Did you know that up to a third of all consumers are paying far more for car insurance than they should be? The implementation of the EU rule that banned insurers from using gender as a way to set prices, back in 2012, have made women’s premiums rise considerably and when it comes to young people, well, what is there to say!
One of the major issues is that drivers are highly likely to accept the renewal quote from their insurer instead of enjoying the financial advantages of shopping around for the best premium.
Anybody with a younger driver in their family should also be aware of the blackbox policies that can mean far cheaper car insurance also. With a ‘spy’ monitoring driving habits, young drivers can be rewarded for being careful.
Follow our tips to save yourself money when it comes to car insurance:
1. Shop around
It’s possible to save hundreds of pounds by looking around before accepting an automatic renewal from your insurer. However, pay attention to the details to ensure that you are comparing like for like or you could end up paying less, but receiving less if you are involved in an accident. Use online comparison sites, in addition to Aviva and Direct Line who are not listed on those sites.
2. Only add regular drivers to your policy
This can keep the cost down, anybody else can be added for a few days if they need to drive the car.
3. Protect that no-claims bonus
This is the most powerful way to keep your premium down. Although you may need to pay a few extra pounds for this protection, it’s very much worth it. Check the policy to understand what this protection covers as it can vary between insurers.
4. Take a higher excess
By agreeing to cover more of the expense of any accident repairs yourself, you can decrease your premium. Any accident that is not your fault will make it possible for you to recover your excess anyway.
5. Protect your car
You can secure a further discount of up to 5% by fitting an approved car alarm, using a tracking device or an immobiliser. Although these may come as standard on many newer cars, you should still declare them.
When it comes to cheaper car insurance, it is certainly worth the time investment of taking a good look around. In addition, ask your insurance company for advice on how to cut back on that premium.
Many people research insurance costs before buying a car, but most accept the finance quotation the dealer gives them. Its important to study the figures for finance and think about how you can get the best deal for this as much as it is with the insurance.