Tips for Cheaper Car Insurance
Car insurance is one of the most expensive parts of motoring, especially for younger drivers or people with points on their licence. Fortunately, there are several things you can do to reduce the costs, and insurance is one of those areas where doing the little things can give good results. Try the tips below to see how much you could knock off your premium.
Buy Online!
Simple as it sounds, most insurers offer a straight discount of up to 20% if you buy your cover online. You can also make great savings by using quote comparison sites to find the cheapest deal, rather than just renewing with your current insurer.
Insurance type
Car insurance comes in 3 basic types : third party, third party fire and theft, and comprehensive. Do you really need all the extras featured in an expensive comprehensive policy? By law you need to have at least third party cover, which is the cheapest, so it might be worth switching your comprehensive cover to a cheaper option.
No Claims Discounts
Virtually all policies allow you to build up a discount if you don't make a claim, which can save you up to 60-70% of your premium after a few years. If you've already built up a decent discount, some insurers will let you 'lock in' that discount even if you make a claim in the future. This will involve slightly higher premiums, but will save you a substantial amount of money if you ever have to make a claim.
Mileage
The cost of your insurance depends directly on how much you drive - the more mileage you do, the more expensive your cover. You may or may not be able to reduce how much you drive, but has your insurer got an accurate figure? If you've cut down on your mileage since taking out your policy, ask your insurance company if you qualify for a discount on your premium.
Excess
On an insurance policy, the 'excess' is the amount of any claim you have to pay before the insurer pays the rest. Most policies have a compulsory excess of maybe £50 or thereabouts to discourage trivial claims, but you can also usually choose a higher 'voluntary excess'. Rasing your excess level will mean you have to pay more towards any claim, but it will also reduce your premiums.
Off Road Parking
If you have a garage then your premium will be lower than if you park on the roadside. Even parking on your driveway can reduce the cost of your car insurance.
Fit Security Devices
Some policies will also give discounts if you fit your car with security devices such as alarms, immobilisers, tracking devices, removable audio equipment and the like.
Annual Premiums vs Monthly
Many insurance companies charge interest on your premiums if you choose to pay monthly, so if you can afford to pay your yearly insurance in one installment rather than with monthly payments, you can reduce the overall cost.
Women Drivers
Statistics show that women make fewer insurance claims than men, particularly at the lower end of the age range. This means that women can often get cheaper insurance. If a car is used by both male and female drivers, you may be able to reduce the premium by insuring in the woman's name with the man as an added driver.
Named Drivers
Finally, does your policy cover the car for any driver? If so, do you really need this feature? Reducing the number of drivers your policy covers by naming each one individually should give you a worthwhile discount.
Home - Insurance - Car Insurance
