How You Can Save on Auto Insurance Rates

There are a number of steps that car owners can take to save money on their auto insurance rates. Both your provider can offer relief, and even if they do not, the driver has options when it comes to saving money on a car insurance policy. Steps to take are listed below.

Auto insurance rates have been dropping in the UK, but there are still ways to save even more money. Minimum wage earners also need help with paying costs. Reports indicate that prices have dropped over 10% of the last several years. While this may seem to be a significant saving, you could save more if you take a few simple steps.

One reason why the cost of insurance has dropped so dramatically is the government’s action to try to curb frivolous whiplash claims, as there are over 1,000 filed each day costing drivers and insurance companies over £2 billion per year. Fraudulent claims drive up the price of insurance for everyone, and the government’s positive steps have enabled insurance providers to keep their prices in check. Likewise, you can keep your premiums to a minimum by avoiding situations that may lead to a claim against your policy.

Ways to reduce your annual care insurance premiums

One common ways to save is instead of filing claims for small damages that may be done in a car park, take care of the repairs on your own so that you keep your insurance costs down. You may find that the small £ 200 claim for a scratched door could end up costing you far more in higher premiums.

Switching insurance providers each year is one simple way to save money on your premiums. Even do this if you have a no-claim bonus on your policy. It is estimated that nearly 60 percent of UK residents renew their policies with their existing insurer. However studies show that about 50 per cent of insurers offer new customers discounts – this is why it pays to shop around yearly or switch to a new car insurance policy.

This step could result in paying more than £100 extra for basic coverage. Shopping around for competitive quotes allows you to get the best possible deal for your premium. Try to save money by using moneysupermarket.com, uswitch.com, or confused.com to compare policy rates. Your current insurance carrier might even be willing to match a quote from another insurer just to keep you on as a customer.

No matter which company you choose to purchase auto insurance cover from, there are many different types of discount programs that can be of benefit to you for saving money. Some carriers offer cost reductions for safe driving courses and adding special security equipment to your vehicle. No claims bonuses can also be especially handy. Before you sign up for a new policy, you should make sure that you are getting every discount possible. ?

You may want to consider switching cars to save money. Insurance companies like drivers who own efficient, reliable vehicles over more costly sports cars. Sports cars are more likely to be driven in a reckless manner, which leads to car accidents that the insurance companies would prefer to avoid. These autos are also more expensive to replace if they are stolen or totaled in a crash.

There are several cars that are more affordable to insure, such as the Ford KA,Skoda Citigo, Hyundai i10, Vauxhall Corsa, and others. Review motorway.co.uk/guides/cheapest-cars-to-insure for the latest. These cars fall into the lower numbered insurance groups, so you can be sure that you will pay less for your cover when you get behind the wheel of these models.

Paying your premiums upfront can also save a tidy sum. While it may seem more manageable to make your payments monthly, you will accrue up to 24 percent interest throughout the year, which can significantly impact the cost of your cover. It is estimated that the insurance industry makes more than £ 600 million off of customers who choose monthly premiums over annual premiums.

Insurance companies tend to look at your occupation when calculating your premiums. Depending on what you do for a living, carriers may assess you as a higher or lower risk for coverage. This is where being specific about your occupation becomes important. Nurses tend to pay the lowest premiums, while entertainers as well as drivers, minimum wage earners, and low paying jobs pay the highest.

To save money based on your occupation, giving a specific job title rather than a general field of occupation can help the insurance company determine that you are a lower risk. An entertainment accountant, for example, will pay less than an entertainer. Remember that you must be honest about your job; giving false information can invalidate your policy.

Review average costs in the UK

It is estimated that the average UK citizen spends around £480 for comprehensive cover while under 25 years old pay £1250 on average. If your rates aren’t around that number, take a look at your car, your insurance carrier, and your driving habits to see how you can reduce the cost of your insurance cover. With a few simple steps, your potential savings could add up to hundreds of pounds. Don’t settle for the rates your current company offers at renewal.