance including how many miles you have driven
  • by driving safely, you can earn up to 100 Bonus Miles every month
  • a safety feature of the black box is that it can sense and report any strong impact, Tesco Bank insurance will try to contact you to check if you have had an accident and alert the emergency services if required
  • if your car is stolen the tracking device within the black box will help the Police in locating your car
  • fixed premium for the year
  • no curfews or fines

Tesco Bank car insurance extra benefits

Courtesy car

A small courtesy car is provided as standard while repairs are carried out with an approved repairer. The standard car provided can be upgraded to a more suitable vehicle for your needs by payment of an extra premium.

Onward travel

If you are involved in an accident and your car is not driveable then you can claim up to £150 toward the cost of getting to your planned destination or home.

Personal accident cover

Up to £5,000 compensation for serious injury involving you or your partner.

Medical expenses

Up to £100 available for medical expenses to treat each injured person involved in an accident.

Personal possessions

Up to £200 available to cover personal possessions that are lost or damaged following an accident.

Breakdown cover

Breakdown Cover can be added to your policy at an additional cost and is provided by the RAC. There are four levels of cover available from roadside recovery to European cover to suit your requirements

Motor legal protection

There is an option to add up to £100,000 available to cover legal costs and expenses cover at an additional cost. The policy can be used if there is a need to claim compensation for personal injury from the person responsible for the accident. It must be deemed that your claim has a good chance of success before a claim can be made.

Key cover

For payment of an extra premium, your keys will be covered if they are lost, stolen or locked inside your car. After 14 days, the cover is extended to your house and business keys, with replacement keys and locks organised, where required, up to £1,500 per policy.

No Claims Discount protection (NCD)

For an extra premium, you can protect your No Claims Discount and it will not be reduced provided you have no more than two claims in the first policy year.

In-car entertainment equipment

Unlimited cover for manufacturer fitted entertainment equipment or up to £1,000 for other equipment permanently fitted to the car.

Uninsured driver promise

If you are involved in an accident with an uninsured driver your NCD will be reinstated and your excess refunded provided you can relay the make model and registration number of the vehicle.

Windscreen cover

If your windscreen or window is cracked or broken then the glass will be replaced and any paintwork damaged by the broken glass will also be repaired. If an incident occurs where more than one pane of glass is damaged only the most expensive pane will be replaced. Cover is unlimited providing one of the Tesco selected glass companies is used, if another glass company is used cover is limited to £125 for a replacement and £40 for a repair.

Tesco Clubcard discount

If you own a Tesco Clubcard you will receive a Tesco Clubcard discount when you commence a Tesco Bank car insurance policy and on every renewal of the policy.

How do Tesco Bank car insurance benefits compare with other insurers?

To provide a comparison between Tesco Bank car insurance and other car insurance providers, we have selected three of the more popular insurers and compare some of the main features in the table below.

Tesco Bank AXA Direct Line LV=
Guaranteed car hire Yes Yes Yes £9.90 for small hatchback, £29.90 for similar car to own
No Claims Discount Protection Yes Yes Yes Yes
Breakdown Cover From £30 p.a. From £29.99 p.a. £25 p.a. From £26 p.a.
Motor Legal Protection (£100,000) Individual cost calculation From £26 p.a. £28 p.a. £29 p.a.
Multi-car Discount No Yes Yes Yes
Black Box available Yes No Yes No
Admin fee for policy amendments Free online, £25 by phone Free online, £10 by phone No £15
Available on comparison sites Yes Yes No Yes

What factors will affect my Tesco Bank car insurance premium?

Age and driving experience

Government statistics show that young drivers under the age of 21 are 10 times more likely to have an accident than drivers over the age of 35. Drivers over the age of 75 are also considered higher risk and both these groups will be charged higher premiums.

Where you live

Where you live will have an effect on your premium with traffic levels or the number of car thefts being contributing factors.

Vehicle age, make and model

The more expensive and powerful a car is, the higher the insurance premiums and any car that has been modified will also be considered a higher risk.


Your occupation and whether you use your car for commuting to and from work will be a factor in assessing your car insurance premiums.


It stands to reason that if you drive a high number of miles in a year you will be more likely to have an accident and this will increase your premium.

Driving convictions and claims

When applying for car insurance you will need to provide the insurer with details of any driving convictions and previous claims which may increase your premiums.

Policy excess

A car insurance policy excess is the amount the policyholder pays towards the cost of every claim. The higher the excess chosen by the policyholder the lower the premium will be.


Where you keep your car overnight and the security fitted to the car are factors that will affect your premiums.

How to make a claim with Tesco Bank car insurance

Tesco Bank car insurance policies are underwritten by one of a range of insurers identified by the policy number. To find out the correct phone number for your claim you visit Making a car insurance claim and follow the steps shown or Making a claim for box insurance if you have a Tesco Black Box car insurance policy.

Tesco bank car insurance customer reviews

Tesco Bank car insurance is rated 'Average' on independent review site Trustpilot with a rating of 3.4 out of 5.0 stars. The Which? survey of car insurance providers rates Tesco bank car insurance at 70% for customer satisfaction, placing them 7th out 16 in the Which? league table. The offer of a black box policy for younger is cited as a positive but for those wanting to pay their car insurance premiums monthly there is a steep interest of 27.50% charged for this option.


Tesco Bank car insurance offers a black box policy for younger drivers which is not widely available with other providers and there is a discount offered to Tesco clubcard holders. Tesco Bank car insurance does not offer a multi-car discount feature and there is a 27.50% interest charged for those wanting to pay their premium monthly.

Further reading

RAC car insurance review

AXA car insurance review

LV= car insurance review