There’s a lot you can do to ensure you get cheap car cover and still have the right cover for when you need it, says insurer King Price.
Here are eight ways to save on car insurance.
1. Compare premiums before you buy a new car
If you’re buying a new car remember that it’s not only the monthly payment you have to squeeze into your budget… It’s also the monthly insurance premium. And, if you’re financing the car, you have to insure it before you can get behind the wheel.
Sorry, but that’s the rule. And even if you aren’t financing it, you have to consider whether you can afford to replace or repair it… So, when you’ve whittled your car wish-list down to the top contenders, get insurance quotes for them all before you sign on any dotted line. Your wallet will thank you.
2. Pick a top-rated insurer
Saving money isn’t simply a matter of finding the lowest premium. You need to find an insurer that’ll have your back when the paw-paw hits the fan. And when your fan-belt breaks.
Some insurers have lower premiums but end up costing you more because they cover less.
Some insurers hide what they do and don’t cover in pages and pages of fine-print. But, some don’t. Pick them.
3. Report reduced mileage and remember what your garage is for
All insurers rate your risk and work out your premium accordingly. So, if you’re driving long distances in rush-hour traffic every day, your risk is high, and it affects your premium. But, if you clean out your spare bedroom and start working from home, your risk reduces and so should your premium.
While you’re at it, clean out your garage too, and park your car in it rather than on the pavement. Safer car = less risk = lower premium.
4. Adjust your excess
You know what a see-saw is, right? Well that’s the way the excess you choose affects the premium you pay. The higher the excess the lower the premium, but remember that youneed to be able to pay the excess amount you’ve chosen if you claim.
Can’t choose your excess? Rather find an insurer that allows you to select the excess that best suits your budget.
5. Combine your policies
Just like buying cheap toilet paper from Checkers, discounted baked beans from Spar and spaghetti that’s on sale somewhere else can end up costing more in the long-run, covering your car, home and portable possessions with different insurers isn’t necessarily the cheapest way to go. There can be massive cost-benefits to covering everything under 1 roof.
Some insurers even offer additional savings when you put more than 1 car on the same policy. Ask for ‘multiple car discount’ and factor in up to 20% off!
6. Look after your credit score
You really should look after your credit score as carefully as you would a cabriolet. Because having a great credit rating will positively affect your premium and could mean the difference between being able to afford a cabby rather than a Cub.
7. Get decreasing premiums
The value of every car decreases every month. So surely, all car insurance premiums should, too? After all, all insurers pay out the same value in the case of a total loss…
8. Rein your teen in
There’s a reason, of course, that teens are more expensive to insure: They have substantially more accidents. This argues for putting them in cars that are safe, but a bit seasoned. Obviously, the car your teen drives is ‘a big deal’ but, in insurance-speak, swapping out the GTI for an i10 is a no-brainer.
Your teen may hate you, but your budget will love you.