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Car Insurance

Factoring car insurance costs into your new car budget

If you’re thinking about buying a new car, it’s always an exciting time. Everyone has a budget when they’re looking for a new vehicle, but it’s important that you budget properly to ensure you get a car you can comfortably afford. Comprehensive car insurance is a non-negotiable expense when it comes to owning a car, so you need to factor this in before you buy.

Understanding car insurance costs

Many different factors can figure into the car insurance costs you’ll incur. For example, if you’re choosing a rare and powerful car, it will cost much more to insure than a mass-produced hatchback with a small engine. Similarly, if you’re buying a car that has a reputation for being popular among car thieves, or you drive a high number of miles a year, the costs grow. Similarly, if you’re planning on buying a car that is already modified, or you plan to modify it yourself, that too will affect your insurance costs.

How do you accurately budget insurance costs?

It’s important that you consider how much of your budget you can afford to spend on car insurance. It’s worth investigating what insurance bracket your car is in – every car is put into an insurance category, so a higher category means higher insurance costs.

As a ballpark figure, for cars costing in excess of 300,000 AED, the insurance is roughly 2.75% of the car’s value, rising to 3% for cars between 100,000 and 300,000 AED, and 3.25% for cars under 100,000 AED. These figures are only averages, however. For many, car insurance is the second-highest ongoing cost associated with running a car, second only to the cost of fuel.

Getting car insurance quotes the easy way

When you need to insure your new vehicle, consider using a specialist insurance comparison website like Compare Insurance. All you need to do is put in your details, the details of the car you want to buy, and some information about your driving habits, and you’ll get a broad range of quotes in seconds. This will help you find the most affordable quote for your budget.

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Car Insurance

Getting car insurance in the UAE

Although car insurance can seem like an unnecessary expense, it is hugely important for protecting yourself and your vehicle against all the unforeseen events that may come your way, such as theft, accidents and third-party liability.

With the best car insurance companies, it is possible to protect yourself and your car against a whole string of potential costly occurrences, including expenses from a traffic accident, physical damage to your vehicle, bodily injuries caused to yourself or another driver, and legal liabilities.

What are the benefits of having car insurance in the UAE?

When driving your vehicle in the UAE, there are many benefits of insuring it. This includes:

– Ensuring you are not breaking the law
– Protecting your car from loss or damage
– Ensuring you have unlimited liabilities in the event of a third-party death or injury claim
– Aiding in medical costs for any bodily injuries caused to yourself or another person
– Indemnity against any property damage – either by yourself or a third-party
– Protecting you against any financial liabilities
– Ensuring you can replace your vehicle in the event of a theft or accident

What types of car insurance are there in the UAE?

There are two types of car insurance policies readily available within the UAE. Through understanding this, it will make it easy to compare car insurance quotes online.

Third-party liability car insurance

It is the law that every car owner who drives their vehicle in the UAE must have third-party liability insurance. This is the most basic form of car insurance available but still enables you to be protected against any third-party liabilities, such as bodily injuries or property damage that is caused to another person/property by the vehicle that has been insured.

This is not the most thorough car insurance policy though and any damage that is caused by, or affects, the policyholder is not covered. For example, it does not cover fire and theft or accidental collision. This means if there are any repair costs, they would need to be covered by the vehicle owner rather than the insurance company.

Comprehensive car insurance

For the best car insurance available in the UAE, you should look for comprehensive car insurance. This will help to protect your vehicle against all kinds of damages, whether caused by yourself or a third party, including theft or fire. It will also payout to a third party should there be an accident that leads to damage, injury or death.

For more information about car insurance policies in the UAE, contact us at Compare Insurance today.

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Car Insurance

3 car insurance myths debunked

Car insurance can be extremely difficult to wrap your head around, so to make sure that you end up with the best deal, we’ve debunked three of the most common myths about cheap full coverage insurance.

No claims bonus protection will prevent my premium rising

Many car owners make the mistake of assuming that if they pay more to protect their no-claims bonus then this will stop their premium from growing if they decide to make a claim. However, it isn’t that straightforward. If you have chosen to make a claim and have already paid to protect it, you won’t lose your no-claims bonus, but your premium still has the potential to increase because your insurer might label you as ‘high-risk’. Your no-claims bonus also serves as a discount that is taken away from your premium, so you may still pay more at renewal.

Comprehensive insurance is always more expensive than third-party cover

While it makes logical sense that low-level cover would be cheaper, this is not always the case. Drivers that choose low-level cover have a tendency to make more claims, which has increased the cost of these low-cover policies. For many car owners, comprehensive cover can either cost less or the same as third-party cover or third-party, fire and theft cover, with the added benefit that your own vehicle will receive coverage for any damage.

If I don’t claim, my car insurance premium won’t increase

Every year that you don’t make a claim, you might be building up your no-claims bonus, but this does not mean that your car insurance premium won’t increase. The cost of your insurance will depend on a wide variety of factors. The majority of insurers will consider your age, so after you reach a certain age, your premiums might rise because you are regarded as higher risk. If you make specific adjustments to your insurance policy, such as your address or job, your premium could also change.

If you need help finding the best car insurance policy for you, get in touch with our team at Compare Insurance today.

Photo: Free image by Pixabay
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Car Insurance

Finding car insurance quotes doesn’t have to be time consuming or expensive

Car insurance is something that most people shudder to think about finding – it’s thought to be a time consuming, stressful, and expensive process. If you choose to find your car insurance the old fashioned way, it’s true that it definitely can be all of those things. But there is a much easier way, by using the benefits of technology.

By using a comparison tool, such as Compare Insurance, you can find car insurance easily and quickly.

How does it work?

Using a comparison tool is easy – all you do is make a simple car quote application. That’s it. One simple application. It will then be passed to multiple insurance providers for perusal, and they will decide whether or not to provide you with a quote. Those quotes will all be presented to you in easy list form for you to choose the best one for you.

This means you can forget about spending hours on the phone, calling around insurance providers to get quotes and then making a note of them yourself. There’s no need to repeat the same information over and over again, either on the phone or through online application forms. You just need to make one application, and it’s done.

Whether you’re looking for comprehensive car insurance coverage or CTP insurance (Third Party only), you’ll find the right deal for you. It takes mere minutes for you to start getting quotes from providers when you apply online.

Making it easy

Getting car insurance is not something any of us have a choice over – if we want to drive, we need to be insured. But we do have a choice about how stressful and time-consuming the process of getting that insurance is.

With a comparison tool you can get your quotes in minutes, confirm and make your final application online, and be driving in no time at all. There’s no danger of drowning in red tape or being confused by having to keep your own notes. Everything is presented to you in an orderly, clear fashion for you to make your choice.

Use a comparison tool like Compare Insurance today, you won’t regret it.

Photo: Free image by Pixabay