Here are ten simple ways to pay less for your motor insurance:
1. Shop around using insurance comparison sites – self explanatory.
2. Don't pay monthly – Your insurer charges you about 24% extra over the year for the privilege. Even if you pay by credit card and pay it off over six months it will still work out cheaper than spreading it over 12 months at 24% interest.
3. Don't accept a renewal quote - Customer loyalty means nothing to insurers. All the big boys chase new customers by offering big discounts, often charging half the price they charge existing customers for the same cover.
4. Don't make small claims, and set your excess high – Claims under £500 are often not worthwhile, your insurer will take them out of next year's premiums, or refuse to re-insure you. Setting a high excess level when you apply for the insurance can potentially bring the premium down substantially.
5. Be more specific about your job - Certain occupations aren't favoured by insurers, but even the sub-divisions within a sector can make a big difference to your premiums. Go to http://www.moneysavingexpert.com/insurance/car-insurance-job-picker to find out what difference a slightly different job title can make to your premiums.
6. Use security devices – And tell your insurer about them.
7. Don't pimp your ride – Insurers don't like modded cars and will charge you extra or not insure you at all.
8. Don't use the address of a country dwelling family member - It might cut your premiums, but if you ever need to claim and your insurer becomes suspicious it might invalidate your insurance policy.
9. Add another driver to your policy - If they have a clean record it can actually reduce the total premium.
10. Buy a different car - The model you drive is the single biggest factor in determining your premiums, choose wisely.
More at: http://www.guardian.co.uk/money/2008/jun/16/carinsurance
Sunday, January 25, 2009
Thursday, January 1, 2009
Happy New Year to all Insurance News Blog Readers
Happy New Year to all Insurance News Blog readers. Have a great 2009.
Sunday, December 28, 2008
4 top insurance tips for the new year
As the credit crunch dips into a full on recession, choosing the right insurance cover becomes more important than ever. So today Insurance News Blog offers you 4 top insurance tips for the new year.
1. Avoid payment protection insurance
Number one in any list. Although banks and loan companies often try to force payment protection insurance (PPI) on customers taking out loans, they hide the true cost and fail to make it clear to their customers that taking out their cover is not mandatory. Lenders' PPI is usually vastly overpriced, and if you shop around you can always get a better deal.
2. Get your gadgets insured
Crime tends to go up in a recession, especially street crime so it's best to make sure all your desirable gadgets are covered.
Rather than insuring them separately get them added to your home contents policy. If you've acquired more gadgets over Christmas ensure that you are covered for the full amount.
3. Review your critical illness cover
Check whether the terms and conditions have changed, and whether it's still worth having.
In recent years these policies have become more and more expensive and with more exclusions. Insurers are also using unsavoury methods to avoid paying out. You might find permanent health insurance or an income protection policy actually represent better value.
4. Car breakdown cover
Especially in winter motor breakdown cover is a must. Make sure it includes at least these basic features: tow to garage, fix at roadside, take you and your passengers home, fix at home, and car hire or accommodation if your car cannot be fixed.
The following options are also desirable if offered: cover whilst driving on the continent, recovery for accident, theft or vandalism, and provision of a relief driver.
1. Avoid payment protection insurance
Number one in any list. Although banks and loan companies often try to force payment protection insurance (PPI) on customers taking out loans, they hide the true cost and fail to make it clear to their customers that taking out their cover is not mandatory. Lenders' PPI is usually vastly overpriced, and if you shop around you can always get a better deal.
2. Get your gadgets insured
Crime tends to go up in a recession, especially street crime so it's best to make sure all your desirable gadgets are covered.
Rather than insuring them separately get them added to your home contents policy. If you've acquired more gadgets over Christmas ensure that you are covered for the full amount.
3. Review your critical illness cover
Check whether the terms and conditions have changed, and whether it's still worth having.
In recent years these policies have become more and more expensive and with more exclusions. Insurers are also using unsavoury methods to avoid paying out. You might find permanent health insurance or an income protection policy actually represent better value.
4. Car breakdown cover
Especially in winter motor breakdown cover is a must. Make sure it includes at least these basic features: tow to garage, fix at roadside, take you and your passengers home, fix at home, and car hire or accommodation if your car cannot be fixed.
The following options are also desirable if offered: cover whilst driving on the continent, recovery for accident, theft or vandalism, and provision of a relief driver.
Tuesday, November 25, 2008
Tax cuts will help ailing insurers
The Association of British Insurers (ABI) insists that the proposed reduction in VAT from 17.5% to 15% will save the insurance industry at least £70m a year. As many insurers have been struggling in the hostile financial climate this could make all the difference to troubled companies.
The ABI stated that in 2007 the insurance industry was hit by £495m in irrecoverable VAT costs; if VAT was cut to 15% this figure would have been reduced to only £424m.
With so many institutions struggling to stay afloat during the current economic crisis caused by the credit crunch, this move may be enough to save jobs and keep premiums down.
The ABI stated that in 2007 the insurance industry was hit by £495m in irrecoverable VAT costs; if VAT was cut to 15% this figure would have been reduced to only £424m.
With so many institutions struggling to stay afloat during the current economic crisis caused by the credit crunch, this move may be enough to save jobs and keep premiums down.
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