Car Insurance Don’t presume how premiums are calculated. For example, having a named driver on a policy sometimes helps towards a lower premium. If considering this, assess the character of the person being added to the policy first. Are they likely to acquire penalty points on their licence and would they tell you or the insurer were this to happen? Trouble might ensue if they did not. Nor should you pretend someone is a second named driver when in fact they are the main one. Parents have been known to ‘front’ a policy so it is cheaper than putting down their young offspring as the main driver. Doing this could invalidate the insurance.
Strangely insuring for less can actually cost more. Of the three types of cover comprehensive, third party fire and theft and plain third party, the last can sometimes be more expensive than the first. It has been suggested that actuaries have picked up the odd sign that customers who go for the third party cover may be more careless with their vehicle and sometimes factor that into the premium.
The European Court of Justice’s gender equalization ruling may mean it is cheaper for men to swap their insurance mid-term as this now means that men and women are on an equal playing field for premiums. If you are tempted to do this don’t move without finding out what penalties the current insurer will charge to letting you go.
A job description may have an impact so that ‘writer’ could say be better for the premium than ‘journalist’ and ‘landlord’ preferable to ‘publican’. On the ‘always hit someone when he is down’ principle being unemployed may be a negative factor.
Where is the car kept? If in a garage or on a private drive this can be cheaper than on the road. It could double the premium to be parking in an inner city black spot rather than in a peaceful rural location. Students might consider leaving their car at their parents’ home if the family lives in the latter and the university or college is in the former.
Engine size and value will be factored in
Be aware that modifications on a car can be expensive when it comes to insurance.
Any means of making the car secure such as an immobiliser, alarm or tracker device should be an advantage but these must be properly accredited.
Consider getting a heftier excess this being the amount you pay yourself in the event of a claim.
Don’t insure for miles you won’t drive
Proposals to put restrictions on newly qualified drivers for a while after they pass the test could lower their premiums but as yet they are only a twinkle in the insurance industry’s eye.
However, for those confident in their driving skills could think about vehicle telematics. This involves a black box that measures the quality of your driving. It tracks the speed time, cornering, acceleration and breaking speed. It is wired into the car and sends data that is monitored from on high and measures driving performance. A new driver buying their first car could, reduce their premium considerable in their first year by demonstrating their reliability and driving skills in this way.
Young learner drivers are finding it so difficult to enhance their driving skills because of the insurance costs. But with Insure Learner Driver you can get an immediate online policy to drive a family or friends’ car from 7 days to 5 months
If you have run up several years of no claims discount then think about protecting it. Although this won’t stop premiums rising in the event of a claim it would secure the percentage discount applicable on the premium.
Finally of course motoring offences drive premium costs up so don’t commit them.
For a free quotation visit www.activeinsurance.co.uk