The stark rise in car insurance and www.autonetinsurance.co.ukcar-insurancebusiness car insurance premiums, which was predicted by Norwich Union at the end of 2006 has not materialised.

One of the UKs biggest car insurers, Norwich Union had stated that in 2007 premiums would have to rise by 16% in order to cover the cost of increased claims. However, the latest AA British Insurance premium index indicates a rise of only 5.9% in comprehensive car insurance cover throughout the year.

The reason given for the halt in premium rates was the much fiercer competition engendered between the UKs top online insurance companies.

Typically, the report stated, UK drivers paid an average of 594 for fall comprehensive car cover in the previous year. The Index also reveals that those who shopped around in search of cheaper car insurance when it came time to renew the policy, paid on average 194 less, an indicated saving of upwards of 33 percent.

The data also revealed that car insurance for third party, fire and theft could also be cheaper when switching companies on renewal, achieving savings of as much as 225 a year below the average industry quote.

However there are other factors, which may have affected the accuracy of these statistics.

According to a recent article in The Guardian Money Column, the exact circumstances of each driver must be compared in order to reach a true comparison of what is actually the cheaper insurance option. For instance, some insurers will not offer cover for business or commercial use, and other insurers will not offer any kind of policy for younger drivers.

It has also been noted that often the cheapest of the insurers can subsidise their premiums by applying other costs and charges. An example of this can be found in the APR charged when the premiums are paid in monthly instalments. Extra costs have soared by as much as 39% when this has been applied. Also regular drivers abroad are offered free European cover by some insurers, whilst others may charge as much as an additional 20 for a two-week visit to France.

Interestingly, the consumer body icon Which? Discovered that insurance premiums could reduce by as much as 25% by buying directly from the designated companys website online.

The organisation also suggests that even if only third party, fire and theft is being considered, it would be beneficial to also get quotes for comprehensive www.autonetinsurance.co.ukcar-insurancecar insurance cover, as often
this type of cover may not cost much more, and it may be well worth paying the difference in order to secure additional security and peace of mind.

During the last few years, the average car insurance premium has virtually been at a stand still. The reason is price competition. There are now over 100 car insurance companies fighting for your business and competition is fierce. There are always bargains to be found as companies cut their premiums to attract motorists in the hope you’ll remain loyal and stick with them in following years. Indeed, every year, 23% of us renew our motor insurance with our existing insurer.

But in recent years the Internet has created a revolution in the marketing of car insurance. It makes shopping around so easy without the need to make loads of phone calls and without spending time threading yourself through the automated phone systems beloved by so many call centres.

But you’d be wise to remember that the lowest premium is not always the best. For example, some insurers have recently pushed up the level of claims excess they want you to pay as this helps them provide you with a much lower quote. You should also check out whether a courtesy car is provided if your car is in for repair. You might also feel you want legal insurance cover and automatic windscreen replacement. An accident helpline can also very useful in the middle of an emergency! You’ll need to phone the broker or insurance company you’re thinking of dealing with in order to check out these points.

17 Top Tips

for cheaper car insurance

Get your online quotes through car insurance brokers. Their computer systems will search for the best quotes from 40 or more car insurers and save you lots of time. When you’ve got their cheapest quote, phone them to discuss the relative merits of the cheapest quotes they found.

Garage your car at night. Insurance companies know that a car left on the road at night is much more vulnerable to theft and damage. If you don’t have a garage, if possible keep it on your drive.

Update the estimate of your mileage each year. If you’ve moved home or changed your job you may have shorter commuting journeys. If so, your premiums should be less.

Your premium can be influenced by your job. Landlords, journalists, and professional footballers to name but a few, all pay more! Go for a job that’s a bit more boring! Accountants and civil servants pay less!

Getting married could save money on your car insurance, particularly if you’re male and under 30.

If you’re under 25, add an older experienced driver with a good riving record onto your policy as a named driver. But don’t let him be too old! premiums start rising again after age 60!

Consider paying a higher accident excess. The average excess is about 100. If you are prepared to increase you claims excess, your premium will fall significantly.

If you have cheap or old car, consider buying just 3 rd Party cover. Get quotes for 3 rd Party and comprehensive insurance and weigh up the savings.

Are you aged between 18 and 21? Then consider pay as you go insurance. Norwich Union has recently introduced the first pay as you go insurance policy, which charges you exactly for the miles you drive. It also charges more for the miles you drive between 11 and 6 at night. The system works through a Global Positioning System which is fitted to your car for a one off fee of 199. The GPS black box tells Norwich Union how many miles the car’s been driven and they send you an monthly invoice.

A new driver? Spruce up your driving technique by taking some more driving lessons. New drivers can slash their insurance costs by as much as 35% by taking Pass Plus lessons. These give you extra training for driving in rush hour traffic, motorway driving and night driving. Lessons cost between 15 and 30 per hour. (www.passplus.org.uk). You can also reduce your premium if you’ve taken a course with the Institute of Advanced Motorists (www.iam.org.uk).

Buying a new car? Then check out the insurance group before you buy. Cars fall into one of 20 insurance groups with 1 being the cheapest and 20 the most expensive. If the proposed insurance premium is too high, chose a car that’s in a lower group.

High spec and performance cars attract thieves and are more expensive to repair – so they always cost more to insure. Consider something with a little less voroom!

It’s hard we know, but try hard not to speed! Most insurance companies will ignore one fixed penalty fine but get more and your premium will rise.

Got 4 or more years no claims discount? Pay the extra get the discount protected.

Fit a satellite navigation system. Some insurance companies have noticed that sat nav cuts the accident rate by letting drivers concentrate on the road. Insurers will soon be giving discounts if you have it fitted.

Get a engine immobiliser or alarm fitted. It could save you between 5-8%.

Got more than one car in the home? Some insurers will give a discount for insuring them all in one policy.

Admiral, founded in 1993, is a company that specializes in providing low cost car insurance to people living in cities, younger drivers, and those who own high performance cars, as well as a combination of all these. For such drivers, Admiral also offers an online quote that allows you to save about 10% on car insurance.

Admiral Products:

MultiCar Insurance This product offers a new method of getting cheaper car insurance, by insuring two or more private cars which lets you qualify for discounted car insurance. The main features of the MultiCar Insurance includes

Up to 23% discount
You don’t have to wait for your second car to be covered before you get a discount
Each policyholder earns and keeps their own No Claims Bonus
Helps unite renewal dates on your cars, which may allow you to earn your No Claims Bonus
Monthly installments available

Information you need before you apply for the MultiCar Insurance:

Details of the other cars in you family, including make and model, registration number
Details of the drivers that use the other cars, with information regarding claims and convictions
Renewal months’ for the cars in your house

Breakdown Cover Insurance This package is exclusive to policy holders, and includes

Caravan or trailer cover
Alternative transport
Emergency overnight accommodation
Roadside assistance and recovery
Lost or damaged key cover
Message assistance
Home assistance

After youve applied for the Breakdown Cover to your policy, youll receive the details along with a card that bears Admirals freephone breakdown assistance number. All you need to do when you receive the card is to your policy number and registration number on the back of the card, to be used when you call for assistance. You also have to note down the scheme code printed on the card, as well as the make, model and type of your car.

Van Insurance Admiral has also teamed up with Gladiator to provide insurance for a commercial vehicle. The website links to an online quote engine for Goods vehicles, and in order to get an online quote, you need to enter

Your personal details and any other drivers, along with driving date of birth, licence and job details
Details of any claims made in the last five years by all drivers
Details of any motoring convictions against all drivers
Details of the vehicle to be insured make and model, manufacture year, security devices etc.

Once you clicked the Submit button, you be guided to a unique web reference, through which you can recollect details you have entered.

Besides car insurance, admiral also offers other products such as Travel insurance, Motorbike insurance, and Pet insurance.

Car insurance is one of the most expensive costs involved in driving a car, and it’s not something you can avoid – a minimum level of insurance is required by law. That doesn’t mean you have to blindly pay whatever your insurer quotes though, as there are several simple things you can do to reduce the cost of your premiums.

1)Shop around and buy online: Figures show that many people simply renew their current policies without shopping around. The internet makes it easy to compare prices from different insurers, so why not take advantage of this? Plus, you’ll usually get a discount of 10% or more just for buying your policy online.

2)Policy type: do you really need a comprehensive policy with all the extras? Going for a third party fire & theft policy can reduce your premiums hugely, and is definitely worth considering if your car isn’t an expensive model.

3)No claims discounts: Nearly all policies feature a discount that increases for every year you don’t make a claim. The higher the discount available, the more you could save. Also look at insurers offering a ‘no claims bonus for life’ feature, where your current discount level can be fixed forever, even if you have to make a claim somewhere down the line.

4)Excess: The excess on a policy is the amount of a claim you have to pay before the insurer pays the rest. Choosing to have a higher than standard excess level will usually mean lower premiums.

5)Security: Fitting your vehicle with an alarm, immobiliser, or other security devices can lead to premium reductions. Parking you car off-road, for example on a driveway or in a garage, will also mean a cheaper policy.

6)Pay annually: Many insurers charge you interest for the privilege of paying in monthly installments. Pay annually if you can afford it to avoid this, or look for one of the companies who don’t charge extra for monthly payment.

7)Mileage: The more mileage you run up every year, the more your insurance will cost. Even if you can’t reduce your mileage, make sure you’re not overestimating how much you actually do drive, and give your insurer an accurate figure.

8)Drivers: The more drivers you have on your policy, the more it will cost. Reduce the number of people insured to drive your car to the minimum possible, and try to get the policy in the name of a driver with the lowest risk profile. For example, if a car is driven by both a man and a woman, insuring it in the woman’s name will often result in a cheaper quote.