Important Questions for your UK Car Insurance Company (Part Three)

Payment Methods and Premium Costs

When you purchase a policy from some car insurance companies, paying in cash or by credit card in a single lump sum earns a discount. Obviously, there are some insurers who allow you to pay in monthly instalments over the course of a year, but they usually charge a higher premium for providing this service. Always calculate how much more premiums cost in terms of interest payments, and consider purchasing car insurance as a one-off payment if the figures work out cheaper.

Administration Charges for Amendments or Cancellation

Administration charges are usually applied for policy changes such as car insurance coverage amendments and cancellations. Although your annual premium might be one of the lowest around, you could face expensive administration charges for something as simple as changing your address and this suddenly makes a car insurance policy less competitive. Always review the terms and conditions of a car insurance policy for administration charges, or call your shortlist of car insurance companies before buying. A little groundwork now could save you unnecessary expense in the future. 

Additional Discounts

Investigate other factors that may earn you a car insurance discount, such as completing the Pass Plus scheme or taking advanced driving lessons if you are a newly qualified driver. Fit additional security systems from an approved manufacturer, and consider pooling your car and home insurance with the same company. When a policy is taken out, agree to keep below a certain level of mileage each year, especially if you are only an occasional driver. Don’t forget to compare car insurance quotes to see how these factors can save you money; every carrier offers different discounts and the savings you can make will vary greatly.