Unfortunately, there is no reward for loyalty when it comes to renewing your car or house insurance and your premium will usually rise considerably each year if you stay with the same company. It is a little time-consuming, but with a bit of work, there are big money savings to be made when you know how. We saved over £1000 when renewing our home and car insurances this year.
Martin Lewis of Money Saving Expert advises using the 4 price comparison websites followed by Aviva and Direct Line. If you have a high-end insurance quote it’s worth spending the time to do this as you can save £100s. If your insurance is relatively cheap to start with you may not think it’s worth spending a couple of hours to save £10 or £20, so just check one or two.
Firstly I would suggest getting together all the details needed for your quotes. It’s a good idea to write this down and keep it in a file with all your car paperwork for future years.
Personal details and registration number
Date of vehicle purchase
All personal details of any named drivers
Date of passing test of all drivers
How many years NCD of all drivers
All dates and prices of previous claims of all drivers on the policy
All dates and codes of driving offences of all drivers on the policy
Then start searching. Once you’ve got your first quote you can play around a little with job description, additional drivers, excesses, extras offered, etc. Adding a named driver, even if they have their own insurance and rarely drive your vehicle, can reduce the premium depending on their driving history and job title.
Taking a lower voluntary excess doesn’t always add lots to the premium. I always opt for a £0 voluntary excess and try to get the lowest possible compulsory excess. There’s no point in having a £500 combined excess if your car is very low value, for the sake of an extra £10 or so on the annual premium. Think ahead.
Obviously, check to make sure you have the same level of cover or extras such as breakdown cover, legal cover, etc., and check that there are no limitations on the policy.
Once you’ve found your best price, look on Quidco or Topcashback to see if they have any cashback deals with that insurer. You can read more about how to use cashback sites in my complete guide to couponing, cashback and loyalty cards.
Then ring your current insurer and tell them what you can get your insurance for elsewhere, many will price match it so not lose your custom. This will also save you the aggravation of having to get proof of your No Claims Discount.
OUR SAVINGS ON CAR INSURANCE
If you don’t think you can be bothered to do all that, look at what we’ve just saved on our renewals earlier this year:
My husband’s van insurance – saving for 2018: £850
2017 price £440
2018 renewal quote from current insurer £1350
(he had an at-fault claim earlier in the year)
He looked at 3 comparison sites and Direct Line (all between £700-800) then Aviva. Aviva came in at £550 and we claimed £65 cashback from Quidco so paid less than £500 for this year’s insurance.
My car insurance – saving for 2018: £53
2017 price £250
2018 renewal quote from current insurer £268
I looked at 2 comparison sites both coming in at around £230. I called my current insurance company who happily requoted a cheaper price of £215 and I didn’t have to mess about getting proof of NCD to a new insurer.
OUR SAVINGS ON HOUSEHOLD INSURANCE
This can be applied to house insurance, boiler cover and any sort of annual policy. We saved £50 on our home insurance and again stayed with the same company.
Our boiler insurance ran out in the Summer so we let it lapse as the renewal was double the original premium. When we put the heating back on at the end of September we looked for new cover by checking prices at Uswitch. We were able to get cover and service for £160 and then purchased via a cashback site and got a further £30 cashback.
You may find some of my other money saving blogs of interest:
How much you’ve saved on your insurance this year?
You may get an introductory gift depending on current offers, and I may get a referral credit if you reach a certain spend.