Car Insurance Bulletin

Statistics confirm that young drivers are far more likely to be involved in an accident than older road users. Usually, it is the people aged below 25 years who pay the maximum amount as their car insurance. In some cases, what you pay for a premium is not cost effective if the car is old.

This is because a group 1 car will be thousands of pounds cheaper to insure than a group 20 car.A typical low insurance group car would be a small super-mini type vehicle with a small engine capacity. Before you actually buy the car get some quotes from as many different insurers as you can, just to be certain.New drivers, who have gained extra experience, will have a reduction in premiums.

This gives them additional driving experience and normally entitles them to a reduction in premiums – sometimes as high as 35 per cent.Security is also a vital factor for young drivers. The Driving Standards Agency runs courses called the Pass Plus scheme which costs around 90 pounds to take.Some companies offer policies that are specifically for young drivers.

Like, many insurance companies have policies that are specifically meant for female drivers of age 17+ and male drivers of ages of or greater than 19 years. You can buy what is called a “temporary auto insurance” policy to keep yourself insured for a designated period of time. “More Than offers cheaper premiums to 17 – 22 year olds who agree not to drive between 11pm and 6am using the GPS technology to check whether the car is used during ‘curfew’.

The option is to add on an extra temporary coverage to your existing policy.If you have just made some last minute plans, luckily many companies offer online temporary insurance. The important fact to keep in mind, when dealing with short-term car insurance, is that it will only be cost effective if you make use of it in short periods of time i.e.

These are Third Party only, Third Party Fire and Theft and Comprehensive.Third Party offers you cover should damage incur to the third party’s vehicle or to the third party. Third party, fire and theft cover is less expensive than fully comprehensive, although it does not give as much protection for your own car as it does the third party.

For example, how much excess are you willing to pay in the event of an accident, the higher the excess amount the lower your premium. This is all well and good if you never make a claim, but you need to ask yourself that in the event of an accident could you afford to pay out the high excess.

‘Fronting’If you add named drivers to the policy, particularly if they are older and more experienced, this may reduce the premium. However, be very careful of ‘fronting’.If you put your child on a policy, which is in your name, and they are classed as a named driver this will probably work out to be a lot cheaper.

Being a named driver on a female’s insurance policy can often work out cheaper for men than being the policy holder, so it’s definitely worth looking into. All along the car belongs to all intents and purposes to the child, and the young driver is the main driver of the vehicle. Younger drivers usually have to pay more premiums for the car due to inexperience but still some companies generally target the young drivers to get them low cost policies.

In the event of an accident, if the other driver is not listed, and he or she is driving, the insurance company will refuse to pay for the damages. The police might like that one!If your policy is comprehensive, your insurer pay for your car to be repaired but you could lose your no claims discount unless you’ve paid to protect it.

Comments are closed.