7 Ways to Cut the Cost of Car Insurance ...


Car insurance: Most of us would probably think this to be a necessary evil. No-one should drive without insurance and we’re certainly glad of the protection it provides us should we be involved in an RTA but that doesn’t make it an easy pill to swallow when it comes to paying for it. Car insurance costs continually rise so even when you have a perfect driving record and you have a full No Claim Discount, the annual increase in premiums still exceeds your discount received, resulting in an overall premium higher than the previous year. It seems there is no reward for being a good driver but if you’re savvy you can get reduced premiums. Here are 7 Ways to Cut the Cost of Car Insurance.

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Shop around

Simply accepting the annual renewal is not smart. This is the easy way out right? No extensive paperwork, messing around with bank details, learning new phone numbers etc. Shopping around is one of the best ways to cut the cost of car insurance and also the method likely to bring the biggest reward. When you find a cheaper insurance policy go back to your current provider and challenge them to meet it or beat it. Don’t let them fob you off with changing the terms of the policy so you get more cover or some added perks instead of a reduced premium. If you are a good driver you won’t benefit from these anyway. The insurance market is highly competitive and if they want to keep your business they will offer you a better deal to stay with them. One thing to remember, make sure that when you cut the cost of car insurance you haven’t simply chopped the level of cover.


Keep It Clean

If your record is as clean as the shining paint on your car then this is a sure-fire way to cut the cost of car insurance. This is because insurance companies will see you as less of a hazard on the road if you have a clean record. If you are already proven yourself then surely they have nothing to worry about. Use this as a bargaining chip.


Consider Your Vehicle

Your choice of vehicle is a very important factor when it comes to insurance. If you want to get that pink Ferrari with solid gold rims and an authentic leather interior then you are going to have to be prepared for high insurance costs because this car will be a target and will cost thousands of pounds to repair should it be involved in an accident.


Share It

One of the easiest ways to cut the cost of car insurance is to have a multi-car policy. If you live in a household where there is more than one vehicle, you can generally save money by having insurance that covers all of them. Generally, all the drivers quoted on the policy must be related by blood or marriage although sometimes you may be able to benefit from a multi-car policy with a non-related person if you both jointly own the vehicle in question.

Also on this issue, if you have your other insurance policies with the same provider you may be able to receive some bulk policy discounts. So, if you have homeowner’s insurance or life insurance or even business insurances, ask your provider for “bulk customer” discounts.



If you live in a high crime area you can still cut the cost of car insurance. Having security measures to protect your car will help reduce your premium against the norm quoted for your car in your district. A car alarm, a steering wheel lock, Lojacks and even a wheel clamp will all impress the insurance company. Reducing the risk of being the target of thieves and vandals means a reduction in premiums. Consider a lockable location or secure parking too but only if the expense is offset by a reduction in premiums or potential repair costs from vandalism.


Credit Rating

Shocking isn’t it? Surprisingly your credit rating comes into the equation because research has shown that people with good credit ratings are likely to be more careful while driving. Thinking it was a fool who came up with this theory, or wondering how they did it, is irrelevant because insurance companies have lapped it up and now your credit rating is a determining factor in your insurance policy. So now, you know, your credit rating affects more than your ability to get a shiny new credit card.


Driver’s Ed

Some insurance companies provide a discount on premiums if you successfully complete a defensive driving course. The course must be undertaken by an accredited school but before signing up, check your insurance company does actually recognize the achievement. This can be a rewarding way to cut the costs of insurance as long as the discount received is actually greater than the cost of the course.

I did start out by saying you needed a bit of nous to best the insurance companies and to cut the cost of car insurance. A number of these methods to cut the cost of car insurance do require a bit of calculation to ensure that the effort and any costs incurred do actually mean the resulting reduction in premiums is worth the time and trouble. Just think though, even a small reduction might be worth a new handbag or a girl’s night out, not to speak of the satisfaction you can gain from simply having achieved a discount. I wish you luck with these 7 Ways to Cut the Cost of Car Insurance. Do let us know if you succeed or have used any other methods.

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