Petrol prices reached an all time high this week
Petrol prices reached an all time high of £1.20p a litre this week due to the cost of oil hitting $85 a barrel, a weak pound and an increase in fuel duty meaning that the cost of motoring continues to rise. It’s crucial to fine tune your policy to ensure you pay for what you need and strip out all the things you don’t.It vital to ensure you are getting the right level of cover for your needs, and that involves comparing policies on more than just price alone but also on the features offered. To help you, we’ve drawn up a list of the top 4 tips to look out for when comparing car insurance quotes. 1. Check your excess – Some insurers will produce a lower quote in return for you choosing to pay more upfront in the event of a claim. 2. Check the benefits – Windscreen cover, driving abroad and driving other cars are nice benefits to have and are taken for granted by many but we have very little knowledge of what protection they provide us with, and in some cases you may be required to pay an additional premium for these to apply to your policy. 3. Look at the payment terms – To aid budgeting many of us will opt to pay our car insurance on a monthly basis. However it’s not uncommon for APR rates of 20-30% to be charged for the privilege, this can be as much as an additional 15% of your annual premium over the year! Instead check the payment terms you require and if necessary look to spreading the payments out over a 0% credit card, or look for an insurer who offers interest free payments, it could work out cheaper over the year. 4. Be aware of any add on’s – Additional features such as protected no claims discounts, courtesy cars , and legal cover can all be purchased separately, although many quotes will preselect these options for you. Consider whether you need these elements of cover carefully and check whether you have these features with another provider i.e. a packaged current account for example. It is important to be aware of what you are buying and agreeing to when you sign up for your annual car insurance policy. Comparing car insurance policies not only on price but also on benefits will then give you some comfort that should to worst happen and you have to make claim, you are fully aware of what is and isn’t covered.