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How to get cheaper car insurance

Published: 18 April 2012

Owning a car can be a major drain on finances.  Petrol prices in some parts of the UK are at a record high, garage bills on an annual basis rarely work out cheap and insurance and tax increase car-related outgoings considerably.

car insurance A combination of all these factors are forcing some motorists to assess whether or not they can now afford to stay on the road, while others are desperately searching for ways to save money.  As car insurance for most drivers is their biggest car outgoing, itís an area that can result in the biggest savings.

Here are a few ways to decrease the cost of car insurance:

Downsize

If you can barely afford your car insurance then the quickest way to slash outgoings is to downsize to a smaller vehicle thatís cheaper to run, maintain, tax and insure.  It may seem like the most obvious cost-cutting method, but youíd be surprised how many people fail to act and increase the chances of running up unnecessary debt.

Security

Improving the security of a vehicle can reduce the price of premiums so look in to getting an alarm or immobilizer fitted if your car doesnít already have one.  Just as important as having an alarm is making sure you set it when you leave your car unattended.

Policy

Drive a low value car?  If so, taking out third-party insurance is an ideal way to lower premiums.  Valuing your car properly is also important as you donít want to pay over the odds to insure it and try and pay annually in one lump sum rather than monthly as this should trigger an additional discount.

Mileage

Reducing your mileage will also reduce the cost of car insurance and generally reduce your overall running costs.  Ways to do this include lift sharing as much as possible with work colleagues, using alternative forms of transport and using the car as sparingly as possible.

Excess

The excess is the amount you pay to start an insurance claim and you can opt to increase it to lower the price of the policy.  If you do decide to go down this route, though, itís vital to be mindful of increasing it too much as this is money youíll be required to fork out if you need to a make claim.

Internet

The net has made it easier to source pretty much anything and everything cheaply and thatís certainly the case with car insurance.  Drivers can save hundreds of pounds in an instant by switching online.

Click here to find out how much you can pocket in savings.

Submitted by Mark Bowering