- Save money on your car insurance
- Hints and tips to cut your costs
- Expert advice from parkers.co.uk
High insurance costs can be a real kick in the teeth for the average motorist. You’ve got yourself a car, it’s taxed, MoT’d and ready to hit the road – save for the small matter of telling your insurance provider about it...
Premiums can run into the thousands – especially if you’re a young driver – and, like most insurance policies, you'll only rarely have to make a claim (hopefully). It’s a requirement to insure your motor vehicle under UK law, though, so to help shave precious pounds off your premiums we’ve come up with a list of handy hints and tips to get the best deal.
Get your job title right
Research has shown that adjusting the job title on your policy could save serious money. For example, a writer on a magazine may be charged more than an editor, and a mechanic more than an engineer, so think carefully about how your listed occupation could affect your premium.
Whatever you do, however, don’t be tempted to tell an outright lie – so no DJs pretending to be doctors or canvassers posing as nurses.
Use a comparison site
There are hundreds of insurance providers out there and it would take ages to phone all of them individually. Instead, why not use a comparison site such as mustard.co.uk, which gathers prices from a wide range of providers and gives you the best possible choice.
Increase your excess
The excess on your insurance is the amount you’ll have to pay out if you make a claim. Policies with a lower excess are likely to be more, while those with a higher amount should be cheaper.
Be sure to work out exactly how much you can afford to pay should you need to claim, and don’t be tempted to state an excess beyond your means.
Avoid paying monthly
If you can, pay for the policy up front. On average, it’ll be far cheaper and could save you a tidy sum of money.
If you can’t quite come up with the cash, consider shopping around for a low-interest loan from lenders or family members.
Consider comprehensive cover
It’s a bit of a myth that third party insurance is always cheaper than comprehensive cover. Experiment with your quote to see which comes out cheaper, then decide which one to go for. We’d always recommend comprehensive insurance, especially if it ends up saving you money.
Don’t be tempted to lie
Not only could it invalidate your insurance, but it could also end up costing you more when it comes to paying the premium.
For example, you might think that by claiming your car is kept on your driveway you’d be reducing risk in the insurer's eyes. That’s not always the case, however, as many insurance companies charge less for a car being kept on a street away from home.
The reason? A large portion of car thefts are down to thieves breaking into the owner’s house, swiping the car keys and driving off with the car conveniently placed right outside. Keep the vehicle away from the house and it’ll be harder for the robber to find the car.
Add experienced drivers to your policy
A good one for young drivers, here. Adding your mum and dad (or any other experienced drivers) to your policy as additional drivers could cut hundreds off your policy – the idea being that it’ll lower the risk.
Be sure not to add anyone who won’t drive the car, and don’t be tempted to claim that an older, more experienced driver is the primary user. While it could save you money, it’s highly illegal and could land you in a lot of trouble.
Shop around when it comes to renewal
Never auto-renew your policy. Compare prices every time your insurance is about to run out – even if it’s with the same provider. You might be surprised to find that you could be being charged hundreds of pounds more as an existing customer than you would as a new one.
Eject the extras
Do you really need that windscreen cover, or legal expenses add-on? And if you do, is it worth the money the insurance provider is asking for? Expensive extras bump up your premiums, and – in many cases – won’t be used even if the policyholder makes a claim.
For example, if you’ve got access to more than one car do you really need to be paying extra for a guaranteed courtesy car?