Tips for cheap insurance

1) Lower mileage decreases your insurance premium – but ONLY by £17

A common mistake when choosing car insurance is that a car with a lower mileage results in a significantly cheaper premium. Whilst they do benefit from a cheaper policy price, its been discovered that reducing your mileage to 5,000 saves you just £17. 

2) A voluntary excess deduction will save you 25%

Often a higher voluntary excess is thought to lower insurance price. Its been found that decreasing your voluntary excess to £250 can make your policy 25% cheaper, providing a saving of £186. What’s even more surprising was that by increasing the voluntary excess, premiums were typically £6 more expensive.  

3) Improving car security increase your policy price

Tracking devices and locking your wheel nuts can actually increase your policy price. This is most likely due to these security measures being seen as ‘modifications’ to the car. 

4) Adding your child can result in paying upwards of £5,000

It’s commonly known that adding your spouse on your insurance can save you 25% (if they have a good driving history). However, of you were to place your child on your policy you could be seeing an increase of 524% on your insurance quote. 

5) Uncovered: The cheapest cars to insure

According to survey, the least expensive cars to insure were the Nissan Micra, Volkswagen Up! and the KIA Rio, saving you up to £91 per year. 

Cars in a lower insurance group are usually cheaper to insure – mostly because these vehicles have smaller engines and are cheaper to fix. 

6) More cover provides a whopping saving of £448

Quotes with third-party, fire and theft cover are 50% MORE expensive than comprehensive cover – which is the only insurance that covers damage to your car. Many drivers think that a lower level of insurance will be cheaper, as you get less cover but apparently this is not true.

Perhaps this is as a result of high-risk drivers being more likely to keep their insurance low by opting for third-party cover. 

7) Add driving qualifications over the phone or see an INCREASE in policy price

Some insurance providers may offer a PassPlus discount if you speak to them directly. Research reveals drivers with PassPlus actually spend more on their insurance if they don’t seek out the discount over the phone.

8) Paying annually instead of monthly can save you £109 per year

Many insurance companies claim that paying annually is cheaper than monthly. This is in fact true discovered that you generally spend 15% more over the year when paying monthly. By paying annually, it could save you £109 overall.

9) No Claims Bonus can save you £356 per year

The average annual driver’s policy will cost £725 with 14 years no claims bonus, £842 with seven years NCB and typically £1,080 with no NCB. 

10) 5 easy ways to get the cheapest car insurance deal:

  • If you contact your insurer directly, they are likely to provide a discount.
  • Check comparison sites – don’t forget the insurers who aren’t on them.
  • Shop around for extras like breakdown cover, as they might be cheaper elsewhere.
  • Swap insurers each year – your current provider will try to match your new price.
  • Consider a ‘black box’ policy to show you’re a safe driver.

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