Car insurance is an unavoidable cost if you’re going to take to the road. It’s just one of many things we have to factor into the ever-rising cost of living.
The cost of a policy can vary as a result of multiple factors, from the car you’re driving to how many years on the road you have under your belt. For some people, particularly young drivers, the cost can be huge.
Car specialists Euro Car Parts have shared some tips that could help drivers saved hundreds on their annual insurance bills.
Get a black box
If you’re new to driving, car insurance policies can be pricy because of your lack of motoring experience. One way of demonstrating you’re safe (and lowering your premiums) is to sign up for a black box insurance policy.
A black box is a small computer that’s fitted to your car to monitor how you drive, relaying the information back to your insurance provider. These devices rely on satellite technology to build up a record of your driving habits. This includes how aggressively you accelerate and brake, whether you speed and what time of day you’re active.
Once you’ve taken out a black box insurance policy your insurer will organise for a third party to install it in a place that’s out of sight, such as behind your dashboard.
By opting for a black box, you’re likely to have lower premiums in your first year, and your insurance costs may be cut further after a year behind the wheel. This is a tactic that rewards consistent driving, so it should also help you to learn some good motoring habits as well as save some money in the long run.
Make annual payments
If you can afford it, a one-off annual payment is one of the best ways to lower car insurance costs because it means you don’t have to pay any interest on the policy. Drivers can see savings of up to £200 paying annually as opposed to monthly.
Whilst monthly costs may be easier to manage, it can work out more expensive to pay this way. By selecting a pay monthly plan, you’re effectively signing up for a 12-month loan from your insurance company. This often means paying for fees alongside the interest rate to cover the premium.
Your insurance company may even carry out a credit check before they agree to the monthly plan alternative. If you’ve got a low credit score, then you may have to pay a higher rate of interest, or the lender may even withdraw their offer of a pay monthly option.
Park somewhere safe overnight
When calculating your car insurance policy, an insurer will always consider where you park your car. If you’re wondering how to make car insurance cheaper, it’s always worth remembering this is a factor you may be able to control.
Car insurers are keen to know your parking habits, so they can factor in how safe your car is. Locking your car up in a garage overnight might seem the safest place for your pride and joy, but an insurer might not quite see it that way.
They’ll consider the fact that it could potentially pick up some scrapes as you drive in and out. With that in mind, a carport is seen as the policy maker’s pick. A private driveway is also a popular spot with insurance companies, and could see your policy come in at almost half the price it would be if you parked your car on the street, out of sight of your property.
Get a dashcam
An accident on the road can happen at any moment, and in the heat of the moment it can be tricky to gauge who was responsible for the incident. That’s where a dashcam comes in handy to capture footage of your time on the road, recording both your driving and other motorists around you.
Installing a dashcam and collecting footage from your journeys may earn you a discount on your car insurance. Companies look favourably on drivers who have a device fitted because it shows that they’re willing to document their driving.
Insurance companies are most likely consider reducing your rate if you’ve got a dashcam that operates GPS tracking and has a location setting in place, because the more information an insurer and the authorities have about an accident the better.
If you’re involved in an accident or incident, and your dashcam footage proves that you weren’t at fault, it can save you from making a claim on your insurance policy, preventing your premiums from increasing. The authorities request that if you want to report the dangerous driving of other motorists in your area, you should submit footage to the National Dash Cam Safety Portal.