Car insurance… It can be one of the most stressful driving elements, even before you’ve put rubber on the road!
Having car insurance is a legal driving requirement in the UK if you wish to drive a vehicle on a public road. There is no point in avoiding the situation, car insurance is designed to protect you, your car, and other road users from financial implications should an accident or incident occur.
There are ways to make sure you have the most competitive car insurance possible, and while we know that it is a legal requirement, we can absolutely make sure that we have the best cover for the least amount of money.
Here are the top 4 ways to make sure you save as much money on your car insurance as possible, which can remove some of the financial sting from the vast but essential outlay of driving.
This may appear like we are trying to tell you to suck eggs, but these days there are not many people who stay with the same insurance company year upon year.
This is because the insurance market is so competitive that there is always another insurance deal that will top the one you have. That can be a financial gain or other additional elements of your policy that are thrown in for good measure.
This is sometimes not always a reduction in the premiums you pay but may well come in the form of vouchers or a money-off scheme that could save you money in other areas of your daily life.
So while the saving might not always be direct from the insurance arrangement, the deal could be sweetened in other ways.
It is actually quite common to have a dash cam in cars these days. While we can appreciate that it is a safety feature in case of an accident or incident where the video evidence can apportion evidential liability, it may also lower your insurance premiums if you have one.
Dashcams are not expensive, and they are reasonably unintrusive when placed in your vehicle. Still, suppose they could lower your insurance premiums, and you are not afraid of your journeys being recorded by them. In that case, they are definitely worth the very small investment.
By having safety devices in your vehicle, you’re displaying that you take the security of your car seriously, and insurance companies could reward this safety-conscious behavior with lower premiums.
It is always worth mentioning in the section that asks if you have anything fitted that is not factory standard to ensure safety, and stating you have additional extras is something that underwriters love to hear, as it lessens their lending risk to you.
In recent years, the best way to save money on your car insurance if you have more than one car in the household is to head into a multicar policy.
This basically means that you have more than one car and more than one driver within one insurance policy, which can actually reduce the insurance premiums for you.
The cars on a multicar policy must be housed at the same address to make sure that the premiums stay low. The most significant advantage you have with this kind of policy is that you can have multiple drivers on the same policy, which could further reduce the premiums.
Suppose you have more than one car in the household with more than one driver. In that case, it may be financially worth it to at least get a multicar discount from those insurance providers that operate this kind of policy.
Yes, we know this can be a financial hit in your pocket all in one go! But insurance companies will actually have a different and lower rate of insurance when you pay in total upfront.
This may seem a strange way to operate an insurance policy. Still, the companies that offer insurance cover actually increase their risk by allowing you to pay monthly, and they levy an extra cost for that. If you pay in full, they have their yearly payment in full, which has lessened their risk of non-payment.
If you were to look at your annual premium versus a monthly breakdown of the same policy, you would notice that the monthly payment version of that very same policy will have a higher total, just for the privilege of paying monthly.
For some people, there is no option but to pay monthly, but it’s worth considering for future years to pay in full at the time of the acceptance of the quote.
We all know that car insurance is not our favourite bill to pay. Still, we accept it as necessary as it is a legal requirement to be able to drive a vehicle on a UK road.
While many people do not stay with the same insurance company year on year, it is always worth mentioning that you have additional security features as extras on or in your car to see if that will bring your premiums down.
Shop around for your car insurance to get the best deal, and if you have more than 1 car in the household, look into having a multicar policy to further reduce the premiums where possible; it may only be a few pounds here and there, but sometimes, the savings can be substantial enough to make a real financial difference!
Lastly, always pay upfront where possible! This can mean that you pay your actual quote without having a levy applied to have the privilege of paying monthly.
Sometimes this approach isn’t always possible, but if you can do this, definitely do!