Does your car insurance cost too much? If you are looking to save money on your motor insurance policy follow these ten simple steps to a cheaper premium.
1. Shop around online – use price comparison websites to search for policies from dozens of UK car insurance companies. This will help you to find cheaper prices more quickly and easily.
2. Limit your mileage – work out how many miles you are likely to drive during the life of the policy and offer to limit your mileage. Spending less time on the road reduces the likelihood of you being involved in an accident and making a claim. Agreeing to abide by a mileage limit can cut the cost of your policy.
3. Avoid modifications – by steering clear of adding mods to your vehicle, insurance companies will reward you with a cheaper premium. Souped-up cars are usually owned by young male drivers who normally face paying higher insurance costs when tagged with the boy racer image.
4. Improve security – fitting an alarm and immobiliser to your car reduces the risk that it will be stolen. As a result you are less likely to claim on your policy meaning the cost will be lower. Anything you can do to reduce your perceived risk can shrink your premium. Having a tracker installed is another step to consider.
5. Parking – have you ever been asked “where is the vehicle parked at night” when applying for car insurance? The reason car insurance providers ask this question is because it affects the chances of the car being damaged or stolen. Parking on the drive or in a garage is a far better choice than parking in the street.
6. Pay annually – while paying for your motor insurance in monthly installments may seem easy in the short-term the interest your insurer will charge increases the overall cost of the policy. By paying the premium in one lump sum you can avoid having to pay interest.
7. Drive responsibly – having traffic and parking offenses against your name will usually push up the price of your insurance. By driving sensibly you can create the image of a trustworthy, low-risk driver and benefit from a cheaper car insurance policy.
8. Protect your no claims bonus – if you have built up several years no claims bonus you should currently be enjoying a decent discount on your policy. By paying a few pounds extra you can protect your no claims meaning you do not lose them should you need to claim. This can significantly lower the long-term costs of insuring a vehicle.
9. Change your car – buy a car that falls into a lower insurance group. If the car you want to insurer is in a lower group then the cost of the policy will be far cheaper
10. Do not over-insure – only take out cover that you really need. Make sure you weight up all the optional extras that come with your policy and only take up those that you actually require.