Effective Ways to Reduce Your Car Insurance Premium

One of the most effective and essential ways to reduce your premium is to build up the amount of no claims discount you have. By having at least 5 years of no claims discount you can see your insurance premium fall between 60-70% depending on which company you are insured by.

If you choose to make your voluntary excess as high as possible then you will also see some dramatic decreases in the price you pay. As the voluntary excess determines how much you will pay in the event of a claim, having a high voluntary excess means your insurance cost will be much lower.

If you are a new driver then it may be worth looking in to an advanced driving course such as Pass Plus. The Pass Plus course is recognised by most major insurers and will help to reduce your premium by as much as 10%.

Improving the overall security of your car can also help. By installing an alarm, immobiliser or tracker will help reduce your premiums as it shows your insurer that you are actively taking steps to keep your vehicle secure. Taking simple steps such as parking your car on a drive or in a garage rather than on the street can also see your premium drop by as much as 5%.

If you are a new or young driver then it is advised you purchase a car with a smaller engine. Insurance companies will increase your premium dramatically if you drive a car with a large engine compared to a car with a much smaller engine. This is simply down to the fact insurance companies will view you more of a “risk” on the roads with a car which has a large engine.

For more handy tips and advice on saving money on your car insurance, visit moneysupermarket.com where a whole load of money saving guides can be found for young drivers, new drivers, women’s insurance and sports car insurance.

This article was brought to you by the car insurance team at moneysupermarket.com.

Effective Ways to Reduce Your Car Insurance Premium was written by Joe on Friday, February 26th, 2010 at 11:11 am. It was filed under Uncategorized. You can follow any responses to this entry through the Comments RSS feed.