02. February 2016 · Comments Off on How to Cut the Cost of Car Insurance · Categories: Car Insurance

Less desirable and low value cars are cheaper to insure

When I was 17 I wanted to own a Ferrari and live life in the fast lane. Even if I could have afforded the car, then I couldn’t have afforded the insurance to cover it. At 17 you are brand new to the world of driving and statistically you are more likely to make an insurance claim. Mixing high-powered cars with inexperienced drivers is not something car insurance companies are super-keen about, the chance of a claim shoots through the roof with the price of the premium following it. When you are young and inexperienced, buy a low-powered, low value car to try and keep your car insurance premium to a minimum. If it is worth less then it will cost less to fix/replace when in your youthful exuberance you crash it. The same logic actually applies to everyone, the lower the value of the vehicle and the lower the car insurance policy will be in most cases. Sports and premium cars will always cost more to repair in an accident so the insurance will reflect this. New cars now feature myriads of anti-theft and driver aids that in many cases will help to reduce the cost of insurance so keep an eye on the spec sheet when looking at a new car. A good rule of thumb is that less desirable and low value cars are cheaper to insure.

Age is a concern

I mentioned it above and it bears repeating. Generally the younger you are the higher your car insurance premium. This is down to inexperience and the youthful belief that bad things will never happen to you. The statistics say otherwise, which is often a shock to an unsuspecting young driver who ends up in a crash wondering how it happened to him…Driving experience and age are usually linked and that leads to a method of reducing your insurance premium – whatever age you are you will benefit from advanced driving courses and many car insurers offer discounts for these qualifications. It may only be a five – 10 per cent saving for the course but on a premium of £1000 it’s worth having the saving and it will remain with you for years, so it should be a good investment, not to mention make you a better driver.

Keep adding to the no-claims bonus

The more years you can accumulate without making a claim the better as most car insurers will offer a discount on your insurance for this. Effectively you are proving you are good business to have and because you haven’t made any claims then you are a good risk for them to underwrite. There’s nothing you can do here but keep your nose clean and don’t make a claim. If you own a low value vehicle and dent it parking, you’d be advised not to make a claim on comprehensive insurance because it would reduce your no-claims bonus, likely to be for a small amount of money and you may even end up paying for most of it depending on excess. In that case, provided you have not caused damage to any other vehicles or property, keep quiet, fix it yourself and your saving on no-claims bonus will be sweet the following year – in time, when you have built up three or more years no-claims bonus, you can actually protect your bonus, meaning even if you make a subsequent claim you will not lose your bonus.

Convictions aren’t cool

If you are an inner-city teenager then an ASBO may be a badge of honour. Insurers are less impressed by convictions though, so it is best to avoid them if you can. Minor speeding offences are certainly not in the same category as serial killer though, so if you have a couple of points it will not be the end of the world or have a major influence on your premium depending on the insurer.

If you’ve got a garage, use it

What are garages for? If you ask the average person they’ll probably say for storing all the kids’ toys, the home gym, bicycles, the freezer and tumble-dryer. I have news for you all; the garage is designed to house your vehicle when you are not using it. The fact that it puts a physical barrier between any opportunist thieves and your car is a real good thing and car insurance companies will recognise this and reduce your premium if you park in a garage overnight. Using your garage will save you money; it doesn’t get any easier than that.

Anti-theft devices

Most modern cars come with immobiliser and alarms factory fitted and if you notify your insurer it will check to make sure they are to approved standards and will apply discounts if applicable. You can get other devices that slosh around in the passenger footwell until you park and then fix to generally your steering wheel or gear-stick. These are mechanical devices and some do attract further discounts if used, just do your homework before buying. Thatcham is the organisation which grades security devices and generally a decent mechanical security device will feature its Thatcham approval very prominently along with any premium discounts you may expect, so choose carefully.

Use a reputable broker

Car insurance is very big business with around 30million+ vehicles on the UK roads, so there is a wealth of car insurance companies to choose from. Ironically, the big names you are familiar with are probably in your head because of massive marketing campaigns on television, on-line etc. Regardless of the message, those marketing campaigns need to be paid for and that means they may not actually have the best rates, although the sheer scale of some of these businesses means prices will be keen due to buying or underwriting power. The best advice is to compare a couple of different prices from different companies. Call the insurer and then call a comparable competitor and then perhaps a small car insurance broker. Each one will ask you if you have a price already and you should tell them what it is. Generally if they want the business they know what to beat. The moment you get a broker saying they can’t match the price then you are probably close to the best market price or else speaking with a broker that is not a specialist in the area.

A word of caution on price comparison sites

There are plenty of price comparison sites around which promise to drive the cost of your insurance policy down – Money Supermarket, Go Compare, Confused etc. They certainly do help reduce the cost of insurance as most of the major players are fighting for business on the same platform. Where these price comparison sites do not perform so well is actually advising you on the sort of policy that’s best for you or your car. Would comprehensive be cheaper and more suitable than third party fire and theft? The point is you cannot ask the price comparison site for any advice, that’s where car specialist brokers have the edge. Compare it to buying a new house, would you buy one without a survey? You might and then when it subsides into the sea you’ll be praying your insurance will cover it…the point is you shouldn’t buy insurance without talking with an expert either.

Pick up the phone

The internet is a great shopping and selling tool, you know my feelings on that from previous articles…but I suggest if you speak to a real person at a brokerage then you have a much better chance of getting cheaper car insurance. They can ask more questions, clarify your requirements and if needed they can even delegate the rate (set the price themselves) if they really want the business. There is no substitute for human contact, just make sure you speak to at least three different brokers to get a true comparison.

Got a nice postcode?

If you live in a postcode where there are few thefts and claims then your insurance premium will be lower than living somewhere that is a known crime hotspot. If you can afford it, move to a posh area and you’ll benefit from lower insurance premiums. Not the easiest way to save on the cost of insurance for sure…

Mileage and use

The more miles you drive the more chance you have of being involved in a claim. It’s simple statistics. The fewer miles covered, the less your insurance premium should cost. Don’t tell lies though, if you exceed the stated mileage by a distance then it could invalidate your insurance.

Married with kids?

Insurers like selling car insurance to married couples mortgaged and with kids and jobs. You are very easy to credit check and generally display responsible behaviour which hints at a lower risk for the insurer. That can reduce your car insurance quote.

Don’t modify your car

We all see the bling bling cars that haunt Supermarket car-parks late at night and whether you like the tacky neon colours and loud exhausts is neither here nor there – the fact is that any sort of modification is likely to hike your car insurance premium. Modifications can draw attention, invalidate warranties and in the case of loud exhausts, can also be illegal (if above the noise limit). If illegal, then it could invalidate your insurance as well. The fact is that car manufacturers spend a lot of time developing their products so they work well and if you modify them then it’s all out the window and your insurer will be scratching his head wondering what he should charge – and it will almost always be more than a standard vehicle.

01. January 2016 · Comments Off on Top 10 Misunderstood Things About Car Insurance · Categories: Car Insurance

After spending many years in the insurance industry we have come up with a top 10 list of most misunderstood things about car insurance.  These car insurance myths are some of the most common questions that most people have about direct car insurance either buying or reviewing their  auto insurance coverage.  Its better to find out now before you have a claim and  it’s too late.

  • I just got my 1st speeding ticket my insurance rates are going to go way up.

Reality:  If this is your first ticket your rates probably won’t even change.  Most direct car insurance providers will give you a pass if you don’t have any other tickets or claims in the past 3 to 5 years depending on the company.

  • That new Plasma TV I bought last year won’t affect my Car Insurance

Reality:  If you didn’t pay the credit card  you charged it on then it just might.  Almost all insurance companies now use some form of credit scoring when determining not only if you will qualify for insurance, but also what you will pay.  There can easily be 50% difference in rates for a person with excellent credit to someone with poor credit.

  • I just slammed my car door into my lawnmower parked in my garage, my homeowners policy will cover it

Reality:  Your homeowner’s coverage has nothing to do with covering your car.  The only way your car will be covered is if you have Comprehensive (Comp) coverage for your car.  And then only after you pay you deductible.

  • I just cracked up my friends car and I tell him don’t worry my insurance will cover it

Reality: It will but only after your friends policy pays first.  So let’s say your friend has a $500 collision deductible and you have a $250 deductible.  You would have to give your friend the $500 for his deductible as his insurance company is Primary.  Meaning your insurance will only pay after his policy limits are exhausted.  So just remember in this scenario your deductible does not matter its going to be based on your friends.

  •  If you’re riding your bicycle and get hit by a car your car insurance won’t get involved

Reality:  If you get hurt or killed while riding your bike or even walking down the street you maybe surprised to learn that you may be covered by your direct car insurance policy.  If the person driving the car didn’t have any insurance or not enough insurance to cover your injuries, your Uninsured or Underinsured coverage would pay for your claim. 

  •  Someone just broke into my car and stole all of my personal belongings out of it i.e. Cd’s, Cell phone, Christmas Presents, my car insurance will pay for it.

Reality:  Your car insurance does not cover your personal belongings left inside the car.  You are going to have to file a claim with your Homeowners or Renters insurance policy to be compensated for these items.  The general rule of thumb is your car insurance will only pay for items that are attached to the vehicle

  •  I am going to be charged more for my  Car Insurance because my car is red, blue, black, pink…

Reality:  The color of your car has absolutely nothing to do with your rates.  If you like red buy a red car, if you like black buy a black car.  Don’t ever let this silly nonsense stop you from buying a car.   

  •  I didn’t have a car for the last 2 years, this won’t affect my rates.

Reality:  Not having continuous car insurance is frowned upon by most direct car insurance companies now a day’s.  Some companies won’t penalize you for not having prior insurance.  If you don’t have prior insurance make sure you have a good excuse like you took the bus, or you were in the military, or some other legitimate reason.  Oh and by the way I couldn’t afford my insurance is not on that list

  • Telling a little white lie on my insurance application won’t affect my coverage if I ever have a claim

Reality:  This is one of the worst things a person can do.  If you lie on your insurance application there is a good chance you won’t have any coverage when you need it the most.  You think they won’t find out?  Remember these 2 things when insurance company is on the hook for a ton of money.  #1 They are going to start asking questions and the first thing they look at is your application.  Wouldn’t you if you were them?  And reason #2, the insurance companies have more money than god and they have people working full time to find this stuff out. 

  •  Buying a cheaper more reasonable car will be less to insure the a more expensive car. 

Reality: There are a lot of different factors insurance companies use to determine rates, however there are many times were the rate for the more expensive car is less than the cheaper car.  One of the biggest factors for the Comp & Collision coverage’s are how much do replacement parts cost.  Sometimes on those cheaper cars or the more exotic cars the replacement parts can cost a lot to replace.

So just remember the next time your online looking for a cheaper insurance policy, to consider some of your options.  There are hundred’s of direct auto insurance companies out there looking to get in your pocket, just make sure when the time comes you can get into theirs.

Bryan Waldo

20. December 2015 · Comments Off on Ways on How to Save on Car Insurance · Categories: Car Insurance

Did you know that owning a car is not cheap? You don’t simply drive it and pay for gas? No, owning a car is expensive. There are many reasons why and insurance is one of them. So, before you buy a car, think about car insurance. Auto insurance is mandated by law. If you drive your car, make sure you carry the required insurance policy on it. Cheap car insurance may suffice minimum state requirements. But don’t be too quick in getting cheap insurance.

How do you choose your car insurance policy?

1. Choose the appropriate car. Insurance companies assign values to cars, and different cars have different values that would affect the cost of insurance. Insurers are most likely to look at the cost of repairs if the car gets into trouble. If your car is expensive, repairs for it will likely be expensive too. Hence, these firms will assign a high cost on your car. Before you buy a new car, think about how possibly its price will affect its insurance.

2. How often do you drive? If you stay in your office 8 hours a day, chances are you only drive to work and back home. There is not too much mileage there. Insurers look at you as a candidate for cheap auto insurance, because they will not likely spend for your car repairs because the less you drive your car, the smaller your chances of getting involved in a car accident.

3. Consider the insurance product that suits your driving habits. A lot of car owners do not really drive too often. These people may do well with pay-as-you-go car insurance, which is much cheaper than standard ones. You cannot cheat the insurer because a tracking device will be attached to your car. At some point, this type of insurance may prove to be insufficient.

4. Consider the minimum state requirement. Some states require car owners to purchase at least liability insurance. In case, you bumped your car into someone else’s and their car’s side got dented, your insurer will pay for the damages you caused. But if your car was damaged, you will spend for the repairs with your own money.

5. Be a good driver. Good drivers are rewarded with low cost insurance, because the insurers will think they are less likely to be involved in road accidents. It takes a while before you can earn the reputation of a good driver. First time drivers would have to contend with high premiums for their car insurance. If you want nice auto insurance deals in the future, drive in such a way that you will not end up being chased by the cops on the road.

6. Improve driving skills. Inexperience is the reason insurance companies give new drivers high cost on their insurance. Statistics indicate that young drivers are likely to be involved in car accidents. As implied earlier, you can do little about the high cost of insurance, but you can make yourself qualify for cheaper insurance in 3 or 5 years by improving your driving skills.

7. Look for the best deal online. Shopping for auto insurance can be daunting. Some agents trick you into signing up for an expensive insurance with inclusions that you do not need. You can ditch that insurer by the end of the insurance term and look for favorable deals online.

Page 6 of 6« First...23456
FionaJewelry.com is a great wholesale China jewelry dealer that keeps offering new fashion trend in the global fashion market.