People taking out a new car insurance policy have been warned there is one term of your policy you should never simply accept. Drivers have noticed the cost of their insurance premium has vastly increased in recent years.
Bills are up 25 percent compared to three years ago, although prices have started to dip over the past year and a half.
Experts at Auto Express have urged motorists to make sure they shop around when looking for car insurance. Steve Walker, head of digital content, said: « The classic advice when it comes to car insurance is to shop around and it holds true today. Never accept your insurer’s renewal quote without checking the prices you could get elsewhere. »
In contrast, he said it’s also important not to just sign up for the cheapest offer, as the policy may not have all the features you need. He said: « If the worst happens, a policy with more comprehensive cover could be well worth the extra cost. »
Another tip for the motoring experts to keep your insurance costs down is to think about how you use your car. Mr Walker said: « Everyone should also consider how they use their car.
« Doing a lower annual mileage, parking off the road overnight and resisting the urge to make modifications to your car will all help keep quotes down. It’s crucial to always be completely accurate on insurance forms. However, using an alternative – but still accurate – job title description, or adding a named driver, can also lower costs. »
The Government is looking at ways to bring down insurance bills, with a taskforce underway exploring the causes of the rising costs and how premiums can be reduced. The group is expected to publish its findings this autumn.
Mr Walker said he hopes the taskforce « will deliver results » for drivers and said things are looking positive that bills will continue to drop.
He said one area where progress is being made is in reducing associated with EVs (electric vehicles): « The car market’s transition to EVs is bedding-in with better and more affordable availability of parts.
« Some concerns over the cost of repairing EVs still remain and electric cars still tend to occupy higher insurance groups than equivalent petrol models but this should continue to improve as more and more EVs are sold. »
