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22 April
(source: in-house)

Car Insurance Prices

Most of the time, people are very keen to find low car insurance prices. They take the view that in any given year, they are not all that likely to have an accident; so why pay more when a cheap, if basic, car insurance policy is easy to obtain through a price comparison site?

And, much of the time, choosing from the lowest car insurance prices, if no claim is needed, saves you money with no adverse consequences.

The secret with this approach is to simply upgrade your cover to the type of plan you would actually want in a (genuine) accident just before it's needed, sticking with the lowest car insurance prices until then.

The trouble is, of course, that you don't know in advance when that accident will occur. Thus if you always choose from low car insurance prices, you are destined, sooner or later, to need to claim on a policy that you would rather not have when a claim is necessary.

Maybe you are happy with this, but it is quite likely that the minimal savings you have made each year on low car insurance prices will not fully compensate for the added costs that you have to meet with the more basic of car insurance policies.

Thus if you select one of the cheapest car insurance prices and simply add to this the passage of time, you may well find that it is far from the cheapest when associated with a claim.

The above does not lead to any need to avoid the use of car insurance comparison sites to find low car insurance prices, but it does mean that a prudent choice of cover certainly involves a check of each policy's inclusions, exclusions and excess, before comitting to buy any one car insurance package.

We supect that many drivers take only a cursory look at policy features and then find out too late (when they have an accident) that insurers reduce their car insurance prices by passing risk (cost) back to the insured person (that's you).

Despite this somewhat obvious reality, people remain overzealous in their desire for low car insurance prices. Many will need to learn the hard way that buying the cheapest car insurance policy is almost invariably a false economy.

This is why many people don't actually get too hung up on price, choosing to go direct to a top car insurer instead where finding a better kind of policy is easy. You won't pay much more to get a much better policy.