Paying too much for insurance? 10 ways to reduce your motor insurance premium
Insurance Premium Top Tips
Finding affordable car insurance is becoming an increasingly difficult task. With so many different car insurance companies and brokers, online your options are now more plentiful, however, the loops to qualify for the insurance are becoming more difficult to jump through.
The tips below should help you navigate your way through the market finding the best premium available.
Sports cars, modified cars and vehicles with high engine cc or high brake horsepower (BHP) are classed as high-risk vehicles and this will be reflected in the premium. So before you purchase a vehicle, ensure that you get a quotation from your insurance company.
2. Value your vehicle correctly
Valuing your vehicle for more than its worth is pointless and will only add to increasing your premium. In the unfortunate event that your vehicle is written off by your insurance company, you will only be paid out a fair market valuation of what your vehicle was worth at the time of write off.
Vehicle Management System (VMS) who is the parent company of MyVehicle.ie currently provide the majority of Insurance companies throughout Ireland, a fully auditable fair market valuation, which is available to the general public at www.MyVehicle.ie
3. Additional Policies and Discounts
If you have a home insurance policy with the same company, you may be entitled to discount off your car insurance.
If you are in a position to add a driver to your policy that has more recorded driving experience, this may assist in reducing the risk and potentially lower your premium.
5. Increase your excess
If you have not been involved in an accident or claim for a number of years, you may be able to opt for an increased excess charge in order to reduce your overall premium. An excess is the amount of money that you must pay upfront if you submit a claim.
Some insurance companies offer special discounts for a safe driver or advanced driver schemes. These can include committing to taking a package of driving lessons, driving courses, driver monitoring and low vehicle usage (less than 5,000 km per year).
7. Driving License
A full license with no penalty points will assist in reducing your premium.
If you have access to a garage to park your car in at night, mention this to your insurance company, as there may be an additional discount due to this.
9. Breakdown service
The majority of car insurance policies tend to include a breakdown service. If your vehicle is brand new, it is more than likely that the vehicle will include a 12-month breakdown service by the manufacturer, so request that this is removed from your premium. It is always advised that you have some form of breakdown cover or assistance, so check with the vehicle manufacturer, the insurance company or MyVehicle.ie 12 Month Breakdown Membership assistance.
10. Comprehensive or Third Party
When insuring your vehicle, it is worth taking some time to consider whether a comprehensive or third-party policy is for you. Normally if the vehicle is relatively old (not a classic car) and not overly expensive, it may be worth considering opting for a third-party policy in order to reduce your premium.