Car
insurance is a legal requirement in for all drivers
and their cars in the UK. Costs are continuing to rise. How
can you reduce some of these expenses and still get the best
car insurance coverage?
First, get multiple quotes from the Internet and your local
car insurance broker. You can shop for different types of quotes
from a direct-sell insurance companies and offline and online
brokers.
Car insurance that is cheapest isn’t always the smartest
move. Ask yourself, is the company financially secure? Are they
reputable and will they pay out if you have to make a claim.
The first piece of the policy is almost always third party liability
insurance. If you are unlucky enough to be involved in a car
accident that is your fault, third party car insurance will
pay for the damage and losses incured by the other driver. You
will, however, be responsible for the cost of repairs to your
own car.
Comprehensive
car insurance will cover all damage repair costs to all cars
involved in an accident.
Car insurance varies on car types. Coverage for a sports car
is very different from insuring the family saloon.
If you are looking to buy a car, consider buying a car that
"looks good" to insurance companies. For instance, insurance
companies know what kinds of cars are prone to problems. They
also know what kinds of cars are most often stolen. If you haven't
purchased your car yet, find out what cars make this "good list"
among car insurers.
Consider how much coverage you really need to buy and the price
each of these coverages will pay. Do you require comprehensive
car insurance or just third party insurance?
If your car was written off, would you be able to afford to
replace it? If not, you will want comprehensive car insurance.
The decision to buy this coverage is usually based on the value
of your car.For instance, if your car is worth less than £1,000
is it really worth buying comprehensive car insurance?
If you own a £35,000 car though, it would most certainly
be worth it to pay an extra few hundred pounds annually to insure
that your car will be replaced if you get in a serious accident.
If you’re driving a used car from 10 years ago, then choosing
third party car insurance instead of comprehensive cover can
usually give big savings.
Run through various scenarios such as if I were to write-off
someone else's car, will my insurance cover it? How much will
I have to pay out of my own pocket?
Paying a higher policy excess can also keep your policy costs
down. Remember, the excess is what you pay out of own pocket
when making a claim.
Buying a low mileage car and insuring with a good driving record,
will all help bring insurance rates down. Don’t speed, don’t
drink and drive and you’ll save.
Single, young males under the age of 25 get the short end of
the stick in this deal so if you fall into this category make
up for this price increase by purchasing a more sensible vehicle.
Consider delaying the purchase of that Golf GTi until after
you’re 26 and married.
Car Insurance experts recommend that you review your insurance
policy often and thoroughly, don't just accept your current
insurer's renewal quote. Get a couple of other car insurance
quotes to ensure that your current insurer is still competative.
Many insurance companies offer discounts for anti-theft devices
(such as Thatcham approved immobilisers) and advanced driver-training
courses.
This article has been adapted from a car
insurance article written by by Drew Harris
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