Since insurers are different, car insurance premiums vary and depends on several factors such as job, age, postcode, sex, marital status, past driving history, the car you drive, where you live etc. Drivers spend a lot of money on car insurance besides fuel costs, Tax and MOT. It is estimated that there are about a million uninsured drivers in the UK. Although motor insurance is expensive, adhering to the law is good as lawbreakers can face a lawsuit, fine or get disqualified from driving. Since it is a necessity to insure your car, figuring out the ways to keep the costs down is vital. Here are essential tips on how to get cheaper car insurance in the UK.
You can either pay your car insurance in monthly instalments or lump sum. Paying monthly instalments might seem sensible and cost-effective, but in the long run, you end up paying a lot. Monthly instalments are considered as loans by the insurers, and you will pay interest. Interest rates are not cheap, with most insurers ranging between 25% and 36% Annual Percentage Rate (APR)! However, if paying monthly is the only option, consider comparing the insurer’s monthly premiums instead of annual premiums.
Choose the right job title
Since your job affects your lifestyle, income and how you drive, choosing the right job title is essential. To calculate the cost of insuring you, insurance companies consider several factors and how you describe your job can make a huge difference. Ergo, when filling your occupation, check the impact of each title on your premium. Remember, your insurance cover can be invalidated, or you get prosecuted by lying about your job. Never lie about your occupation/employment.
Add an experienced driver to the policy
Even though it is illegal to say someone is the main driver while it is not the case, it is legal to add a secondary driver. If you are considered a high-risk driver, adding an experienced driver with a clean driving license can bring your premiums down. However, you need to get their permission first before naming them in your policy.
Car modifications can affect your premiums. As a result, if you are considering making any modifications to your car, discuss with your insurer always. On the other hand, changes that increase safety lowers your premium, thus saving you money. Therefore, installing a car tracker, an immobilizer or an alarm can significantly reduce your premiums.
Avoid auto-renewing your insurance
If you do not shop around but wait for your insurer to auto-renew your insurance cover, you miss better deals from rival insurance companies. When you approach the renewal date, start haggling to get better deals, discounts or offers.
Cut your extras & boost the excesses
Carefully determine what is included in your car insurance quote and consider cutting the extras. Remember, extras increase your premium. Therefore, reduce the extras that are under your AA membership, travel insurance, bank account, or home insurance to avoid double-paying.
Finally, be a better driver. For younger drivers, acquiring certificates like Pass Plus or from the Institute of Advanced Motorists can help you get discounts from some car insurers. Also, having a clean driving record is crucial to get cheaper car insurance.