Car Insurance For An Icy Christmas
As Jack Frost takes his grip on Britain, here's a few wintery car insurance tips to ensure you're getting the best deal this winter.
The Christmas holidays are descending upon us, and many of you will be packing for that annual pilgrimage to see your loved ones over the festive period. However, according to the RAC, around 20% of car write-offs take place in November and December. So as well as being a period of festive cheer, Christmas could also be a time to turn your focus towards your car insurance.
So, if your car insurance is up for renewal soon, you may want to remember these tips:
The first rule may be the most obvious, but make sure you shop around. Loyalty rarely pays when it comes to car insurance, so use a comparison tool such as The Motley Fool Insurance Service to ensure you're getting the best deal.
Buy now, or pay (for it) later
When taking out car insurance, many insurers will charge you more if you choose to spread your payments over 12 months. Some insurers charge shocking APRs of over 30% for the luxury of paying in what you think are smaller monthly installments.
If you can afford to, it's always better to pay for the insurance in one annual lump sum. Alternatively, why not look for a cheaper alternative to paying by monthly direct debit such as a 0% credit card on purchases? This will mean you can benefit from the advantages of paying a lump sum while saving a packet in interest at the same time.
Age isn't just a number
It's not often that you hear the phrase, 'at the ripe old age of 25', but in car insurance terms, 25 is a huge milestone. Research by many car insurance companies suggests there is a marked drop in accidents among the over 25s. For this reason, it's especially important to shop around to see if you can get a better deal by switching providers, as premiums come down significantly once you've hit a quarter of a century.
Youthful exuberance
If you're a young or newly qualified driver, or a parent looking for a last minute Christmas present with a twist, then why not look into investing in a Pass Plus course? Pass Plus costs around £130, and consists of six modules which cover various aspects of driving, including driving in town, in all weathers and on dual carriageways and on motorways. You can take it at any time within the first 12 month of passing your test. Some councils even offer subsidies of up to 50% of your course if you live in certain parts of Britain.
However, it's worth bearing in mind that doing a Pass Plus course doesn't necessarily mean you will save a lot of money. Firstly, the cost of the course will offset some of the discounts on offer. Secondly, shopping around still means that you could find cheaper insurance without having to fork out the money for a course.
For example, insurer A may offer you cover for £900 with no discount, while insurer B offers cover at £1,000 with 20% off, making it £800. Insurer B may be £100 cheaper, but when you take the cost of the course into consideration, you are actually £30 worse off. Make sure you compare quotes with and without the Pass Plus discount to ensure you are getting value for money.
Finally, if you are about to hit the roads this winter, make sure you let friends and family know where you are travelling and when you expect to arrive. Stock up on drinks and snacks for your journey and pack a good can of de-icer and a windscreen scraper.
Also, consider checking your car in for a winter service, and make sure you have car breakdown cover in the event of an emergency.
Other than that, drive safely -- and happy travelling!
Get a competitive car insurance quote from The Motley Fool Insurance Service now!