How to Reduce Your Car Insurance by Reducing Your Risk

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For old and experienced drivers or for newly qualified young persons car insurance is a legal requirement. Of course for the more experienced drivers it’s a less costly requirement. Well, if their driving experience is good. If you’ve a history of accidents, been stripped of your license in the past and caused extensive damage to other people’s cars, then chances are your insurance will be much much higher than even that of the most fresh faced 18 year old.

Alternatively though, if you’ve got a good record then you get lower insurance. This is because the price of your insurance is largely based on their perception of how risky a driver you are. Of course there are many factors that you can’t control – e.g. your age or your gender – and others that are a little harder – e.g. where you live – but there are somethings you can do to lower your insurance.

Namely, lower your risk.

First of all, drive carefully. Not just because if you make more claims you’ll pay more, but because the more points on your license the higher the cost of your insurance. Plus, most insurers check for convictions during the last five years – one year after points disappear off your license. Given that additional costs for a poor driving history are cumulative, the final damage can be exponentially higher the more incidents of bad driving you rack up.

Second of all, park carefully. If your regular parking space is in a garage or even just in a driveway then theft and accidental damage is much less likely to happen. Even indirectly this can drop your insurance costs, though some insurers will take your regular parking arrangements into your quote.

You can also lower your costs by making sensible decisions with your choice of car. The combination of make, engine size and market value all impacts upon the cost of your motor insurance. Keep this in mind when you buy a car – if you’re 18 years old, it doesn’t matter how cheaply you got a Ferrari or a 4X4 for, you’ll still have to pay the going rate for the insurance. Also if you modify your car, you’ll be charged more for it – and you’ll invalidate your policy entirely if you don’t let them know about it.

However, there is one exception to this rule – one modification that will actually reduce your insurance bill. If you fit a security device like an alarm or an immobiliser, then your insurance can be reduced substantially.

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Mathew Cooper regularly contributes articles on young persons car insurance. To know more visit

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