How to cut the costs of your car insurance
Young drivers can take a 'Pass Plus' course, which reduces their insurance premium by 35%. Normally most who have recently passed will take the 'pass plus' scheme after it.
- Having an older person insured on the same insurance policy can allow you to have discounts.
- Parking your car in a safe and secure place, such as a garage, will decrease the insurance premium by 10%.
- Getting quotes on all three types of car insurance cover is a good thing to do, as some insurers may increase or decrease the insurance cost depending on what type of cover you have.
- Driving your car to particular places such as the work place every day will increase your insurance. At your work place they should have insurance for Standard Social, Domestic and Pleasure that can cover you.
- Depending on how much mileage you build up will affect your insurance premium . If your mileage is only 4,000 miles annually then you can get a discount for this. If you don't drive to your workplace most days of the week, then you can get a discount for not using the car as much. This is due to less usage on the road so accidents are therefore less likely to occur.
- Married couples tend to get a discount and therefore have lower premiums. If you are the only one on your insurance policy then the premium is going to be reduced?
- Honesty is another factor taken into account with car insurers . If you have had a previous conviction such as getting a speeding ticket, which you fail to tell the insurance company about, then when you have an accident some insurers may refuse to pay out for the damage. Therefore, you must be fully honest about any accidents you have had, as it could affect you in the long term.
- Alarm systems that are standard are not given discounts. Whereas, alarm systems such as a Thatcham approved system, can allow you to have a 10% discount.
- When paying your insurance you should pay it in a one off payment. Paying for your insurance by a monthly direct debit will increase your insurance by 15%.
- Some insurers will discount up to 9 years without any claims. If you have no claims on your insurance then you can get a 30% discount off in the first year, and a further 10% off each year after until you reach about a 60% discount in total. If you reach a 4-year no claim bonus, paying about an extra 10%, will allow you to keep your no claim bonus. Therefore, if you claim in the future you don't lose your No Claim Bonus that you have built up. Up to about 2 claims can be made in about the next 4 years after that.
The excess is the amount of money in which you have to pay when a claim is made. It is the voluntary and relevant compulsory excesses totalled. The excess normally begins at £100. The excess increases for drivers under the age of 25, as they are inexperienced, also including others who have just passed their test and therefore lack experience.