While it is not easy to quantify the standard savings which you can make on your car insurance, there are many ways in which you can substantially reduce the long term cost simply by using a few tricks and shopping around.
We hereby list some tips and tricks you can use to reduce you car insurance in the UK :-
Get On The Phone
The best way forward is to find the best online quotes and then call the insurers in question on the telephone. Ask them what other offer they have BUT always ask for the discount which many insurers offer for online quotes (anything from 10% upwards!)!
Keep Your Driving Record Clean
At the first sign of trouble on the roads the insurance companies will bump up your car insurance premiums. Try to ensure that you maintain a clean record as long as possible because once your premiums have been increased it is very difficult to bring them down!
Request A High Excess
If you choose a low excess when insuring your car, for example £200, your premiums will be much higher than someone in the same position as you who went for a £1,000 excess figure. While the fact that you will have to pay the first £1,000 in any claim can scare some people, the savings in the long run can far outweigh the excess amount.
Pay Annual Premiums
As is the norm nowadays, many car insurance companies will encourage your to pay your premiums monthly and then charge you extra – anywhere from 10% upwards. If you can afford a one off annual premium there are substantial savings to be made.
Choose The Right Level Of Cover
If you have an older car or the premiums for comprehensive cover cost more than the value of your car, you may want to review your options – look at third party fire and theft, or just third party. The chances are that you will only receive the value of your car at the time of any write-off, so there are massive savings to be made here.
Multi-Car Cover
Many car insurance companies will give you discounts of up to 30% for multi-car cover, i.e. if you insure more than one car through them. More and more families have more than one car, so this is a viable option for many. Also ask about discounts for buying your house insurance (and other insurances) through the same company – you will be surprise at the discounts on offer.
Specialist Insurers
The car insurance sector in the UK is one of the most competitive in the world, and as such there are many niche players in the sector. If you are a student, first time driver, older driver, only do low mileage each year, etc, go to the insurers which specialise in these areas – they know the market better than most. General insurers give you a general quote!
Secure Parking / Car Security
One of the main risks to your car in the UK is theft, so if you are able to guarantee safe parking (i.e. a driveway or a garage), there are substantial savings to be made. You can also save even more by adding an alarm system to your car – with many insurance companies offering discounts on alarm systems bought through them.
Size Does Matter!
When looking at a new car it is sensible to check the insurance premiums before you buy. If you were looking at a powerful car, why not downsize to a smaller model? In the UK, the difference in premiums between say a 1.2L car and a 1.1L car are substantial.
Don’t Make Frivolous Claims
When you consider that you can earn no-claims bonuses of up to 70% if you are “clean” for anywhere up to 7 years, the savings are enormous. Also ensure that you do not claim for small incidents as you may lose some or your entire no-claims bonus.
Do Not Lie On Your Application!
Many people are tempted to tell a few “white lies” on their car insurance applications, such as the postcode you use for registration, secure parking and even penalty points on your licence. Any insurance policy obtained by deception (no matter how small the “lie”) will result in the policy being invalidated. It is illegal to drive without insurance in the UK. You have been warned!
While it is difficult to quantify exact average savings per element above, due to the difference between insurers, age of driver, size of car, etc, the potential savings are massive if you just shop around, strip out parts of a policy not relevant to you and stay with the same insurer. Moving insurers regularly can often lead to higher premiums in the long run.
