Top Tips for Rock Bottom Motor Insurance Costs

Just like everything else, the cost of car insurance has risen significantly over the past few years and it's not surprising that the demand for car insurance with no, or a low, deposit has rocketed. If you’re coming up to renewal time and dread the price of this year’s premium, you’ll be pleased to hear that there are plenty of things you can do to obtain a more competitive policy which will give greater cover for far less than the renewal price quoted by your current insurer. Even if you’re a new driver, a younger motorist or have some vehicle related convictions, you can still follow these straight-forward suggestions which will save you pounds on your policy.

Shop Around Each Year

Almost invariably, the renewal quote your current insurer sends you will not be the cheapest way of getting the cover you need. Paradoxically, rather than rewarding customers for their loyalty, many insurers offer a relatively uncompetitive renewal figure, perhaps counting on the fact that a large number of policy holders renew automatically without taking a few minutes to obtain additional quotes. Make sure you obtain several different quotes prior to renewing your insurance, to check you’re taking advantage of the most competitive price available. If you like your current insurer and want to stay with them, often ringing them quoting the cheaper premium you’ve found with another provider may be enough for them to give you a favourably revised quote.

Quantity Counts

The more quotes you get, the better your chances of finding an insurer that can give you a really good deal. Many people take advantage of comparison websites to obtain lots of quotes by only inputting one set of data. Savvy insurance purchasers use three or four comparison websites for quotes, as they know that each site uses a slightly different database of insurers to generate their results. Remember to also check insurers which don’t feature on comparison websites. Whilst this process may take a few minutes, it’s time well spent when you consider it’s possible to knock literally hundreds of pounds off your renewal premium.

Give Plenty of Detail

When calculating a motor insurance premium, there are a large number of factors which influence the final figure. Most people are aware that their No Claims Discount (NCD), age, model of car and driving record affects insurance costs, but there are many more criteria that can make a difference. Smoking status, occupation, mileage, driving times (for example rush hour driving is perceived as more risky) and where your car is usually parked can all make a difference. The more information insurers have, the more accurately a quote can be tailored to reflect your individual circumstances, often resulting in a more attractive insurance quote than one based on minimal data.

Keep Cover Realistic

Do you really need those extra bells and whistles? Ensure that the cover you are looking for is sufficient for your needs, but don’t go overboard. Some policies may offer breakdown cover, additional protection in the event of vehicle theft and benefits such as a courtesy car. If you need these services then it makes sense to purchase insurance which includes them. For people that either don’t need the extras or who already have them from an alternative provider, their inclusion in a policy can raise the premium whilst conferring no particular benefit.

Look Out for Hidden Costs

Although a car insurance policy may have an attractive premium at first sight, be aware than some low price policies have hidden costs which can come as an unwelcome surprise once you’ve take the policy out. Stiff “administration” costs should you need a policy alteration and a substantial exit penalty if you terminate your cover early can vastly outweigh the initial savings accrued by a low initial price. If your circumstances mean that change is likely, a more flexible insurance product (for example short term motor insurance) may ultimately be a cheaper option.

Making use of these simple tips results in significant savings for many motorists. If you want to beat last year’s premium whilst still enjoying comprehensive cover, then these ideas will certainly help. Why not look for some competitive quotes now ( is a good place to start) and watch those money-saving policy opportunities come flooding in?