If you are like me, you have probably found that your car renewal costs have increased so much that it has forced you to start shopping around for other providers. But before we start giving out our details and comparing insurance companies, is there anything else we can do to cut the cost of our premiums? Thankfully there are a few factors that will influence how much you are paying per month. Some you will not be able to change, such as if you have any speeding or other motoring offences on your licence, and your age is another consideration that will have no bearing. But there are other things you can work on to reduce your monthly premiums. See our tips below and find out how much you can save by following them.
Type of Vehicle
If you like driving a powerful car, chances are it is going to cost you more to repair, and if it is an expensive car, it is more likely to be broken into or stolen. This will all affect the premium you have to pay. Did you know that the insurance industry rate cars from one to twenty and cars will be placed into certain ratings, due to the size of the engine and weight of the car? Cost of replacement parts and the likelihood of it being stolen are other factors. So to cut down on your premiums, consider a standard rated car that is not expensive, where parts are easily accessible and a car that is not likely to be stolen.
So you cannot change where you live overnight but what has this to do with your premiums? Unfortunately, it doesn’t matter if you are the best driver in the UK, if you happen to live within the wrong postcode, it will affect your insurance premium. So where are problem areas? Inner cities where crime is rife, and you are much more likely to have your car stolen, here you are more likely pay higher premiums than someone who lives in a small village where nothing much happens. But again, you can influence your premiums by parking your car in a garage at night, or in a driveway,. Generally speaking parking on the street is the worst kind of parking with parking in a locked garage the best.
If your car does not have an alarm then get one fitted. The minute you do your insurance premiums will decrease. And if you add onto that an immobiliser or even a tracker that will protect your vehicle from theft, both of these also should reduce the premium. In fact, any additions to security should help to lower your car insurance costs. If you are thinking about getting your own security devices, check with your insurer to see which ones they prefer. You can do this while you are filling in their online forms, as many will have a drop down menu asking which security device you own. Most prefer Thatcham.
Up Your Excess
No it’s not the latest Carry On film, thank goodness. It may seem tempting at the time to have the lowest excess possible so that when you do have an accident, you will not have much to pay. But remember, you are not trying to have an accident and you are the safe driver so in times of hardship it makes sense to increase the excess as this will reduce your premium. What this makes the insurer feel is that as you are, in effect, taking some of the policy risk by paying a higher percentage of any claim. Take this as an example, if you have a prang and you still don’t think it’s worth making a claim for less than £400, then choose to set your excess at this level, then you will see a noticeable difference in your premium.
Don’t forget after all this tweaking to shop around and never take your renewal quote as set in stone. You can even call them up with new quotes and they may even match those. Our favourite comparision sites are Moneysupermarket.com and Confused.com and Go Compare.