Car Insurance – Reduce the Costs, Reduce the Financial Pain

Every person who owns a car understands the importance of car insurance but they will also be aware of just how expensive it can be. It is a legal requirement and it protects drivers in a number of ways but does it have to be so expensive?

A dog looking out of a car window

While there is nothing that can be done directly that will change the price of insurance as a whole, there are things that you can do to obtain cheaper car insurance. This will mean that you are paying a price that is the lowest you need to pay for your specific needs. To achieve this, it takes some tweaks here and there but it is completely possible to pay less for your car insurance.

To begin, compare car insurance online

Consumers now have more power than ever before over the prices they pay because comparison sites such as Quote Radar make it possible to quickly compare prices from a huge selection of providers. If you allow your car insurance to automatically renew then you could be making a big mistake. Car owners now have the chance to shop around and quickly compare prices.

Handing over car keys

This is an effective way of reducing the price because new customers get the best deals. By switching insurers, you could save a significant amount but you have to make sure that you are comparing like-for-like cover.

Tweak the figures and make the right choices

Insurers try to make you feel as though you need every extra add-on they offer and they set the voluntary excess low but with some tweaking, you can bring that car insurance quote right down. So, when you begin looking around at prices, remember that the higher your voluntary excess, the cheaper the prices and the lower the voluntary excess, the more you pay.

Investigating a car breakdown

Choosing the right voluntary excess

Using your comparison site, set the voluntary excess higher in increments to see how much of a difference it makes to the price you pay. The difference can be quite significant but there is one vital thing to remember: Voluntary excess is the amount you pay should you need to make a claim. Slide that marker upwards and your voluntary excess will increase, so take a look at that figure and determine whether you could afford to pay it if you make a claim.

Choose extra add-ons very carefully

The element of this process is to consider the extras that you need. There are many extras such as legal expenses, windscreen cover or courtesy cars, all of which will add to your insurance premium. Not all of these are necessary, so determine which ones you need and remove the ones you don’t need to bring the price down to a figure that puts a smile on your face.

Driving a car fast

Insurers also believe that most people cover around 10,000-15,000 miles per year. While this is true for many, it is not true for everyone, so consider the miles you covered last year and see if you can opt to have a lower mileage cap than you did for your previous cover.

Try and pay the cover off in one go

It is reassuring to pay the insurance cover over the course of a year and it certainly feels less painful but a direct debit will cost you more money. There is often interest charged when a direct debit is set up, so before you go ahead and confirm, find out what the difference is in cost between paying for it annually and monthly.

Car insurance is an absolute must for every car owner and as expensive as car insurance might seem, you definitely need it. So, don’t overpay for your insurance cover, do your research, make some subtle changes and watch as the price of your premium drops.

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