A lot of people are saving money on their car insurance, but for many, there’s a whole range of things they could be doing to boost their coverage.
Here’s what to do if you’re looking to save even more on your car insurance.
Read more:Car insurance quotes for 2019:How much to save, how to find the best car insurance quoteFor those looking to improve their car coverage, there are a number of things you can do to boost your insurance rates.
The first thing is to get yourself into the best possible car insurance position, according to ATSC’s Car Insurance 2018.
“It’s important to have a good, solid insurance position,” says Paul O’Neill, a senior automotive insurance analyst with ATSCS.
“The car insurance industry doesn’t exist to protect your car, it exists to protect you, so that you can drive safely, with your family and your finances in order.”
In 2018, the average cost of a basic policy for a two-year term of two years was £16,000, according the latest figures from the Insurance Bureau of Canada.
But for two years, that price can jump to as high as £32,000.
While some drivers may choose to pay an extra £10,000 to cover themselves, there is another option that is less expensive but can result in a premium increase.
The ATSCI recommends that drivers pay £10 extra per month for a premium policy that is not covered by the premium credit card option.
This means that, if you are in a new car and need to cover yourself with the cheapest rate available, you’ll need to pay £15 extra per year to cover the car.
If you’re not in a car insurance policy, but you’re aware of the costs associated with the policy, you can take action.
“If you think about the cost of the car, how much do you pay?
The cost of fuel is going to be higher than the cost that’s covered,” says O’Neil.”
What do you do?
If you have an auto policy, then you need to make a choice.
You can either pay a higher rate for the same car, or you can find a cheaper car that’s going to get you through the year.”
What you need before you startThe first step is to understand how much you’ll pay if you get into a car policy that doesn’t have a car credit card.
“When you buy a car, you need some sort of discount or a coupon, and those discounts are a lot higher than what’s available in a credit card,” says Richard Frewen, senior auto insurance analyst at Insurance Institute for Highway Safety (IIHS).
“If the price is the same as the credit card, the insurance company’s going for the discount, not the car.”
As an example, a 2017 Honda Accord with a base price of £25,000 could get a discount of around £10 a month on top of the premium of around $18,000 on the car credit cards.
“That means you’re paying around $30,000 in premium and the discount is $10 a year,” says Frewin.
“That’s not a lot of money to be making, especially when you’re going to have to pay a big premium.”
The premium you pay will depend on many factors, including the size of the discount you apply and the year you plan to drive.
The best car policies will also offer a discount, but some drivers won’t have that option.
“I don’t know if they have a credit cards offer, or if they only have a discount,” says David Wiersema, an insurance analyst and owner of Wiersels Insurance.
“You can also pay for the premium yourself by paying a little extra per kilometre, or by using a discount coupon.
Those types of things may be less expensive, but they’re still cheaper than paying for the car outright.”
If you are able to find a car that is covered by both the credit cards and the insurance, you may be able to reduce the premium you’ll have to shell out for the policy.
“There’s always going to come a time where it’s a bit of a gamble,” says Wierzeas.
“I would say that it’s always a good idea to have the car insured.”
If the car isn’t covered by a credit or a car loan, you might need to get involved in a different type of policy.
In 2018 alone, more than 5.3 million people were charged £2.2 billion ($4.4 billion) in premiums due to lack of coverage in car insurance policies, according ATSCA.
The average annual premium for a basic car policy in 2019 was £9,800.
A car insurance rate increase is usually only available for a period of three years, so if you want to save more than £2,000 a year, you will need