Steps to Cheap Car Insurance Premium

by rameshwor

Although car insurance is compulsory, it's not necessary to pay more than you have to. A few simple steps combined with some time surfing for competitive car insurance rates really can save you serious money.

Step 1 - Cut the Insurer's Risk

The easiest way to cut your car insurance premiums is to cut the insurer's risk and accept a higher voluntary excess. An insurer's standard excess may be £100 but if you meet the first £250 of any claim, you'll see a reduction in your premium. This is because you're taking on more of the risk so you get a discount. But it's a gamble, be aware that you might have to meet the cost of a broken window after an attempted theft, then a bill for repairing bodywork damage after a car park crunch.

Step 2 – Security

Fitting security devices can also result in cheap car insurance premiums. All major insurers insist on Thatch am rated security equipment, usually a minimum of an alarm. If you live in a high-risk area for car crime, it makes sense to fit extra security. It saves you money when your insurance renewal is due and gives you extra peace of mind.

Step 3 - Annual Mileage

If your annual mileage is, 5,000 miles or less, ask insurers if they offer discounts for agreed mileage restrictions.

Step 4 - Named Drivers

Adding a named driver to your policy can increase or reduce your premiums depending upon the named drivers age, sex and driving record. Adding a young driver will increase your premiums, particularly with a limited or poor driving record. However, adding a driver over 30 years old with a long and clean driving record can cut premiums, particularly if the named driver is female!

Step 5 - Shop Around

The biggest car insurance savings come from shopping around. This has been made much easier with the explosion of the internet. There can be massive differences between the lowest and highest car insurance quotes for exactly the same car and driver(s). Start off using good comparative online car insurance quote sites like Money supermarket and Screen trade, take their best quotes and go direct to the cheapest car insurance companies for more detailed quotations.

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