Kamis, 09 September 2010
Tips for cheaper car insurance
Young drivers looking for cheaper car insurance can minimise the cost of their premiums by following these steps.
Shop around online – Buying car insurance online can be much cheaper than doing so on the high street and comparing the products offered by different providers can help to ensure you get the best possible deal.
Buy the right car – Other than age, the type of car that you are driving is one of the most important factors in determining the cost of cover. Young drivers may want to taste life in the fast lane with a flash motor at the earliest possible convenience, but buying a vehicle that is safe and reliable can be a much cheaper alternative, both in the short and long-term, allowing you to start saving for the car of your reams.
Take advantage of pay-as-you-go deals– Some providers offer young drivers premiums that are based on how much they drive. Motorists who limit their mileage and stay off the roads during the night will be able to lower their car insurance costs, but insurers will insist on monitoring your vehicle usage via GPS.
Pay your premium up front – Most providers will offer a discount to motorists who are willing and able to pay their annual premium up front, rather than breaking it down into monthly instalments.
Increase your excess – The more you are willing to pay when making a claim, the lower your premiums will be. This is a balancing act so make sure to weigh up your risks and consider how likely you are to make claims on your car insurance.
Such steps could help drivers make sure they get the cheapest possible vehicle cover at a time when AA Insurance has warned that young drivers are seeing their premiums increase because of increased levels of fraud.
The provider published a report this week suggesting that one in 20 motorists under 35 has made a fraudulent claim on their car insurance, a statistic that is causing premiums for this demographic to rise at their fastest ever rate – about 30.9 per cent on average over the past year.