A mistake most driver make is to look around for the best premium instead take their current insurer’s renewal quote which is much more likely to be higher. As a car owner, one of our biggest expenses besides the car itself is the cost of the auto insurance.
How to shop for auto insurance
Looking for car insurance can be a pain, it takes a lot of time. You have to make sure it covers you completely rather than simply third party but also comes with all the trimmings including breakdown cover, windscreen chips & breaks and also legal cover in case you are ever in an accident.
Spending the time to look through car insurance is tedious but must be done. You should always take a look at a range of comparison sites such as GoCompare to give you the best price possible. Often people go for one of the first ones they see without thoroughly checking what is included in the policy. When shopping around you should always know exactly what you are going to pay for. The last thing you want is to have to make a claim to find you are not covered for certain aspects.
Cost of insurance is constantly increasing, a great way to get a good comparison is to ask for the renewal quote from a current insurer. Once you have received this, you can call around and inform other insurance companies of your car to see if they can match it or give you a cheaper quote. More often than not they will jump at the chance to get you on one of their policies, by doing this you could save yourself a fair bit.
Should I put multiple people on my policy?
As a young driver its normally a good idea to put your parents on your insurance policy if they have a clean driving record with no points on their licence. The more years they have a no claims bonus will also help towards the reduction of your insurance policy quote.
One thing we would say is only put people on your policy that will drive your car if you are putting someone on their that won’t be driving your car regularly you can insure them for a couple of days if they need to drive.
Increase your voluntary excess
Having an accident is a daunting idea and the pay out for car parts and replacements can be a hefty amount. While most of it will be covered you always have to put down an excess which usually means you put a certain amount into the cost of the repairs. The higher the amount of excess you can put down the lower your premium will be. If you are not at fault for the accident, you may be asked to pay it initially but this can be recovered. However you must be aware of the value of your car, you don’t want to pay a huge excess if you have a lower valued vehicle.
Keep your car secure
You can see a 5% discount if you have an immobiliser or tracking device fitted to your vehicle. Most new cars have been fitted with these features, but we always recommend checking back with your manufacturer’s handbook for clarification.
For some reducing mileage is hard because of the jobs they do or where they have to travel. However, the fewer miles your vehicle does, the less likely you are going to be seen in increase in car insurance. If you don’t use your vehicle for business or commuting purposes, you can also make your insurer aware, and this can potentially reduce your quote.
Do you currently use your garage as a dumping ground? You may want to consider clearing it out. Having a safe location to park your car overnight, insurers prefer cars to be kept in a locked garage overnight and are more likely to reduce your car insurance quote. This is because there is higher risk of theft if left on the road outside your home.
A black box might not be for everyone but is a great idea if you want to reduce your car insurance quote. A black box is where the insurer installs a system in your car to monitor driving. This means that you will be charged according to your driving habits, there are often limits set on black boxes including speed, mileage, braking, acceleration and where you have been. Every time you drive you are rated on these points, the better you drive, the more rewards you are likely to get when your insurance renews.
Black boxes also have a GPS device fitted to the unit which means it is less likely to be stolen, or if taken it can be quickly recovered. To insurers, this means that they can reduce your insurance based on how secure it is.
An additional benefit to installing a black box is that claims become easier to handle. Your black box will store your driving history and performance which can be a significant advantage in an incident. If you do need to make a claim for any reason, your insurers can look through this information.
If you would like more information on black boxes, we recommend reading Which?.
Insuring a young driver on your vehicle can increase your quote, this is because they are seen as inexperienced. It’s more likely to increase if you have a powerful car, so it may be beneficial for them to have their own vehicle. The insurance can still be affected by a young driver even if they have been driving for a few years. Another thing to take into consideration if you add someone who has a claim on their own insurance this could increase the cost of your insurance.
There are a number of ways to decrease your insurance policy quote; many are easy to do. Shopping around is going to be your best bet, you want to make sure that when you are looking for insurance, you are comparing like for like. Some policies may appear cheaper when in fact they are not the same cover you already have.
You will also want to make sure you take your car to an MOT testing centre before trying to renew your insurance as this will prevent you from being able to get a policy altogether.