Connect with us

Hi, what are you looking for?

Cars

Don’t Overpay and Save Money on Car Insurance

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.

Written By

Freelance Writer

8 Comments

8 Comments

  1. Sishir Mitray

    November 26, 2018 at 10:10 am

    Great tips.. Thanks for your awesome guideline about saving money.

  2. Ranjan Khadka

    November 29, 2018 at 7:49 am

    If you are looking to buy a Car and it’s insurance. This post is perfect for all those buyers. Highly recommended post it contains more information. Thanks a lot for sharing this post.

  3. Thora Cassia

    December 6, 2018 at 8:36 am

    Hi Spohia,

    The first step to save on Car Insurance is by being safe and driving properly. But we are humans we can’t control what might happen in the future that’s how an Insurance is going to protect.

    Saving on Insurance comes with being safe and Driving Properly. If it goes out of control, then we have to look over the above tips. Thanks for sharing the post.

  4. Jacob Leonore

    December 26, 2018 at 3:39 pm

    Hey Sophie,

    Your Post covers from the beginning to the end about Car Insurance. Starting with research and how to continue with the policy and what measure should be taken for future with the current policy. An Informative post, thanks for sharing.

  5. Julie

    January 19, 2019 at 12:56 am

    Thanks for the tips! I especially like that you shared that jazzing up your car could also raise costs because it is more likely to be stolen or broken in to. To help lower insurance costs, you could also combine your insurances- like home and auto.

  6. Chris Lloyd

    November 26, 2019 at 11:11 am

    These tips are very helpful in choosing the right car insurance at the right price. I think most of us are not aware of these policies and overpay. Thanks for sharing this information!

  7. Chris Lloyd

    December 13, 2019 at 5:40 am

    These tips are helpful! Planning in a smart way is always a wise decision. Thanks for the tips

  8. Chris Lloyd

    January 31, 2020 at 11:16 am

    Most of the people don’t compare the best deals and overpay. These suggestions are very helpful. Thanks for the valuable tips.

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

You May Also Like

Finance

Car insurance is a mandatory requirement for car owners in India as per the Motor Vehicles Act, 1988. As per the new rule, driving...

Asia

Traditional insurance companies and traditional ways of getting insurance quotes can lead you up to an expensive insurance premium that you might have to...

Finance

When you get into a car accident, you should immediately file a claim with the insurance company of the at-fault party. The compensation you...

Cars

As you consider owning a car, there’s something that you can’t afford to overlook and that is fulfilling the relevant car insurance requirements.  If...