It depends on the level of interest that is applied to the premium to pay in monthly instalments. These can often be as high as 30 per cent. Personally, I always pay in full so I don't have to pay this interest. If you cannot afford to do this, I would recommend getting a credit card that allows interest free balance transfers or is interest free for a year and then pay on that. I would then pay it off in equal instalments. You can save a great deal of money doing it this way. Paying on a credit card also affords a lot of consumer protection under the Consumer Credit Act. This is the only time I would use a credit card though and I would not do it if it had any interest on it.