Whether you aim to switch your car insurance policy in a bid to cut costs or you have just picked up your first car for which you now seek insurance, uncertainty could surround how much you would pay for the package. After all, car insurance prices consistently seem to be in flux, to put it mildly.
In truth, various factors could affect those prices in 2019 – here are just a few examples…
Your Driving Record
Yes – this year, as in surely any year, your driving history will impact how much you need to pay for motor cover. A record of speeding and violating motoring law could see you paying much more for car insurance, as TheStreet explains, and the reasoning behind this seems sensible.
Basically, the riskier you are on the road, the riskier you are to the insurer, so they will charge more.
Your Credit Score
The insurance industry has data revealing that the lower your credit score, the likelier you are to have engaged in dubious driving behaviour; you might even have ended up in an accident.
Insurers often look at applicants’ credit scores because they reflect those drivers’ potential risk on the road. Therefore, it is in your interest to follow financially sound practices.
Your Age And Driving Experience
Naturally, these two factors tend to – although not always – go hand in hand. However, either factor can independently affect auto insurance prices with which you’re presented.
You could find yourself needing to pay as much as 30% more for car insurance if, say, you are a teenager and have spent just a few months driving.
A History of Making Insurance Claims
Insurers certainly don’t enjoy having to pay out when a customer makes an insurance claim. For that reason, if you have made such a claim in the past, you can expect to be financially penalised should you want to renew a policy or take out a new one.
Relax if you have never claimed, though; insurers are likely to be willing to offer you discounts.
If you live in the UK, the spectre of Brexit could also easily affect your car insurance costs. In the last three months of 2018, the average price of a fully comprehensive policy reached £609.93, a 2.7% increase. Brexit – or should we say, its effect on the UK currency’s value – has been blamed.
As sterling has sank in value, imported car parts have become pricier, leading the car repair industry to absorb rising costs that have leaked into insurance premiums, BBC News reveals.
When You Buy
Let’s keep our focus on the UK market as we consider a MoneySavingExpert report revealing that, by buying their policy 21 days before it starts, a UK motorist can save money. The saving in this instance averages out at £589 to £531.
However, could you save even more? UK motorists can find out by asking a broker like Call Wiser to compare various policies for them.