Smart Ways to Bring Down Your Car Insurance Premiums
The good news about car insurance is that it can take you less than 5 minutes to compare prices and find the best premium. However, most drivers make the mistake of not considering all their options before accepting a renewal quote from an insurer. With the right knowledge of industry pricing, drivers can negotiate insurance term and premium with their existing insurer to get the best deal possible.
With the number of insurance companies on the rise, it has become even more crucial to compare prices and car insurance deals. Here are 10 steps to lower your car insurance premiums so that you’re not getting ripped off by your insurer.
The best way to save money on car insurance is by shopping around before renewing your cover. Although, be wary when comparing prices because you only want to look at like-for-like insurance policies. You may find an insurer offering cheaper premiums but not necessarily the same coverage when you have to make a claim.
There are a number of online platforms that’ll do the research for you. All you have to do is put in your details and compare the prices that show in the results. You can adjust your mileage and the excess premium you’re willing to pay to get new quotes. Money Supermarket, the leading personal finance website, has an insurance search feature that allows you to compare prices between 130 insurers, and also reminds you whenever you have to renew cover.
Big insurers like Direct Line, Admiral and Aviva, which don’t show up in comparison data, are also worth checking if you’re looking for a multicar offer to cover more than one car.
You Don’t Need to Put Everyone on the Policy
Even if you share the vehicle with an entire family, you don’t necessarily need to put everyone on your insurance policy since it could drastically increase the premium. Instead, only add the regular drivers and whenever someone else needs to drive the car, you can add them to the policy for a few days.
A decent no-claims bonus is the best way to cut cost on your car insurance, so make sure that you protect it. You may have to pay a few pounds extra in premium, but the benefit of having up to 90 per cent discount can easily offset the extra cost. Insurers have varying policy on no-claims bonus so make sure to read the terms carefully before renewing cover.
Increase Your Voluntary Excess
Another way to bring down the premium on your car insurance is by volunteering to pay a higher amount to cover cost an accident or repairs. This excess can be recovered if the accident is not your fault, but resist the temptation to choose a really high voluntary excess, especially if your vehicle is of lower value.
Secure Your Car
Taking adequate security measures in your car such as installing a tracking device and an alarm can bring down your premiums by at least 5 per cent. If you’re buying a new vehicle, make sure to do your research and buy a car that comes with these features preinstalled.
Do fewer miles
Less mileage equals lower premiums when it comes to car insurance. Cut back on your mileage by 5,000 miles per year and you could be saving £50 on your premiums annually. Increase the cut to 10,000 miles and your premiums could drop by £100. Using your car for business or work can increase the insurance cost so check your use cover and determine if you’re eligible for a cheaper rate.
Don’t Add Young Drivers
You know what really drives up car insurance premiums? Adding young, inexperienced drivers to the policy. This can especially true if you’re insuring a bigger, more expensive vehicle. The premiums will still be high if the young driver in question doesn’t have a history of accidents. So make sure that the car is insured in your name and you’re its sole driver.
Use the Garage
If you have a garage space but are using it store junk, it’s time to clear it out and start using it for your vehicle. Through this simple move, you could be bringing down your insurance cost significantly, since it reduces the risk of theft of damage.
More in Advisor
Want to Move Abroad? Here Are Some Financial Matters You Need to Understand First
If you are a traveler, there would always be that place you’ll fall in love with so much that you have...September 29, 2020
Everything You Need to Know About Setting Yourself Up for Financial Freedom In Your 20s
Are you in your 20s and completely clueless on how to achieve financial growth? Fret not, because you are not alone...September 25, 2020
Tips for Organizational Leaders to Provide a Better Workplace For Employees With Kids
Juggling kids with work isn’t something you can do with your feet up and a cup of coffee in your hand!...September 24, 2020
Demi Lovato Pours a Significant Amount to a Studio City Farmhouse Months After Her Engagement
Former Disney Channel child star Demi Lovato just got engaged to artist Max Ehrich and although a wedding date has yet...September 24, 2020
A Lawyer is Crucial to a Successful Business: Here’s How To Find the Right Attorney
The reason for hiring an accountant for the business is obvious – you basically want someone to deal with numbers. However,...September 23, 2020
Serena Williams Reveals Her Father’s Precious Financial Advice To Her
The more wealth you have, the more challenging it is to control it. Celebrities suffer the most from this fact, and...September 21, 2020
Financial Advantages That The Military Offers to The Men In Service & Their Families
Life in the military can be tough, even if you don’t actually go to the battle. Army training alone is pretty...September 17, 2020
Here’s How You Can Retire at 40 & Still Enjoy Your Life
Okay, be honest; after reading that headline, you thought this was a sham of some sort, right? Retiring at 40, who...September 13, 2020
Selling Your Business Can Be As Hard As Founding It
Separating from your partner breaks your heart, but believe us, leaving the business you built from scratch can have the same...September 8, 2020