Every year, when you receive your car insurance renewal notice, most of us just skim through it and renew without second thought. Remember that when you first insured your car, your circumstances might have been different. Your insurer would not know any changes that could affect your insurance requirements.
Instead of just proceeding with what you already have, take ten minutes to review your policy well. You could save money with a change, direct yourself to better coverage or give yourself more peace of mind through information you weren’t aware of previously. Here’s what to keep an eye out for.
REVIEW THE ACTUAL COVER
Start by looking at the cover provided by your current car insurance policy. Have you been on a third-party insurance and want to switch to a fully-comprehensive one for more peace of mind? Do you require a change in the drivers to be covered?
Not sure what the switch between third-party and comprehensive includes? You can find out more about the different premiums by speaking to our insurance experts.
ANALYSE YOUR NO-CLAIM BONUS
If you’re looking to keep your car insurance premium on the low, avoiding accidents is one sure way to go since the no-claim bonus is calculated as a percentage based on the number of years of free claims.
Consider it as a reward for being a careful driver, as it can lead to a good discount over the years. Make sure your insurer has your full record, especially if you find yourself changing insurers.
Learn more how the no-claim bonus works and use it to your advantage.
ASSESS YOUR CAR’S MARKET VALUE
It is a known fact that cars are assets which lose value overtime, from the very first minute one takes a brand-new car out of a showroom. A motor insurance policy will not pay for more than the market value at the time of the accident irrespective of your Sum Insured.
The insurance premium for both Comprehensive and Third-Party Fire & Theft take the Sum Insured into consideration and therefore make sure that this is adjusted.
Your Insurers are normally able to guide you the market value.
ANALYSE THE EXTRAS
No car insurance policy is like another. Things might have changed from when you initially took out your policy. Review the renewal notice well to analyse whether there are any extras you wish to change.
One of the most common additions to a policy is the number and type of drivers who may use your car and be covered in case of an accident. This, in itself, raises the premium slightly, though it is much necessary if you are not its only driver.
If circumstances change and you find yourself being the only driver again, make sure to review that section with your insurer to amend as needed.
CONSIDER ONE INSURER FOR ALL YOUR POLICIES
Whilst it’s good to shop around and review your options, the best selection would be an insurer that provides you with value and peace of mind. For many, this involves having one point of contact for any insurance queries; whether it is regarding your car, home, boat or even travel.
In some instances, having multiple policies housed with one insurer can make you eligible for a multi-policy discount. This way you get simpler management at a lower rate.
Consider your car insurance renewal as an annual check-up to ensure you have the right cover for the right price with the right peace of mind. If you need expert guidance, our team will know how to help choose the protection that matters most.