Car Insurance: What You Need To Know
Car insurance in the UK is a necessity and not a luxury, perhaps this is why motorists are always looking for great ways to get the cheapest car insurance premium possible. Before stepping unto the road with your new vehicle, do ensure you at least possess the most basic type of insurance cover (third party only).
Also, having a valid insurance policy protects you against third party liability or claims resulting from a collision in the event of an accident. With a comprehensive insurance policy, your insurer is obliged to bare the cost of repairing your vehicle as well as the third party’s vehicle back to it’s previous form.
A third party fire and theft policy will also protect you against claims or a third party’s liability, against any theft of your vehicle and damages and destruction caused by fire. It does not cover against any damage to your vehicle. Due to the nature and scope of this policy, it is the second most expensive coverage out of the three policy types.
Finally; third party cover is a policy that covers you against third party liabilities. For instance, in the event of an accident that is your fault, the other party’s vehicle will be repaired and restored back to it’s previous state by your insurer.
It is against the law to be caught driving without a valid car insurance coverage on your vehicle. And if caught and convicted, you’re guaranteed a fine and or endorsement on your licence or even a driving ban, and in very exceptional circumstance, a prison sentence is inevitable.
Car Insurance Groups
Cheapest Car Insurance Groups
Your car insurance premium is significantly affected by the type of car you drive. Typically, it will cost more to insure a Lamborghini Gallardo than a Vauxhall Corsa because the Lamborghini Gallardo owner is more likely to claim from their policy than the Vauxhall Corsa motorist.
So, if you’re serious about getting the cheapest car insurance premium, you must check the car insurance groups that your car has been assigned to. There are about 50 insurance groups in total and the cars in the lowest insurance groups often pays the lowest premium because they are considered the least risky.
Before you splash out on that new vehicle, find out the car insurance groups it belongs to, so that you can get a rough idea of what your insurance cost will be.
It’s no secret that vehicles within the lowest group rating are always cheaper, it’s also no coincidence that these cars are models with low specifications with much smaller engine sizes. For instance, the Vauxhall Corsa Energy Ecoflex has been categorized as group 2, the Nissan Micra on the other hand can be as low as group 5 of course this depends on the model and age of the vehicle.
Typically, the Renault Clio Bizu is classed as group 8. While the category of Ford Fiesta vary according to year and model you can expect it to be between group 6 to 8. However, the Blue Motion Volkswagen Golf TDI is slightly in a much higher group 15. If you’re the sporty type and cannot do without nippy cars like the Audi A3 Quattro S Line, then be prepared to fork out more on your insurance premium as it’s in group 30.
The Lamborghini and Porsche driver belong to the top and highest group, 50. Expecting the cheapest premium on these type of high powered vehicles is like looking for a niddle in a haystack- it’s not going to happen!
Mistakes To Avoid
Car Insurance Mistakes To Avoid When Looking For Cheap Quotes
A vast majority of motorists often wonder and ponder how best to obtain massive discounts from their car insurance premiums. There are right and wrong approaches to securing cheap car insurance quotes and if you’re serious about saving money on your premiums then by all means avoid these costly mistakes:
Not shopping around
I’ve always believed in the phrase ” loyalty is for dogs”. That’s because insurers rely on customer laziness. This enables them to reward new customers at the expense of robbing existing customers. Stay with your current insurer every year and you can expect annual premium hikes until the day you die.
Shopping around online for the cheapest car insurance quotes makes perfect sense. Rather than renewing with the same insurer every year, gather new quotes and you’ll be amazed at how much you could be saving.
Failing to ask for discounts
Not asking your insurers for discounts also means you might not be getting the right amount savings you deserve. Typically, you could get huge savings off your premium for installed security devices (immobilisers and alarms), covering two more vehicles with the same insurer or taking the advanced driving lessons and certification tests.
Funny enough, having a named driver on your policy could also reduce your premium by a long shot, instead of increasing it.
Failing to divulge previous accidents
Not mentioning previous accidents could come back to hunt you. It’s your responsibility to tell your insurer about any previous accidents that you might have been involved in, whether it was your fault or not, whether you made a claim or not.
If your insurer later discovers any previous accidents you never declared when taking out the policy, your policy could be terminated and any claims made void.
Often times, insurers would like to know any previous accidents within the last 3- 5 years.
Failing to declare any previous convictions
Also, failing to declare any previous speeding and criminal offences as well as penalty points to your insurer could invalidate your policy at a much later stage. Not revealing your motoring and criminal convictions can be seen as fraud which could lead to a criminal conviction should the insurance company choose to take it further.
Please, always be honest. It’s always the best policy. Declare any offences you’ve had within the last 5 years otherwise your insurer can withdraw your policy if they find out you’ve lied in your application form.
Failing to declare any modifications made to the vehicle
If you’ve made any modifications to your vehicle with a turbo booster, sports exhaust, special paint jobs or any other modifications then you must inform your insurance company.
Insurers perceive modified vehicles to be more riskier than any other class of vehicle hence, the higher premiums.
Not Paying for your policy in one lump sum
Failing to pay for your insurance premium in one go could also mean you get charged additional interest rate of about 30% + APR. To avoid this additional charge always pay up your premium in one lump sum.
Another way you could get round this is by using a credit card with 0% on all purchases. If you cannot afford to pay in one lump sum.
Not parking your car in a garage
If you have a fully functional garage, always endeavour to park your car in there. This way you minimize the risk of burglars breaking and entering or theft. Especially, if you’ve indicated that your vehicle will be parked in a garage in your application.
Avoiding voluntary excess
The higher your voluntary excess, the lower your car insurance premium. Do not put your voluntary excess to what you cannot afford to pay in the event of a claim. Getting the cheapest car insurance quotes also means using conventional wisdom to ascertain the limits you can afford.
Cheapest Car Insurance Quotes
How to Get The Cheapest Car Insurance Quotes
Finding the cheapest car insurance quotes can sometimes become a daunting task if you don’t know how to embark on it. There is no specific criteria for uncovering cheap car insurance quotes, but you can adopt these few tips that will take you a long way into uncovering low-cost premium you’ve always wanted.
Also you can begin your search by using our state of the art car insurance quote engine from Quotezone above. All you need to do is click on the “get quotes“, fill up the short form as accurately as possible then relax and just watch dozens of quotes appear on your computer screen within seconds.
There is no hard and fast rule for finding the cheapest car insurance cover. But these few tips are designed to help you uncover that elusive car insurance quote that is guaranteed to increase your bank balance.
Besides, the average car insurance policy in the UK costs almost £1500 per anum, so, for most of us, it’s crucial that we cut the cost of car insurance premium. So, here are a few but very effective ways you can cut down the cost of your car insurance.
Compare prices by shopping around for best quote
Car insurance comparison websites are at your disposal to compare quotes from numerous car insurance companies within seconds. Use them!
They will save you time and money on the long run. Alternatively, you can use our very own car insurance comparison quote engine to unveil some of the cheapest car insurance quotes in UK without breaking a sweat.
Avoid extras in your policy
Why pay for additional extras you don’t even need? It’s fascinating the amount of motorists paying to hire a vehicle when their cars are under repair. Most insurers provide courtesy cars for the duration of the repair.
Increase your level of excess
Increasing your level of excess is a great way of reducing your premium and getting the cheapest deal possible. The hire your excess, the lower your premium and vice versa.
However, one major disadvantage to this is that in the event of an accident, you will have to pay up the agreed excess before any repairs can be carried out by your insurer. So, be sure to increase your excess to a more sensible level when taking out a policy.
Enlarge your search horizon
Unfortunately, not all insurers can be found on car insurance comparison websites. Direct Line and Aviva do not appear on comparison sites. So, to get better chances of getting the cheapest quotes, you’ll need to extend your search to go beyond car insurance comparison sites.
Install security systems on your vehicle
Security systems like immobiliser, alarm and tracker help to deter thieves and burglars and in addition, brings down your premium. Insurers perceive vehicles with security systems to be of less risk. Consequently, they reward vehicle owners with discount premiums.
Pay for your policy upfront
Paying for your policy in one go can help you save up to 20-30% off your premium. You can avoid any interest that may accrue as a result of paying monthly.
Buy your policy online
Even first time drivers can be rest assured of paying less or even securing the cheapest car insurance deal over the internet, instead of over the telephone. No wonder millions of motorists flock online to find cheaper deals every month.
Tesco car insurance is currently offering 20% discount to it’s new and clubcard customers when they purchase their policy online.
Avoid modifications to your vehicle
Adding additional turbo gadgets, alloy wheels and increasing engine size for your vehicle will most definitely increase your premium. So, be sensible about the modifications you install in your vehicle- it could come back to hunt you financially.
Consider an advanced training course
Obtaining the Pass Plus training certification could save you up to 20-30% off your insurance premium for new drivers and seasoned ones as alike . Most insurers believe motorists with the certification are less likely to be involved in an accident than those without the certification.
Park your vehicle in a garage
Doing so will minimize the chances of your car being stolen or broken into. Your car insurance premiums will be reduced quiet significantly as a result as well because of less risk.
Pay as you go car insurance
This has become very popular in recent years with vast majority of motorists within the last decade or so. Another great way for obtaining the cheapest car insurance premium on a very low budget. Why commit to an annual policy when you only use your vehicle for a quarter of the time?
How it works is that upon taking up the policy, your insurer will install a gadget that monitors the number of mileage you drive. Then you get to pay for the mileage you drive and save money on the mileage you don’t.
Change Your Insurer
When to Change Your Insurer
Funny enough not all motorists know the right time to switch from their insurers and this can have an averse effect on their ability to to obtain the cheapest car insurance premium. Infact, some believe in spending the rest of their lives with one policy provider and also having the mentality that the longer they stay the cheaper their policy become.
This is a wrong attitude for obtaining the cheapest quotes. As a matter of fact, insurers reward newer customers with cheaper discounts than current customers.
So, when next you’re on the prowl to renew your current policy always shop around for better quotes.
When is the right time to change your current insurance provider?
When you’re not getting the cheapest car insurance quote possible
Just because your current insurer offered you the best deal the year before does not mean their quote will always be the cheapest. By the time you start comparing quotes, you’ll discover that there are cheaper and better quotes out there.
Not getting the right service
Some insurers are accident prone when it comes to offering their clients the best customer service possible. It can be extremely difficult and frustrating getting through to your insurance providers via email or by telephone for just a small query you need answers to. If you’re not getting answers to your questions when you need them then it’s time to change insurers at the renewal of your policy.
Knowing the right time to change your car insurance providers can some times be the difference between paying a higher premium and getting the cheapest car insurance.