Car Insurance

Factors that affect your car insurance rates

Ever wondered how insurers calculate the cost of your premiums? If so, you’re not alone. Insurance pricing is a bit of a mystery for many, making shopping around for car insurance quite difficult. However, it helps to know the factors that affect your car insurance rates so that you can make an informed decision on your policy and insurance provider for cheap car insurance for new drivers.

To help you get started, here are three factors that affect your premiums.

1. The make and model of your car

Certain types of vehicles cost more to insure. For instance, expensive cars such as Teslas cost your insurer a lot if you make a claim and your car is written off, which makes your premiums higher. Modifying your vehicle, whether for performance or cosmetic reasons, can also lead to higher insurance rates. So, check with your insurer first before altering your car.

If you’re looking to renew your car insurance or want to buy a new car, check what insurance group your car is in to give you a rough idea of how much you’ll pay.

2. Your driving habits

Generally, this includes:

• Your driving record: If you’re a responsible driver and have a clean driving record, your premiums are more likely to be lower than that of a reckless driver. However, if you’ve never had insurance before and are new to driving, expect to pay more.
• How much you drive: Using your vehicle more and driving for longer distances exposes you to more risk, increasing your insurance rates. So, if you only use your car on the weekends, your insurance rates won’t be as high as a person who drives to work daily.

3. Where you live

Before giving you a quote, insurance providers look at a range of statistics from your area, including how busy it is, the crime rate, general driving behaviour, and the average number of fraudulent claims filed each year.

If the general risk of accidents in your area is high or you live near/in a city centre, you’ll likely pay more.

Now that you know some of the factors that affect your car insurance rates, it’s time to compare quotes from different providers. Simply browse our website to find your car insurance provider today.

Photo: Free image by Pixabay
Car Insurance

Three ways to get the best car insurance deals

Buying car insurance for new drivers can be daunting at times, as there is so much to take into consideration. But really, it’s all about understanding what you’re paying for. Whether you’re a new or experienced driver, here are three of the best ways to get the best car insurance deals:

1. Secure your car to secure your insurance price

One of the best ways to get the liability car insurance deals is to show the underwriters not just how safely you drive, but how safe and secure your car is. Make sure your car has a professionally fitted alarm and/or immobiliser and by parking in a safe spot, such as in a driveway or garage. Doing this will lower your risk, giving you much cheaper insurance.

2. Don’t pay more for add-ons

When buying car insurance, you’ll notice providers will try to sell you add-ons. However, sometimes the best insurance deals may require you to skip these add-ons because they’ll just add extra costs without any benefits. Think about if you need a courtesy car or legal cover. Breakdown cover can even be included on some bank accounts. You should also think about travel insurance which can cover excesses on rental cars while travelling.

No Claims Protection is actually a good add-on to have. It will keep your premiums low, even if there is an accident on the road, which is good in the long term.

3 Comprehensive over third-party

Many insurance providers have found that, statistically, those who take out third-party car insurance are more likely to make a claim. This means that they’ll drive up the price of third-party insurance even though it offers less cover than comprehensive. Those who choose comprehensive insurance are considered more responsible, and so the premiums can be much lower. This can be an excellent choice as you, your car and the third party will be covered, and you won’t be overpaying for the privilege.

Generally, you should compare providers to secure the best deal. Our dedicated team of specialists are here to help, so contact us today and we’ll help find you the best car insurance deal.

Photo: Free image by Pixabay