Dennis Trevor, Negosentro | Owning a car is an expensive business; so many motorists look for ways to cut down the cost of ownership without compromising on driving experience. Insurance is one of the main expenditures, but it is also one of the most important and a legal requirement. Fortunately, there are a few tips and tricks to both slash and keep the cost of car insurance down. Read on to find out more.
Increase Your Excess
The higher your excess, the cheaper your premium so consider increasing your excess to save money. Whilst this is an effective method, keep in mind that you will be required to pay before your insurer pays out, so make sure that you can afford your voluntary excess.
From an insurer’s point of view, the less you drive the car the less likely it is that you will make a claim. By reducing your lower annual mileage cap you could make big savings and also save on fuel. If possible, consider walking, cycling or taking public transportation to reduce your mileage.
If you do not regularly use your vehicle throughout the year, it can be a waste of money to take out an annual policy. Instead, consider taking out temporary car insurance for the periods where you need to drive. This is also a flexible type of coverage and allows you to get insured on different cars. Usually, this can be arranged for one day through to 28 days and could save you a tidy sum.
Automobiles with smaller engines are much cheaper to insure and qualify for low insurance groups. They can also be much cheaper to run and there are many great small cars available, so consider downsizing your vehicle if possible.
It may be tempting to add extras like legal expenses and windscreen cover when taking out insurance, but these are a quick way to increase your premium and they are not strictly necessary. Opt for a no-frills policy to lower the price of your policy.
If possible, pay for your premium in one go instead of by direct debit as most insurers charge interest on monthly payments. This may see you take a big hit initially; it is a smart financial move in the long run (provided you can afford it).
These tips can help any motorist to make huge savings on their auto insurance. Car insurance is a large expense, but it is also a necessary one and you must always make sure that you have adequate insurance every time you get behind the wheel.