Archive for category Car Insurance
You may not like it, but car insurance is important. In fact, it is required by law, and for good reason. Obviously no-one wants to be involved in an accident, but nobody wants to be stuck with a big bill to pay for damages either. Even though insurance is necessary, there are ways to reduce costs. These tips not only minimise your insurance rates, but they make your driving more safe too.
Tip Number 1: Opt for a Higher Excess
How does paying more decrease your insurance costs? When you set a higher excess, that’s how. The excess is what you pay towards damages in the case of an accident. For example, let’s say your excess is £100. Now let’s imagine that you are in an accident, and the damages cost £500. In this example, you pay £100 (the excess), and your insurance company pays the £400 difference.
Now if your excess is set higher, your insurance premiums (what you pay each month for cover) are lower.
These days technology helps insurance companies put out lower quotes. One way is to have your car fitted with a special “black box” that collects information about your driving habits. For example, if you don’t drive much at night, this lowers your chances of an accident. The technology, called telematics, also records information about other driving habits, such as average speed, and all of this info can be made available to your insurance carrier. Good driving “scores” are then rewarded with lower premiums.
Even your smart phone can be used for this purpose. There are phone apps such as iSpot (download for iPhone here and Android here) that do the same thing as the black box. The phone can even be programmed to alert you when you are driving outside of safe parameters. All of this is mostly thanks to GPS technology.
Tip Number 3: Theft Alert and Emergency Response Services
GPS technology can also be used to track your car in case of theft. There are various companies that provide this service, and most insurance companies give you a lower rate for carrying theft prevention.
Emergency response can also be incorporated though GPS technology. So if you have an accident you can be located immediately. Some systems even automatically open your door locks and cut off the fuel supply in the event of a crash.
Tip Number 4: Eyes on the Side and the Back of Your Head
Here your car is outfitted with special cameras and sensors for a relatively low price. For instance, a bumper camera can be installed so you can see everything behind you when you are backing up. Also, sensors can be fitted to the sides of your car to alert you when there is an object in your blind spot. This way you never change lanes unless it is all clear. This reduces risk, and car insurance companies like this so much that you can pay them less.
Tip Number 5: Shop Around For a Good Deal
Don’t stick with the same insurance company you’ve been with for years just because it’s easier than getting quotes and switching. Sure, getting a car insurance quote is a pain but if you use a comparison site (one example is Compare The Market) they will do most of the hard work for you. You only need to enter all your details in once and they’ll bring back results from hundreds of top insurers. You can compare the options they provide to find a policy which offers great value for money. Read more about budget car insurance on this page.
Although car insurance is necessary there are ways to cut costs. The best part is that many of these methods also make your driving safer. In the end, what we all really want is to avoid accidents. When you implement these tips, you save money, avoid risk, and everyone goes home happy and saf
Making sure you get the best possible insurance deal
When people talk about the cost of a vehicle, they usually only mean how much it is to purchase. However, this can often only be a fraction of what you’ll up spending on a car in the long run.
One such additional cost is insurance. Finding a good insurance deal can be tricky but is by no means impossible. Unfortunately, a lot of your success will depend on factors that aren’t that easy to change, such as the model of car you drive and whether you have ever had an accident. However, there are also a number of things that are easier to alter and can help cut insurance costs.
Drive the right car
Though this is difficult to change if you’re happy with your vehicle, if you happen to be a first time buyer or are looking to purchase a different car, it is well worth considering which vehicles are cheaper to insure.
Make sure you explore every option in the search for a good insurance deal. For instance, would a Mercedes smart car be cheaper to insure? If so, is this the best option for you?
There are now a number of price comparison websites that deal exclusively with car insurance, making it easier than ever to compare deals. However, while it’s important that you utilise such sites, don’t rely exclusively on them as not every company signs up to them. Don’t automatically renew your insurance with the same company when your current policy expires. Shop around and negotiate, you may find that you get a much better deal.
Get your information right
When it comes to providing information to an insurance company, make sure that you have everything absolutely correct. Don’t make up or guess your mileage as you may end up giving information that leads to you paying more. If you need to work out a predicted annual mileage, measure it over an average week and just multiply it by 52. Remember that any false information provided to your insurers could result in your policy being invalidated.
Finally, a great way to lower your insurance premiums and increase piece of mind is by increasing the security in and around your car. If you fit a new alarm or immobiliser, make sure they are approved by your insurer. If you have a garage, make sure you use it to store your vehicle overnight so that it is safe from harm.
The Insurance Quiz: Five Questions You Should Ask Yourself Before Insuring Your Vehicle
If you own or operate a commercial vehicle then one of the best and most valuable assets you can have for your business is van insurance. This covers all types of set-up, from the single “man with a van” to whole fleets of shiny, commercial vans.
But strangely, thousands of people pay ultra-high premiums for car and van insurance and never really know what it is they are paying for. As with all financial products, research is the key. Below is five questions to ask yourself about your commercial vehicle and how to insure it.
A lot of standard commercial van insurance policies do not cover using a vehicle abroad. If you have recently upgraded your vehicle and are starting to do a little business abroad, making sure you insure your vehicle against anything that might happen is extremely important. Believe it or not, your vehicle is a capital asset when it comes to your livelihood and must be protected.
Q2. Have I modified my van?
Modifications to standard commercial vehicles can be a little tricky. If you have recently changed anything that will increase horsepower, braking capabilities or even increase storage, you could find that your premium increases a little.
Similarly, it may be possible to add optional coverage extras such as newly purchased exhausts or heavily tinted windshields when insuring your vehicle.
Q3. Do I use my commercial vehicle often?
If you’ve recently started using your personal vehicle as a business vehicle, but only on the odd occasion, it might be tempting to stick to standard car insurance until your business develops a little more. Whilst this may save money, it is important that your car insurance policy covers the vehicle for business use, as failure to do so could result in your insurance being invalidated.
Q4. Am I a safe driver with a good record?
This can affect premiums a great deal. Any past record or evidence of malpractice or accidents can mean that you appear as a bit of a liability. This can be frustrating, as sometimes, it’s genuinely the other driver’s fault. Luckily, many great services offer extremely good rates on commercial van insurance.
Q5. Is it easy to get van insurance?
It is extremely easy to get van insurance and doing so could mean you get a great deal more coverage that you are currently have.
Step aside Paul McCartney and Stevie Wonder, here is the latest instalment in the uncannily endearing comparethemeerkat adverts…. ‘The Duet’
For a young driver buying your first car is a pretty big deal. It gives you a level of independence you might never have had before. You’re no longer reliant on family, friends or public transport to get where you need to be. It also means you’ve got to figure out which of the hundreds of cars on the market is right for you, which can seem overwhelming.
When you first get a car it’s important to remember that you’re still pretty new to the road, and that good drivers never stop learning. It takes a while to get really comfortable driving, especially on the motorway or long journeys, and it’s important that you never get complacent. Driving is always risky and there is a lot that is out of your control no matter how good a driver you are.
The first step in choosing a car is to work out what your budget is. How much can you afford to spend on the vehicle? As well as the initial outlay you need to be aware of the additional costs of fuel, road tax, yearly MOTs and insuring the car (which could be quite a bit of cash while you’re still young), plus you need to account for unexpected maintenance. You can visit this site to get car insurance quotes, and find the right policy for the car you choose.
If you buy a brand new car it will be subject to an increased road tax for the first year called “showroom tax”. This is one of the reasons it’s well worth considering a second hand car. Modern cars are generally very well made, so as long as you buy from a reputable dealer and make sure it has all the necessary paperwork there’s nothing to stop you getting a great deal on a decent and reliable car. A head’s up though – although it would be awesome to have a retro car like an old Mini or Beetle, those cars were made to much less rigorous safety specifications and won’t hold up well in a crash with a modern car. Hopefully that won’t ever an issue but it’s important to put safety first.
Once you’ve sorted your budget and you know what you can afford to spend on fuel ask yourself what you’ll mostly be using the car for. Diesel engines are more fuel efficient on long journeys or when driving fast on the motorway, but they cost more to buy. Petrol engines are cheaper but they’re only really efficient if you use your car mostly for short trips and driving within a city. You need to figure out whether you’ll be better off making a bit of an investment in the beginning to save in the long run, or if you can get away with spending less on a petrol engine because you’re not going to need the fuel efficiency.
Knowing your budget and what kind of a driver you’re going to be really helps to narrow down the choices, and you can start thinking about which models are right for you in terms of size and comfort. Make sure you take a car out for a couple of test drives before buying it, and find a dealer you’ve been recommended by someone you trust. When you finally get your wheels remember – stay safe and enjoy your new found freedom!