What Really Lowers The Price Of Your Auto Insurance? There are many general tips that are believed to reduce your policies, but do they work?
We researched 140 car insurance quotes to see how much they cut your policy with these tips. Our results show that a typical UK driver spends £725 a year on car insurance, which is in line with data from Confused and Statista.
Our offers had fixed variables, exception one factor that shows how the price of your policy can change. We use this method on 10 of the most popular UK cars to see the average increase or decrease compared to the average UK driver price.
Our main conclusions
- Third, fire and theft are 60% more expensive than fully comprehensive insurance.
- Save 30% on your insurance by parking on the street instead of in the garage.
- By reducing the voluntary deductible, you can cut your premium by 25%.
- Additional driving qualifications can make your insurance more expensive.
Here is more information about what worked and what didn't in our auto insurance research.
1. Third, fire and theft are 60% more expensive than fully comprehensive insurance.
Many drivers think that lower insurance is cheaper because you get less coverage. However, our results show that offers with liability insurance, fire and theft are 60% more expensive than those with fully comprehensive insurance - the only insurance that covers your car damage.
This could be because risk drivers are trying to lower their insurance by opting for liability insurance. However, our analysis shows that this had the opposite effect. You can save a massive €448 by choosing the best coverage!
2. Save 30% on your insurance by parking on the street instead of the garage.
Garage parking seems like the safest place for your car, doesn't it? But not all insurance companies seem to agree.
Our study shows that parking on the street in front of the house instead of in the garage reduces insurance costs by an average of 30%. That's a saving of £224 for the typical British driver.
This could be because you are more likely to damage your car as you drive in and out, but a car parked on the street is more visible to thieves. For this reason, many insurance companies agree that it is safer to leave your car in the garage.
Always choose the option you feel most comfortable with; ask your provider if you are not sure.
3. If you reduce the voluntary deductible, you can make your policy 25% cheaper. Make your policy 25% cheaper, which can save you £186.
Even more surprising was that as the excess rose, the price of the policy itself would also rise. Our analysis shows that increasing the voluntary deductible from £500 to £1000 typically increased the premium by £6.
It is best to choose the correct excess amount that you are comfortable with. Remember, policies have a mandatory franchise that you have to pay for, no matter how much you choose for your voluntary franchise. So check this on your policy summary before committing.
4. Additional driving qualifications can make your insurance more expensive.
We have tested insurance offers with and without Pass Plus, an additional driving qualification that you can take after passing the exam. Also, for last year's course, an additional £5 per year will be spent on your insurance.
Some insurance companies offer tailored discounts if you have a Pass Plus rating, so check with them directly. The course is also designed to make you a safer driver, which should result in fewer accidents and therefore put your insurer at risk.
5. Adding your spouse can save you 25%, but adding your child will cost you thousands.
Adding your spouse to your insurance policy reduces the price by an average of 25%. This could save you £186 if your husband or wife has a good driving history.
Unfortunately, this does not apply if you include your son or daughter in the policy. It is no secret that young drivers pose a higher risk: Studies by the traffic safety organization Brake show that 1724,-year-olds fall more often than older people. Driver But how much does this affect your insurance?
We found that adding an 18-year-old driver to the policy increased average listings by a whopping 524% - that's £3,799 more per year! Many deals with a young driver have been over £5,000 so if you want to share your insurance with your child, start saving.
6. Choose your car carefully and save £91 annually and cheap to repair.
We put this theory to the test. Our research revealed that cars from a lower insurance group like the Nissan Micro, the Volkswagen up! And the KIA Rio costs £91 a year cheaper to insure.
7. Save £109 a year by paying annually instead of monthly.
Most insurance companies say that paying annually is cheaper than paying monthly. It turns out this is true, but how much?
We found that if you pay monthly, you will spend 15% more over the course of the year. Consider paying annually if you can afford it, you can save £109 total.
8. Improving your car safety can drive your insurance price up.
Interestingly, improving your car safety could drive up the price of your insurance. £8.
This could come from insurance companies that make a quote based on the vehicle modification without evaluating what the modification actually is. Modified cars are usually more expensive to insure. You can always contact the insurer directly to find out whether they can quote the price with an explanation of the security changes they have made.
9. If you reduce your mileage, your insurance will only decrease by £17.
It is assumed that drivers with shorter kilometers benefit from lower premiums because they drive less car and thus have less risk of accidents.
However, our research shows that the average UK motorist will save only £17 if they reduce their mileage to 5,000 miles per year, which the RAC calls "low".
10. No claims bonus can save you up to £356 a year.
Unsurprisingly, a No Claims Bonus (NCB) gives you a huge discount. Your NCB is the number of years you have not claimed in your insurance. The more you drive without a claim, the cheaper your policy will be, but how much can you save?
Our results show that the average annual driver insurance is:
- £1,080 without NCB
- £842 with 7-year-old NCB
- £725 with 14-year-old NCB
This means you can save up to £356 if you've been driving for a long time without making a claim.
Five ways to get the best deal on your auto insurance
Our study shows that general tips for saving money on auto insurance sometimes work in your favor, but sometimes not!
It is best to be honest and precise when driving in order to get the right policy you need. You should never lie about your details in order to bring the price down, as it could invalidate your policy.
We asked Chill Insurance's auto insurance experts for their top tips on reducing premiums. Here are five ways to get a better deal.
- Drive safely and collect your no-claims bonus.
- Correctly assess the value of your car.
- Use an online broker to search the market to find the best deal.
- Get your mileage right. You can pay more if you overestimate.
- For young drivers: Take the driving test and get a full license. You will often find that your premium goes down as you move from a Provisional License to a Full License.
Check out the InsureRoom blog for more money-saving tips and the latest engine news. You can also compare our cheapest rental car deals online today if you are looking for a new engine.