Most insurers will automatically renew your policy unless you tell them otherwise. Insurance costs fluctuate, so don’t settle for the first quote you receive; instead, shop around for a better deal on car insurance.
Here are ten things you can do to help you save money on car insurance:
1. Adding a named driver may result in lower prices. However, keep in mind that the person who drives the car the most often should be listed as the primary driver, with any occasional drivers listed as additional. Otherwise, this is known as fronting, which is against the law.
2. Increasing your voluntary excess will cause prices to change because you are willing to pay more towards any claims. Consider any mandatory excess listed on a policy, as you will be required to pay the total amount if you make a claim.
3. Increase your no-claims bonus (NCB) to save money on your insurance premium. Some insurers may request proof of your NCB, which you should be able to obtain from your previous or current insurer.
4. If possible, pay on an annual basis. If you choose to pay monthly, most insurers will charge interest or an admin fee, which could cost you up to 15% more2.
5. Be wary of unnecessary add-ons, such as breakdown coverage or legal assistance, as these will raise the cost of your quote. Only select the add-ons you require.
6. Choosing the correct job title will result in lower insurance costs because insurers use your occupation as a rating factor when calculating the cost of your insurance.
7. Purchase your policy as soon as possible to get the best price. According to our data, the longer you leave it, the more you pay for insurance. We believe that the best time to buy car insurance is three weeks before your renewal date.
8. Compare different levels of coverage; the most basic coverage isn’t always the cheapest. In fact, comprehensive policies are frequently less expensive despite providing a higher level of coverage.
9. Consider how you use your car and choose the cover that best suits your needs. Depending on how you use your car, different levels of coverage are available: social use, social & commuting, and business use.
10. Keep track of your mileage so you only pay for the miles you drive. The average yearly mileage is around 6,5002, but consider the types of trips you take and how frequently you take them. You can even check the mileage between MOTs to see how many miles you drove in the previous year.
What you need to know about comparing car insurance quotes
If you’ve previously purchased insurance, your most recent insurance documents or renewal offer should contain all of the information you require. Don’t worry if you don’t have those on hand.
- Your job title, address, and age
- Any license points, as well as the conviction code
- Previous claims or accidents from the previous five years
- You want to add more drivers to your policy.
- Your license number – some insurers will offer you a lower rate if they know this.
- Details about your no-claims bonus (NCB) over the years
- Details about the vehicle: Your car’s registration number or make and model; Any modifications to your vehicle?
Choosing the Appropriate Level of Automobile Insurance
When it comes to car insurance, there are three main options to consider. Remember that the lowest level of coverage isn’t always the cheapest, so you may end up with a higher level of coverage for a lower price.
Third-party car insurance is the most basic level of coverage available and the legal minimum required to drive. It protects you if you damage or injure someone else’s property while driving, and it also protects your passengers. This level of protection isn’t always the cheapest option.
Third-party fire and theft insurance protects you against damage to someone else’s car or property, including your passengers. It does not cover damage to your own vehicle, but it does cover repair or replacement if it is stolen or damaged by fire. Learn more about third-party fire and theft.
Comprehensive car insurance provides the most protection, as it protects both you and your vehicle, as well as other people and their property. Although it provides the most protection, comprehensive car insurance is not always the most affordable option.
How are car insurance quotes calculated?
When determining the cost of your policy, insurers take into account a variety of factors.
Among the most notable are:
- Your price will be affected by where you live and your postcode. Insurance is risk-based, so if you live in a city where there may be more vehicle crime or higher accident rates, you can expect to pay more than someone who lives in a rural area where the risks are lower.
- Insurers take your age into account. In general, the younger you are, the less experience you will have behind the wheel. In the eyes of insurers, this means you’re more likely to be in an accident and file a claim.
- The car you drive will have a significant impact on how much you pay. Because cars with modifications, high powered sports cars, and expensive cars typically cost your insurance provider more if you need to make a claim, factors such as the value, availability of parts, and power of the car are taken into account.
- What you do for a living is important because it tells insurers how much time you spend on the road.
Your driving history, including any previous claims or accidents, will help insurance companies understand how you drive. If you’ve filed a claim within the last five years, the cost of your insurance may be affected. Convictions for driving will also increase the amount you pay.
Automobile insurance add-ons
When you get your car insurance quote, you’ll have the option of adding some ‘add-ons.’ Some are standard, while others are optional. Remember to only include what you require, as this may affect your price.
If your car breaks down on the side of the road, breakdown insurance can come in handy. If the vehicle cannot be repaired, they will usually tow you to a nearby garage or your home. Some policies include onward transportation to help you get where you need to go, as well as European coverage if you’re going further afield.
If you’re involved in a car accident that wasn’t your fault, motor legal protection, also known as legal cover, may be able to help you recover certain uninsured losses that aren’t covered by your own car insurance policy. Depending on the policy, it may cover the fees for a solicitor, medical treatment, overnight lodging, and travel expenses.
If your car is in the garage due to an accident, courtesy car will provide you with a replacement vehicle.
Following an accident, windscreen-cover pays for the repair or replacement of your windscreen, rear window, or side windows.
Personal accident insurance compensates you if you are injured in a car accident, even if you were at fault. If you die in a car accident, it will also pay you a lump sum.
NCB protection allows you to have a certain number of ‘at fault’ accidents without losing your bonus.