A guide to car insurance saving

Just because car insurance is a mandatory requirement doesn't mean you should take out the first policy that crosses your path, as comparing the wide variety of policies offered by different insurers can reveal big discounts if you look in the right places. Spending a few minutes browsing online or asking people you know to discover which insurers offer the most competitive deals could save you a significant portion of your monthly outgoings.



One easy way to reduce your monthly payments is to increase your deductibles - the amount you will be required to pay in the event that you need to make a claim for damage, loss or theft. This means you will have to pay a higher proportion of the repair costs yourself, if you are unlucky enough to need to claim on your car insurance, but it could reduce your monthly premiums greatly.



If you, or your family, has more than one car, you could save a great deal of money by insuring them with the same company. Similarly, there are distinct advantages to choosing your insurance from a company that also offers other types of insurance, such as home insurance or life insurance, as they may offer discounts when you switch to receive all your insurance policies from the same provider.

You can also save money by altering the way you pay your insurance premiums, as many insurers add extra costs for the convenience of splitting your annual premiums into manageable monthly payments. For instance, if you're able to pay your annual premium in a single lump sum, this could save you a modest amount on your outgoings.



Also, be aware that car insurance is based on risk, so if you can demonstrate that you are a good driver, or that you own a reliable vehicle and will subsequently be less likely to make claims on your breakdown insurance, this will usually be rewarded in lower premiums. Ways you can demonstrate your driving credentials include taking a driving training course, the certificate of which should be forwarded to your insurer.



You should also naturally avoid any dangerous driving behaviour that could lead to an increase in a potential accident (and thus an increase in your insurance costs) or any behaviour that could put you and your fellow passengers at risk, such as driving while tired. And although it should go without saying for any driver, under no circumstances should you ever drive under the influence of alcohol.



The author of this article is a part of a digital blogging team who work with brands like LV. The content contained in this article is for information purposes only and should not be used to make any financial decisions.