If you own a car, you need car insurance. Every car owner is legally responsible to take car insurance to be able to use the vehicle. However, auto-insurance can be pretty expensive. Since it’s mandatory for car owners, there is no other way around it. It gets really frustrating for people to pay heavy premiums when they are already juggling with high fuel prices and maintenance costs. Annual premium charges can make holes in your pockets. But it does not have to be like this always. Fortunately, there are a few tips and techniques that can fetch you lower premium prices and lower down your insurance costs.
Look for the best deal
One biggest mistake that most of the car owners do is that they take premiums without doing enough research. With so many insurance companies floating in the market and every company trying to make a mark in the industry, they keep coming up with promotional offers and premiums at lower prices. Just don’t blindly accept the renewal quotes every year. Shop around, compare prices and then make your choice. Look for companies like Swiftcover Car Insurance that offer 24-hour claim assistance, protection against uninsured drivers and a lifetime guarantee on repairs.
Improvisation of vehicle security
Vehicle security is very important these days. The more security features you have, the lower are the chances of your vehicle being stolen. Even insurance companies look for customers where there is less possibility of claims. So, if additional security systems like alarms, immobilizers, GPS trackers etc are installed in your vehicle, most likely, the insurance companies will offer you lower quotes.
Limit the number of drivers
Car insurance companies charge higher premiums when they have more than one driver covered in the policy, especially if the driver is young or too old to drive. Therefore, don’t keep an extra number of people covered in your policy. Remove the others when they have their own vehicles.
Check-out for policy additions
Usually, auto insurance companies sell their products in a complete package, which also includes certain add-ons that are not required by the customer. It is always better to check the added extras before you sign the contract. Don’t take additional services just because it’s included. You never know, excluding the non-value ads can also lower your premiums.
Go for no claim bonus discount
Many insurance companies, as part of their loyalty program, award drivers by reducing premiums for no claim customers. Therefore, it is a good idea to keep driving safely and keep building your no claim bonus discounts.
Higher voluntary excess
Voluntary excess is the amount that an insured agrees to pay when they decide to make a claim. This means that you are ready to bear some portion of the risk yourself. People with higher voluntary excess amount have lower premiums. But quote an amount that can be easily payable by you. In a situation of claims, you would have to clear the amount first and then the insurance company would pay the remainder.
Opt for annual premiums
People often think paying small parts of premium in monthly instalments is cheaper. However, if you calculate, in the long run, the overall premium paid is higher than the annual ones. Therefore, go for annual premiums.
Drive only when you need
Don’t use cars, just because you own it. Use it when you really need it. People with higher mileage are at higher risks. Therefore, limit car usage and ask for lower premiums.
Don’t go overboard with modifications
We all love jazzed up vehicles. While the styling and modifications may look excellent from the outside, they could also lead to high insurance premiums. Performance upgrades in your vehicles may call for thefts and expensive repairs. Therefore, keep the modifications to a minimum; else be ready to pay higher premiums.
Learn to drive
This is very important. Anybody who loves to drive in the UK needs to have a driver’s license and by DVLA codes, insurance companies can know the number of years you are driving. If you are an experienced driver, you would be less risky than the new one. If you are a new driver, enroll in courses like Pass Plus or IAM. Insurers clearing these tests can easily get low premiums as insurance companies are confident that you are less susceptible to accidents.
Remember, Insurance companies are always looking for ways to charge higher premiums. It is you, who has to act smart and save money on car insurance. Go through these tips and tricks. Using some of them can actually make a difference.
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