Top Tips for Finding the Cheapest Car Insurance

Car insurance is one of the most expensive ongoing costs of being a driver, whether you’ve got a new car or you’ve been driving the same vehicle for years.

Most people don’t give much thought to their car insurance. They stay with the same car insurance company for years and pay whatever annual quote they get given by their current provider.

Finding ways to decrease your insurance costs can save you a lot of money every year. In fact, you can save yourself hundreds of dollars every year just by taking the time to shop around for a cheaper quote and by driving safely.

Here are some top tips for finding the cheapest car insurance quote, ready for when your current policy expires.

Shop Around for the Cheapest Quote

You’re not alone if you’re guilty of renewing the same policy out of convenience, without shopping around for cheaper quotes.

It’s easy to renew your car insurance with the same provider every year. Most providers will ring their policyholders towards the end of their policy period and ask if they’re going to renew. They do this to make it as easy as possible for their customers to stay with them.

While it does no harm to stick with the same car insurance provider, it might not be the cheapest option for you. By comparing car insurance quotes, you could find a policy that is much cheaper than your existing provider’s policy.

Use car insurance comparison websites to compare different quotes or call lots of different providers to see what they can offer you. 

Increase Your Voluntary Excess

Excess refers to the amount of money that you will pay if you get a claim on your insurance. The higher your voluntary excess, the less your insurance policy will cover and the more you will need to pay.

Increasing your voluntary excess will reduce the price of your insurance policy, making it much more affordable. However, if you do get a claim, you will end up paying a lot more, so make sure you can afford the excess if necessary.

Get a Policy with a Lower Coverage

There are three levels of coverage when it comes to car insurance - fully comprehensive, third-party, and third-party, fire, and theft.

Fully comprehensive car insurance is the highest level of coverage. It covers you, other drivers, and any associated expenses if you crash. However, a higher level of coverage means a higher premium.

If you are happy to take the risk, going for a lower coverage option may be suitable. But if you do get a claim, you’ll be paying for the damages out of your own pockets.

Business cars

When it comes to business cars, securing appropriate insurance coverage is a crucial step for your workforce. Whether you have a single vehicle or a fleet, insuring your business cars protects you from unforeseen risks and liabilities. Additionally, leveraging modern financial tools like open banking can streamline the process of obtaining car insurance for your business. Open banking provides access to real-time financial data, allowing you to easily compare insurance options, evaluate premiums, and make informed decisions. 

Moreover, if you require financial assistance to cover the insurance costs, exploring business loans can provide the necessary funding. Business loans offer flexible financing solutions tailored to your specific needs, ensuring that you can obtain the right insurance coverage without straining your cash flow. By utilising open banking and considering business loans, you can efficiently manage your car insurance needs, protect your business assets, and drive with confidence knowing that you are well-covered.

The specific things that are covered in each policy type will vary depending on the insurance provider. For example, the fully comprehensive option with one provider may cover slightly different things to a fully comprehensive quote from a different insurance provider.

You will need to read through what is included in your own policy so that you know what is covered if you get a claim.