Seven tips to help you save money on your car insurance

Need to renew your care insurance and want to reduce the pain of a high premium? Here are seven tips to help you save money. 

If you drive a car then you need insurance. And it’s bad enough paying out every year for cover if you don’t need to make a claim. But if you do make a claim, you can find your premiums rising sharply.

And even if you don’t make a claim, simply moving to a high risk address or changing vehicle can have a big impact on the cost of your car insurance.

To help take some of the pain away, here are seven tips to help you save money on your car insurance.

1) Limit your mileage

Limiting the number of miles you drive every year can make a difference to the cost of your car insurance. So keep an eye on how often you drive, and how far.

And, when you’re shopping for a general car insurance quote make sure you’re aware of exactly what your annual mileage is – so you’re not unknowingly paying for higher car insurance than you need.

2) Pay annually

Paying for your car insurance monthly can feel like less of a hit on your finances but, in the long term, it’s more expensive than paying for your insurance annually.

If you really can’t afford to find the money for your premium upfront, you could consider paying on a credit card with 0% interest. Just make sure you pay off the balance on the card before the interest-free period ends.

3) Improve your security

Improving the security of your car with modifications like wheel-locking nuts, immobilisers and alarms can help you get a lower car insurance quote. But check with your insurer first to ensure that their policies acknowledge the extra security, and if they believe that the investments are worth it.

4) Increase your voluntary excess

You can lower the cost of your car insurance by choosing a higher voluntary excess when taking out your policy. However, you need to take into account that, if you make a claim, you’ll need to pay more money out.

5) Build your no claims bonus discount

Car insurers usually reward motorists who don’t make any claims by reducing their premium. So if you build your no claims bonus discount up you should get cheaper insurance. And once you’ve banked a few years, you may want to consider paying extra for no claims bonus protection to ensure you don’t lose it.

6) Choose your add ons carefully

When buying your car insurance you’ll usually be offered packaged products you may wish to add on, such as windscreen and breakdown cover. But do you really need them? Make sure you don’t already have cover (or can’t source it cheaper) from elsewhere before you automatically add them to your car insurance.

7) Shop around for a quote

Once you’re with a car insurance provider, it’s very tempting simply to renew with them each year. But are you really getting the best deal? To make sure, shop around every year to check you can’t get the same cover elsewhere for less. Just a few minutes of searching can repay you with a nice little saving.