Simple tweak could save you £100s on your car insurance – but getting it wrong could leave you with no cover at all
A MOTORS whizz has revealed how drivers can save hundreds of pounds on your car insurance, but telling fibs could leave you with no cover at all.
It comes after research from Confused.com found that motorists paid 58% more for their cover in 2023 than the previous year, the seventh such rise in a row.
The average price of a year’s premium can set Brits back around £1,000, so many drivers will be angling to avoid the pinch.
Car retailer Motor Match has lifted the lid on how motorists can pocket hundreds of pounds on their car insurance – and it involves where you park.
“Where you park your car can significantly impact your insurance premium,” experts explained.
“Parking on a driveway is often perceived by insurers as safer than street parking, which is more susceptible to theft and accidental damage.
“Informing your insurer that the vehicle will be parked in a relatively safe location can lead to more favourable rates.
“It’s a simple adjustment that can have a meaningful impact on your costs.”
Drivers who park off the road overnight are more likely to fall prey to incidents of theft of a collision with another vehicle than those parked in a garage or on a driveway.
Nevertheless, Motor Match warned that motorists must be honest when filling out their car insurance form, else it could be much more expensive in the long run.
If the vehicle suffers any damage and insurers discover that the provided details are untrue, they may not pay out.
Worse still, they may slap you with an additional fee to change the false information.
Other companies may cancel the policy, while some may refuse to give the driver any cover.
They continued: “Insurance companies tend to view last-minute policy applications as higher risk, which can lead to increased premiums.
“To avoid this, we recommend planning your insurance start date in advance – ideally, setting it to begin 20 days from when you secure the quote.
“This not only shows insurers that you’re a low-risk client who plans ahead but also gives you the leverage to secure a more competitive rate.”
Why is car insurance more expensive?
Insurers have blamed rising costs on high inflation as well as delays in their repair and supply chains and the cost of parts and materials.
They have said the rapid acceleration of car technology is making it more expensive and difficult to repairs vehicles too.
A shortage of skilled workers is also adding to premium costs.
Do I need car insurance?
It’s a legal requirement if you own and drive a car.
Car insurance offers you financial protection if you are in an accident, with three different levels of cover available.
You can opt for a fully comprehensive, third party or third party, fire and theft policy.
Fully comp policies are the highest level of protection and cover you, your car and anyone else involved in an accident – that makes them the most expensive.
The lowest level is third party, which is the legal minimum you must have.
It covers you for the costs of injury or damage caused to other people or their property.
However, you don’t get any protection if your own car is damaged or stolen.
You can pay for your car insurance in one lump sum ahead of the 12-month policy, or in monthly instalments.
Insurance companies tend to view last-minute policy applications as higher risk, which can lead to increased premiums
Experts at Motor Match
Insurers then reward you if you make no claims in this period by, generally, lowering your premium for the next 12-month period.
This is called the “no-claims bonus” and can see your premium drop by 30% after one year to 65% or more after five years.
That said, many drivers have still been seeing their premiums go up in recent months despite making no claims or having a change in circumstances.
This is due to, among other factors, energy inflation and the rising cost of carrying out vehicle repairs being passed on to consumers.
Elsewhere, one motors expert revealed how you can knock up to £2,000 off the cost of your car insurance at the click of a button.
Abigayle Andre, who runs SheTalksCars, took to TikTok to share the money saving tip with her followers.
In the clip, she said: “My insurance was due in September, they wanted to charge me some serious money.
“But with these tips, I managed to save nearly £2,000 so let me share them with you.”
The biggest saver, according to Abigayle, was to buy your cover well in advance of the start date.
She found that taking the policy out several weeks in advance was a whopping £1,320 cheaper than next-day cover.
The motors whizz advised that between 23 and 26 days before you want your insurance to start is the “sweet spot” where you get the biggest discount with the least waiting time.
Secondly, much to her surprise, she found that entering her driving licence number into the application saved her £200, compared to just £20 the last time she renewed.