5 Strategies To Reduce Your Car Insurance Premiums

Your latest car insurance bill has arrived and it is not a pretty site. In fact, it is downright ugly! What can you do? Must you remain hostage to the ever spiraling rate increases foisted upon you when your policy renews? In a word, no. Let’s examine five strategies you can practice today to help reduce your car insurance premiums immediately.

1. Shop For A New Policy. Even with “loyalty discounts” in place, many consumers will find that a competing company will offer significant savings over your current plan. This especially holds true if your state recently opened up the market to invite more competition in.

2. Change Your Coverage. If your vehicle is old, you many want to consider dropping collision coverage. Your comprehensive coverage may also be due for reexamination. Finally, make sure that there aren’t duplicate costs included such as towing insurance if already offered through your automobile club.

3. Family Status. You may be paying more for your insurance if your policy shows that you are single when, in fact, you were recently married. Rates are generally lowered for married folks as well as those over a certain age.

4. Up Your Deductible. You can realize instant savings by raising the deductible you are willing to pay. Maybe you don’t need a $200 collision deductible when $500 is sufficient.

5. Get Security Discounts. If you park your car in a locked garage and/or have an alarm system installed make sure that your insurer is aware of this as your premium will be adjusted downward.

In many cases you can also save on car insurance by bundling it with your homeowners insurance. Finally, talk with your broker to see whatever other measures you can take to realize additional savings.

Hidden Ways to Cut Car Insurance

Consumers are countering rising gasoline prices and other vehicle operating costs by capitalizing on lower auto insurance rates, according to leading insurers.
Auto policy costs and regulations vary significantly from state to state, but there are a number of areas that consumers are able to control and adjust to optimize prices and quality. Answer Financial (www.answerfinancial.com) has 10 tips for keeping your rates down:
Check Credit Rating. In all states except California and Georgia, an individual’s credit rating is a key factor that affects auto insurances rates. Good credit will be interpreted by insurers as less risky. Thus, it’s important for consumers to order copies of their credit report from all major credit agencies to ensure accuracy and to correct any inaccurate derogatory points, such as late or missed payments, maxed-out credit lines, bankruptcy, foreclosure, etc.
Check Motor Vehicle Report. Like credit reports, state driving records may include inaccurate data on personal driving records, which are strongly considered when issuing respective individual and family auto rates. In addition, tickets, traffic school credit, and accident fault are sometimes not accurately reflected in state data, costing consumers hundreds or even thousands of dollars. Drivers should report errors to both their state motor vehicle department as well as their insurance carrier.
Double-Check Accident Reports. Local law enforcement and insurance accident reports occasionally include mistakes that will result in a higher rate. Accident reports are separate from motor vehicle records. Accident reports affect insurers’ decisions and rates on a cumulative basis particularly if the driver has tickets or accidents down the road.
Never Let Coverage Lapse and Review Deductibles. Maintaining coverage without lapse makes a significant difference in rates. Separately, while deductible amounts initially save drivers in the event of a quick claim, they cost consumers more in the long run due to higher premiums. Drivers almost always save on premiums with higher deductibles of $500 or $1,000.
Look for Package Rates. In addition to multiple-vehicle discounts, consumers often save substantially by packaging all their insurance policies including auto, home, and personal liability together with one company.
Don’t Miss Good-Student and Mature-Driver Discounts. Most consumers know that safe drivers are rewarded by insurers, but it’s important to make sure your policy gives you a good driver discount. Most insurers lower rates for mature drivers (55 years and over) and for students who carry a 3.0 grade point average or better. Some carriers give more credit for these points than others, so shop around.
Take a Driving Safety Course. Many insurers will cut rates for drivers who take an approved driving safety course. Make sure that you’ve registered for a course recognized by your carrier, which will not only cut your rates but likely save in ticket fines and reduce your risk of bodily injury on the road.
Don’t Forget Car Pool Credit. Many auto carriers drop premiums if you car pool to the office, especially if you drive more than 10 miles roundtrip. In addition, you’ll save considerably on the rising prices at the pump and lend a hand to Mother Nature.
Check Rates Before Buying a New Car. Insurance rates vary considerably from car to car. Often expensive vehicles can add $50 - $100 per month in premiums. The type of vehicle, engine size (you’ll pay for that turbo), parts costs and safety tests are all factored into insurance premiums. Sport cars and SUVs generally are more expensive to insure. Buyers often do not realize the big rate differences until after they drive off the lot.
Take Credit for Safety/Security Features. Drivers should make sure they are receiving lower rates for safety features such as air bags and anti-lock brakes. Devices that deter theft, such as alarm systems or devices that disable or track vehicles (such as LoJack), may also qualify for discounts. Some companies even waive deductibles if the car has been damaged when it was stolen but is recovered using a tracking device.

Cheap Car Insurance Premiums in 5 Easy Steps

Although car insurance is compulsory, it's not necessary to pay more than you have to. A few simple steps combined with some time surfing for competitive car insurance rates really can save you hundreds.

Step 1 - Cut the Insurer's Risk

The easiest way to cut your car insurance premiums is to reduce the insurer's risk and accept a higher voluntary excess. An insurer's standard excess may be £100 but if you meet the first £250 of any claim, you'll see a reduction in your premium. This is because you're taking on more of the risk so you get a discount. But it's a gamble, be aware that you might have to meet the cost of a broken window after an attempted theft, then a bill for repairing bodywork damage after a car park crunch.

Step 2 - Security

Fitting security devices can also result in cheaper car insurance premiums. All major insurers insist on Thatcham rated security equipment, usually a minimum of an alarm. If you live in a high-risk area for car crime, it makes sense to fit extra security. It saves you money when your insurance renewal is due and gives you extra peace of mind.

Step 3 - Annual Mileage

If your annual mileage is 5,000 miles or less, ask insurer's if they offer discounts for agreed mileage restrictions.

Step 4 - Named Drivers

Adding a named driver to your policy can increase or reduce your premiums depending upon the named drivers age, sex and driving record. Adding a young driver will certainly increase your premiums, particularly with a limited or poor driving record. However, adding a driver over 30 years old with a long and clean driving record can cut premiums, particularly if the named driver is female!

Step 5 - Shop Around

The biggest car insurance savings come from shopping around. This has been made much easier with the explosion of the internet. There can be massive differences between the lowest and highest car insurance quotes for exactly the same car and driver(s). Start off using good comparative online car insurance quote sites like Moneysupermarket and Screentrade, take their best quotes and go direct to the cheapest car insurance companies for more specific quotations.

Car Insurance Gearing up to Drive Down Costs

For once finances seem to be going in favour of the UK motorist, with Esure announcing plans to double its share of the UK's car insurance market - a move which is likely to spark a price war, other internet-only direct insurers passing on to consumers savings based on their low overheads, and specialist insurers offering reduced rates for their particular target markets. A trial pay-as-you-go scheme from Norwich Union is also creating a lot of interest for money conscious motorists.

The pay-as-you-go scheme uses a small box costing an initial £199 which is fitted in the driver’s boot, to record when and for how long a driver actually uses their car. The box stays in contact with a satellite which is sent regular updates of the journey data stored on the box, tracking the vehicle and then delivering the information to the insurer. The driver is then charged based upon how far at what time they used their vehicle.

“We got a statement”, said one member of the trial, "which showed what mileage we had done, and on what days of the week, as well as if we had been driving in the evenings or peak hours."

For low mileage users, this system could present significant reductions in premiums, for higher mileage drivers searching about for the best deals at renewal time is an absolute must.

Unfortunately, last year five million motorists failed to shop around, missing out on an average premium saving of £180. Shopping around becomes especially important for anyone coming to the end of a free insurance offer on a dealership car and should not simply take the quote offered by the manufacturer's insurer, as significant savings can be made by shopping around. Comparisons sites such as Moneynet enable consumers to quickly look at hundreds of insurance providers in one go, making it easy to find the best deals that are available, and they often have their own extra discounts which are provided through their own sites.

While the government tries to work out new ways to extract more money from motorists, the competitiveness of the insurance industry is thankfully helping to drive down the cost of insurance premiums, making it one of the few rays of hope for UK drivers.

The Car Insurance Calculation Explained

Different companies will apply different factors to the way they finally arrive at a price for your Car Insurance. Generally speaking though the concept is the same. This involves collecting various bits of information from you and feeding it through a computer system which adds or takes away money depending on the answers you give.

The value put on these answers is decided by the individual Car Insurance company.

For example, some Car Insurance companies may believe that having a speeding conviction increases your chance of having a personal injury accident in the future - therefore they may add money to your price if you have such a conviction.

Similarly, some Car Insurance companies may decide that because you have a lot of No Claims Bonus Years then you are less likely to claim - therefore they may discount your price. All in all there are around 30 different factors that may affect your final premium. Now you can see why you get such a difference in the price of your Car Insurance by going to various companies. Each company will have it's own view of what they believe should be assigned to each answer you give. The Car Insurance quote you get through the Accept Direct website will look at lots of different Car Insurance prices from lots of companies.

That way you can get the best possible price for your profile.

New Car Registrations and Car Insurance

In September 2001 the Driver and Vehicle Licensing Agency (DVLA) introduced a new number plate registration system that was designed to last for 49 years. The new change was welcomed not only by the car dealers but also by the car insurance industry as the DVLA also decided to issue new car registrations twice a year instead of once a year.

In the past, new registrations were issued on 1st August every year. Inevitably this caused a major headache for insurance companies as so many people required insurance at this time. This once a year rush for insurance was compounded by the summer timing when most people, including insurance company employees, go on holiday. Today, the new registrations are issued in March and September. This eases the workload for insurance companies and allows them to more easily staff up for the increase in calls.

Of course, the old system ran for about 38 years and so there is still a large population of people who require insurance renewal on 1st August. So around July, August and September, Insurance companies are still especially busy and you can generally expect long call centre waits with a lot of direct companies.

Using the internet instead is a much easier and quicker way of getting your new car insurance quote. Accept Direct have a very fast online quote system which cuts out the need of waiting for a call centre person to answer. The Accept Direct website is available 24 hours a day, 365 days a year and along with its sister online claims website will deliver you a competitive quote in minutes.

How Is Your Auto Insurance Policy Price Determined?

The average auto insurance policy price is derived from a variety of factors. Many of these variables are common knowledge and make sense for the most part but it’s always a good idea to refresh yourself with what insurance companies are looking for when determining how much your coverage will cost.

Driving Record – Your auto insurance policy price is determined from 6 major areas. The first is your driving record. The key thing to remember is the better your driving record the lower your total cost to insure your automobile. This would include auto accidents, speeding tickets and believe it or not if you’ve gone without insurance for several years. The good thing is that you can directly control many of these factors. Concentrate on keeping a clean driving record and this area shouldn’t cause your rates to be outrageous.

Coverage Amount – Do a self check sometime and call your insurance company up to see what impact raising and lowering your deductibles and coverage amount has on the price of your insurance. Raising a deductible lowers your monthly payment. Increasing the deductible has the opposite effect. The same goes for the actual coverage amounts.

Age – Case studious have proven that younger drivers are involved in more accidents then older drivers. This potential to be involved in a collision is a result of inexperience behind the wheel of an automobile. Generally speaking most insurance companies charge more for individuals under the age of 25.

Vehicle Model and Driving Mileage – If your interested in that fancy new sports car you may want to check how much it will effect your auto insurance policy price. Thanks in large part to theft, vehicular costs and safety records some cars rate a higher premium over other vehicles. As if it wasn’t bad enough the amount of annual miles you place on your vehicle through driving can increase your auto policy. The average used is 10,000 miles in a year. If you exceed that total then you can expect a rate increase based on your increased potential to be involved in an auto accident.

Your Residence – It’s a pretty safe bet that you’ll pay more for your auto insurance policy if you live in a big city when compared to a nice farm out in the country. The city probably has more thefts and accidents, which lead to higher costs absorbed by the insurance company and then passed along to the consumer when the insurance companies determine your auto insurance policy price.

Hopefully this information can help you focus in on some areas within your auto policy that you can review with your insurance agent in the hopes of actually lowering your auto insurance rates instead of raising them.

Free Money Saving Auto Insurance Tips

Our money saving auto insurance tips were written for one reason - To Save You Money on your next auto insurance policy. Since in most states you are required by law to purchase a minimum amount of liability coverage we've looked for ways to save you money. Additionally many people want more than just the bare minimum in order to provide themselves with adequate protection.

The top two biggest money saving auto insurance tips are to first shop around. There are numerous providers of insurance and generally speaking you can save a great deal of money on your policy if you take the time to find the right provider.

The second biggest tip to lower your rates is to simply raise your deductable. In some cases you can reduce your annual premium by 10 percent or more if you increase your deductible by a few hundred dollars. USE CAUTION HERE: You want to make sure you can actually afford the amount that you raise your deductible to or you're no better off then before.

Additional tips include eliminating certain types of coverage from your current policy and reducing the amount of coverage you currently have. Generally this is up to each individual based on thier needs, wants and desires. You may want to consult an insurance agent before making any drastic changes to your current policy.

Other factors raising the cost of your policy include the amount of mileage you drive annually and the type of vehicle you own and operate.

Did you also know that where you live can determine rates and keeping your car in a garage can lower your rates. Cars parked in garages are less likely to be stolen, vandalized, or struck by other vehicles. Using a garage to store your car may entitle you to a slight premium reduction.

If you have multiple cars and drivers then you could qualify for a multifamily discount. Sometimes your children's insurance premium can be lowered based on their school grade point average.

Other discounts may be available if you meet certain criteria. Examples may include discounts for taking a defensive driving course, being a AAA member or staying with the same auto insurance company for a number of years. These discounts vary by company.

Finally try using an anti-theft device. This helps to reduce your insurance cost.

Thanks for taking the time to read our money saving auto insurance tips. We hope our free tips and save you some of your hard earned cash.

Why Should You Purchase Your Auto Insurance Online?

If you’re interested in slashing your auto insurance bill in half then there’s no reason why you shouldn’t consider purchasing auto insurance online. Buying your auto insurance online is extremely easy and very convenient. The process is fast and only requires filling out a simple form. The best part is you can receive multiple quotes from several different auto insurance providers from the privacy of your own home. You can even search for a new money saving car insurance policy in your pajamas if desire to do so.

Many experts agree that most consumers overpay on their insurance policies due to a lack of shopping around. This includes vehicular insurance. Additionally they overwhelmingly endorse purchasing auto insurance online due to the ability to start your insurance application, save it, and finish later if you get pressed for time. If you’re concerned about the cost associated with receiving multiple insurance quotes don’t be. By applying online you can get multiple free car insurance quotes from one application. You’re also never under any obligation to accept any insurance quote provided – even if it saves you money.

As far as the drawbacks to purchasing auto insurance online there aren’t many. Obviously you’ll have to have access to a computer with an Internet connection and around 30 minutes of free time depending on the number of free insurance quotes you wish to receive. Keep in mind before accepting any quote that you could qualify for a bigger discount from your current auto insurance provider if you carry multiple insurance policies with them. For instance a combination of car, home and life insurance may cost less as a group when compared to purchasing individually.

It’s only natural to have concerns with the privacy of the information the insurance company requires you to fill out on their quick quote provider form. However rest assured that any information you provide is kept secure with encryption technology and will not be released to anyone else to include other insurance providers unless you agree to allow it. You can also feel comfortable in knowing that your credit score won’t be affected by applying for free auto insurance quotes online.

After you’ve found a quote that you like purchasing auto insurance online allows you to either accept the quote right then and there or you can opt to receive the rate provided in the mail. Either way you’re guaranteed to save money. A word of caution, make sure the information you provide on the insurance application is correct. Even the smallest errors can adversely affect the money saving rate that is provided.

Probably the most difficult choice will be which online auto insurance provider to choose from in order to receive your free quotes. Look for a company that has excellent customer service reviews and offers a simple application process that provides multiple money saving quotes. Finally don’t forget to check and make sure that they can actually provide an insurance quote for the state you currently reside in

How Do I Lower My Auto Insurance Premiums?

It seems as though the price of everything is on the rise. The amount a house may have cost in the early 70s is how much you will pay for a new car in the 21st century. Oil companies have used the problems in Southwest Asia as an excuse to send gas prices through the roof. And the cost of peace of mind when driving your vehicle knowing if you or your vehicle is injured in an accident you will be covered has become astronomical. So what can you do to lower your insurance premiums so you don’t feel as though you are paying a mortgage note in exchange for a vehicle and a car note in exchange for insurance?

Consider how much coverage you really need to buy and the price each of these coverages will pay. Think about collision and comprehensive coverage, which is how much you will be reimbursed for the loss or destruction of your vehicle. Are you carrying $30,000 worth of collision coverage for a $12,000 vehicle? Is the insurance company really going to give you $30,000 when your vehicle is only worth $12,000, unfortunately not?

If you are leasing or financing your vehicle these coverages may be required however if you are driving an older car that has depreciated significantly you may want to consider saving on your premium by dropping this coverage. Before you drop it make sure you can afford to foot the bill on the entire cost of replacing that vehicle if it is lost.

Think about the cost of insuring that sports car or luxury vehicle before you purchase it. If higher premiums is a small price to pay for going from 0 to 60 in .5 seconds go ahead and purchase that Ferrari, if not consider the sedan.

Generally you can’t help where you live but expect that you will pay higher premiums in cities or towns that have high rates of accidents and vandalism as opposed to more rural low crime areas. The X and Y-chromosomes are luck of the draw and everyone ages in the same slow, drawn out amount of time. Oh and of course everyone can’t find that special someone and settle down right away but if you had control over any of these things it would help control your premium rates.

Single, young males under the age of 25 get the short end of the stick in this deal so if you fall into this category make up for this price increase by purchasing a more sensible vehicle. Consider delaying the purchase of that cherry red Mustang until after you’re 26 and married. Another aspect of higher premiums is your driving record. Drivers who cause accidents will pay for it in their insurance premiums. If you’re a high-risk driver the insurance company is going to supplement the money lost on safe drivers by increasing the amount you will have to pay. So slow down, leave earlier, be patient and think about how much money you can save every year by obeying the traffic laws.

What Do You Mean My Auto Insurance Policy Doesn't Cover This!!

Auto insurance is an agreement between you and your insurance company where you arrange to pay a premium in an exchange for the peace of mind that your insurance agency will pay for vehicle related financial losses during the duration of the policy. You need auto insurance because you are liable by law to pay for losses you cause to others in the event of an automobile accident. Purchasing auto insurance is the surest way to guarantee you will be able to fulfill your end of the bargain. In some states it is required that you have minimum forms of insurance in order to drive. You also must have insurance in order to finance a car.

One of the first questions you will be asked when obtaining automobile insurance is how much of the covered loss or deductible do you want to be your responsibility? You may choose between $100, $250, $500, or $1,000. The higher your deductible the lower your premium however you must keep in mind that the deductible is the amount you must pay before your insurance will assist you. If you cannot afford to pay the first $1,000 of the covered loss you may want to consider how much you can afford and choose a lower deductible.

Your insurance coverage is broken down into each purpose you would need to be covered for. One of the most common coverages include liability which pays out when the insured driver is legally responsible for bodily injuries and property damage they cause to others. Bodily injury damages cover medical expenses, pain and suffering, lost wages and other special damages. Property damage includes damaged property and loss of use. Liability also pays legal defense expenses. Each state has a set minimum amount of coverage you must carry but you may opt for higher amounts.

Personal injury protection pays medical expenses for covered individuals despite who is at fault for the accident. It also covers rehab, lost wages, replacement of services and funeral expenses. Medical payment coverage pays medical and funeral expenses regardless of fault when the causes of these requirements are due to an automobile accident. Collision coverage pays for damage to an insured vehicle caused by collision with another vehicle or object. Your deductible will apply to collision coverage.

Comprehensive coverage pays for loss of or damage to an insured vehicle unless is damaged or lost as the result of a collision. Comprehensive would cover losses due to theft, fire, wind, hail, flood, vandalism or impact with an animal. Your deductible will apply to comprehensive coverage.

Uninsured motorist pays for loss or damage caused by another driver who does not have liability insurance. Underinsured motorist coverage pays when the insured driver is injured in an automobile accident caused by a driver who has an inadequate amount of liability insurance. Rental reimbursement pays rental vehicle costs when your vehicle is put out of commission as the result of an automobile accident. Daily monetary limits may apply. Emergency roadside assistance coverage pays towing expenses when your vehicle breaks down. Distance limits may apply.

Your policy will generally cover you, your spouse children and other family members who reside in your residence as well as anyone else who has permission to drive your covered automobile.

How Does Credit History Affect Car Insurance Rates?

Many personal car insurance companies consider your credit information when determining how much premium to charge for your insurance. So if you are calling around for new car insurance, keep in mind that many insurers are looking at your credit history to determine your car insurance rates. I hope that we will be able to let you know why and how they do this.

The reason that some insurance companies use credit information is because they feel there is a direct correlation between consumer's credit history behaviors and expected claims that may occur. Therefore, they feel that people with better credit behavior are less likely to severe insurance losses.

Many insurance companies still use your age, driving history, type of vehicle, where you live in determining how much you should pay for your insurance. Therefore, if you have not established a credit history yet, the companies that use credit history may not be best for you. They may not allow you to be eligible for certain discounts, which could result in higher premiums.

The companies that do use credit scoring will still use other factors in determining your premium. They will also use your age, driving history, type of vehicle, where you live in determining how much you should pay for your insurance.

Is it fair for an insurance company even look at my credit information without my permission? The answer is yes. The Federal Fair credit-reporting act says "Reasonable procedures. It is the purpose of this title to require that consumer reporting agencies adopt reasonable procedures for meeting the needs of commerce for consumer credit, personnel, insurance, and other information in a manner which is fair and equitable to the consumer, with regard to the confidentiality, accuracy, relevancy, and proper utilization of such information in accordance with the requirements of this title." This can be found at http://www.ftc.gov/os/statutes/fcra.htm

If you feel that your credit history is better then the insurer can find, make sure the insurer has your correct name, address, social security number, and date of birth.

Some insurance companies will look directly at your actual credit reports when determining your rate, however most will use what is called an "insurance credit score." An insurance credit score is developed by using statistical techniques and methods to predict the likelihood a consumer will have a higher than anticipated losses. These are similar to what lenders use to predict the reliability of an applicant repaying a loan. Credit History Factors and Car Insurance Rates

Insurance companies use many factors in determining your credit score. Here are some examples of those factors:

. Public records: bankruptcy, collections, foreclosures, liens, charge-offs, etc.

. Past payment history: the number and frequency of late payments and the days between the due date and late payment date.

. Length of credit history: the amount of time you have been in the credit system.

. Inquiries for credit: the number of times you have recently applied for new credit, including mortgage loans, utility accounts, and credit card accounts.

. Number of open lines of credit: the number of credit cards, whether you use them or not.

. Type of credit in use: major credit cards, store credit cards, finance company loans, etc.

. Unused credit: how much you owe compared to how much credit is available to you.

Your insurance credit score may differ from company to company, as they will use different factors in determining your premium. Notice that we call it an insurance credit score. This means that it encompasses many factors including credit.

Since each insurance company uses different techniques to determine your credit score it is hard to tell you what a good credit score is. Usually a good credit score will result in lower premiums.

Your agent or company is not obligated to tell you your credit score. In fact, they might not even know what it is. All they usually know is that your credit score qualifies you for a specific rate or policy. Some companies also offer better rates under each qualifying tier.

If you feel that there is incorrect information on your credit report, you should tell the credit bureau. If you report and error, the credit bureau must investigate the error and get back to you within 30 days. You can ask the credit bureau to send a notice of the correction to any creditor or insurer that has checked your file in the past six months. Once the errors are corrected, it is a good idea to get a new copy of your credit report several months later to make sure the wrong information has not been reported again.

The three national credit bureaus are:

. Trans Union (www.transunion.com or 800-888-4213)

. Equifax (www.credit.equifax.com or 800-685-1111)

. Experian (www.experian.com or 888-397-3742)

Tell your insurance company. Do not wait until the credit bureau investigates the errors to contact your insurer. Tell your insurance company right away and ask if the errors will make a difference in your insurance. If the errors are big, tell your insurer that you are disputing the information and ask if they will wait to use your credit information until the errors are corrected. Small errors may not have much affect on your insurance credit score. If the errors are big, it can make a significant difference in your premium. Some companies are unable to adjust the premiums until the score is corrected, but it does not hurt to ask.

If you have taken the steps to improve your credit, score you should ask your insurance company to re-evaluate your credit score at renewal.

Car Insurance Advice for Young Drivers in the UK

Over the course of the last ten years, car insurance for young drivers in the UK has increased substantially.

This has caused many problems for new drivers with premiums averaging £1300 for a newly qualified 17 year old male driver.

Young female drivers pay a lot less for their policies due to their reduced risk of being involved in an accident. EEC law is looking to make this a discrimination issue but insurance companies and representative groups are opposing this move.

The main factors which will effect your insurance premium are listed below;

The Vehicle - Choosing the right vehicle will have a massive impact on your premium. As a guide, look at the insurance group of the car. The grouping structure runs from Group 1 to Group 20 and your insurance premium will increase as you move through the groups. Use the link below to our web site and use the car grouping guide which will give you an indication of which vehicles fall into which groups. Do not however rely on either guesswork or a basic group guide when choosing a car. Even a subtle difference in model of vehicle could effect your premium massively - Get quotes on every type of car you are looking at before deciding on buying one.

Where you live - Not a lot you can do about this but in some areas of the UK you are twice as likely to have your car stolen. In London you are 50% more likely to be involved in an accident - Your premium will reflect where you lice.

Pass Plus - If you have just passed your test, seriously consider pass plus. This will give you discounts of up to 20% off your insurance premium. The course costs £120 so can be very effective at saving you money and improving your driving skills.

Type of Cover - As a first time driver you will normally be restricted to third party fire and theft cover because of the costs involved. Consider third party only cover also.

There are no shortcuts when insuring your first car but there is a silver lining to that horrible first premium. A safe years driving will result in a drop in your premium of around 50% in the following year.

An Intro To Auto Insurance

Although premiums, policies and prices vary widely, the mandate does not. Automobile insurance is an unavoidable expense of driving. Ideally, you will never have use for your auto insurance. In the event that you do; however, you will considerably improve your satisfaction with the claims process by doing thorough research before policy inception.

Begin with an understanding of auto insurance terms:

• Bodily injury (also called liability)

This coverage offsets costs related to the bodily harm and property damage of the other driver(s) when you are at fault in an accident. Insurance companies impose limits on the amounts that they will pay to the victim(s), and for each accident. Your premium amount is determined, in part, by the limits you select. Higher potential payouts by your insurance carrier translate to higher insurance premiums for you, the consumer.

• Collision

In the event that you have an accident, your medical expenses and property damage will be covered if you select collision protection as a part of your plan (again, there are limits).

• Comprehensive

This category covers costs related to damage, theft, vandalism, etc. For example: if someone breaks your car window, you would access your collision coverage to repair the damages. Again, higher payouts mean higher premiums. If cost is a concern, increase your deductible to decrease your premium. The deductible is the amount, usually between $250.00 and $1,000.00; you pay toward accident/theft related expenses before the insurance company contributes.

• Uninsured/Underinsured Motorist

Although automobile insurance is legally required, some drivers do not comply. If you have an accident with such a driver this coverage will provide some compensation for medical expenses.

Auto insurance can be quite costly, but it is far more expensive to forgo. Many states arrest and/or fine drivers found to be uninsured. Additionally, accidents, theft and damage can create financial chaos for uninsured/underinsured motorists.

When choosing an insurance carrier, make sure that you have chosen a reputable firm that is accessible, responsive and financially solvent. The coverage is of no use to you if you can reach no one to file a claim, or if there is no money to pay it. Check with agencies such as Standard & Poor's and the National Association of Insurance Commissioners to get the information you might not get from a slick brochure or salesperson hoping to close a deal.

New Car Registrations and Car Insurance

In September 2001 the Driver and Vehicle Licensing Agency (DVLA) introduced a new number plate registration system that was designed to last for 49 years. The new change was welcomed not only by the car dealers but also by the car insurance industry as the DVLA also decided to issue new car registrations twice a year instead of once a year.

In the past, new registrations were issued on 1st August every year. Inevitably this caused a major headache for insurance companies as so many people required insurance at this time. This once a year rush for insurance was compounded by the summer timing when most people, including insurance company employees, go on holiday. Today, the new registrations are issued in March and September. This eases the workload for insurance companies and allows them to more easily staff up for the increase in calls.

Of course, the old system ran for about 38 years and so there is still a large population of people who require insurance renewal on 1st August. So around July, August and September, Insurance companies are still especially busy and you can generally expect long call centre waits with a lot of direct companies.

Using the internet instead is a much easier and quicker way of getting your new car insurance quote. Accept Direct have a very fast online quote system which cuts out the need of waiting for a call centre person to answer. The Accept Direct website is available 24 hours a day, 365 days a year and along with its sister online claims website will deliver you a competitive quote in minutes.

So whether you're looking for a cheap insurance quote for your brand new car or would like to get a low cost renewal, just go to the Accept Direct Car Insurance website at and save yourself some time and money.

Copyright (c) 2004 AcceptDirect.co.uk http://www.acceptdirect.co.uk

Andrew Bowen is the CEO of Accept Direct Limited. Accept Direct offer car insurance to UK customers through their website http://www.acceptdirect.co.uk

Article Source: http://EzineArticles.com/?expert=Andrew_Bowen

The Car Insurance Calculation Explained

Different companies will apply different factors to the way they finally arrive at a price for your Car Insurance. Generally speaking though the concept is the same. This involves collecting various bits of information from you and feeding it through a computer system which adds or takes away money depending on the answers you give.

The value put on these answers is decided by the individual Car Insurance company.

For example, some Car Insurance companies may believe that having a speeding conviction increases your chance of having a personal injury accident in the future - therefore they may add money to your price if you have such a conviction.

Similarly, some Car Insurance companies may decide that because you have a lot of No Claims Bonus Years then you are less likely to claim - therefore they may discount your price. All in all there are around 30 different factors that may affect your final premium. Now you can see why you get such a difference in the price of your Car Insurance by going to various companies. Each company will have it's own view of what they believe should be assigned to each answer you give. The Car Insurance quote you get through the Accept Direct website will look at lots of different Car Insurance prices from lots of companies.

That way you can get the best possible price for your profile.

The Car Insurance Calculation Explained

Different companies will apply different factors to the way they finally arrive at a price for your Car Insurance. Generally speaking though the concept is the same. This involves collecting various bits of information from you and feeding it through a computer system which adds or takes away money depending on the answers you give.

The value put on these answers is decided by the individual Car Insurance company.

For example, some Car Insurance companies may believe that having a speeding conviction increases your chance of having a personal injury accident in the future - therefore they may add money to your price if you have such a conviction.

Similarly, some Car Insurance companies may decide that because you have a lot of No Claims Bonus Years then you are less likely to claim - therefore they may discount your price. All in all there are around 30 different factors that may affect your final premium. Now you can see why you get such a difference in the price of your Car Insurance by going to various companies. Each company will have it's own view of what they believe should be assigned to each answer you give. The Car Insurance quote you get through the Accept Direct website will look at lots of different Car Insurance prices from lots of companies.

That way you can get the best possible price for your profile.

Copyright (c) 2004 AcceptDirect.co.uk http://www.acceptdirect.co.uk

Andrew Bowen is the CEO of Accept Direct Limited. Accept Direct offer car insurance to UK customers through their website http://www.acceptdirect.co.uk

Article Source: http://EzineArticles.com/?expert=Andrew_Bowen

Buy Car Insurance Online-- A Few Tips to Get You Started

There is a large shopping mall online for car insurance. You can buy car insurance online if you understand the process. You have to accurately report your rating information to an online car insurance quoting website. Your accuracy is critical because the data that you give will determine the rate. Truthful and detailed rating information is a must if you are seriously considering buying car insurance online. The process will educate you about your own insurance and will give you confidence to shop online in the future.

Here’s what you need…

1. Driver License – Every resident relative in the household will have to be rated on the policy. You will need the driver’s license number for every individual that will be rated on the policy.

2. Insurance Declarations Page – This page is mailed to you every time your policy renews. It contains all of the insurance information that you will need to enter on the online quoting website.

3. Car Registration Card – The registration card will provide the vehicle identification number. Every vehicle gets its rate from the vehicle registration number. It will indicate the air bags, anti-lock brakes, and any other safety features. These features give you discounts.

4. Property Insurance Policy – The best rates on car insurance are usually multi-policy rated. You might as well get a rate on your homeowner policy and compare and get the multi-policy discount.

Online Shopping for car insurance requires you to provide all the necessary information. The nice thing about online shopping is that you can do it at home and at your convenience. The quotes are usually sent to competing companies and when you receive the quote you will also have the option to e-mail the agent. Agents are doing business online all of the time and they also find it to be a convenient way to do business.

To view our recommended source for insurance quotes, visit these pages Auto Insurance Quote

Affordable Health Insurance

Home Insurance Quote

Article Source: http://EzineArticles.com/?expert=Greg_Haehl