Ever wondered what makes your car insurance so expensive?

We’ve both been driving for more than 20 years now, but yet again our car insurance has gone up, not down, despite the fact we’ve earned another year’s no claims bonus and we’re both another year older.

car insurance

It seems to me that nowadays we get penalised for loyalty instead of rewarded for it, and the only way to keep the cost of things like car insurance down is to shop around for it every year.

So, what does make car insurance so expensive and how can we make sure we pay as little as possible? This collaborative post explains all!

5 easy ways to cut the cost of car insurance

1. Consider the type of car you’re driving

One of the most important things to consider when looking for car insurance is the type of car that you are driving. The age of your vehicle, its market value, its security features, and the insurance group it falls under can all have a significant impact on the size of your car insurance premium. When buying a car, consider these factors as well as the mileage and the size of the engine. To find the very cheapest car insurance start by comparing quotes online before you even buy the vehicle – that way you’ll have a better idea of how cheap a car is to insure before you sign on the dotted line.

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2. Think about your age

Did you know that your own age can affect your car insurance? Young drivers are typically known to be riskier than those who are older. This is due to research into the number of accidents and it means that younger drivers will typically have to pay more for their insurance. If you are a younger driver, there isn’t much you can do about this and it is something which you’ll have to accept. As time goes on and you show that you are a reliable driver, you can see your price reduced.

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3. Your location

Interestingly, you might find that your car insurance is cheaper or more expensive depending on where you live. Some areas are more prone to crime and this can increase the price of your insurance as it is seen as more of a risk to the insurance provider. The level of crime isn’t the only thing to consider when looking at your location, though. You need to consider where you will park your car and the likelihood of your car getting into an accident due to the number of cars on the road. Unless you are willing to move, it is unlikely that you can change this.

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4. Claims

If you are someone who has made a lot of claims on their insurance in the past, then you might find that your car insurance is more expensive than others. This is because you won’t have your no claims discount. This is something which many people rely on to reduce the cost of their car insurance but if you have been involved in a lot of accidents then it is unlikely that you’ll have one. The longer you drive and don’t get into an accident, the more money you can save each month on your car insurance. Obviously, if you do get into an accident on the road, speaking to a car or truck accident law firm will help show you what you need to do, especially if this was not your fault. Your insurance may go up, even with a no-fault, but at least you backed yourself and didn’t accept liability.

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5. Extras

Finally, you might find that your car insurance is so expensive because you have a lot of extras on your policy. Some people just sign up for everything when they first get a policy when, in reality, you don’t need all of these extras. Sometimes, it is cheaper to get breakdown cover elsewhere and you don’t always need to have access to multiple keys. Take a look at your current policy and see if you can cancel a few of your extras. It is likely that your insurance company will try to convince you to keep these but hold your ground and you could reduce the cost of your policy.

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Do you find your car insurance keeps going up instead of down, and do you remember to shop around for it each year? I’d love to hear about your experience!

This is a collaborative post.

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