One thing which can increase the cost of car insurance by quite a large amount is when a car is kept on the road overnight. In this position a car is much more likely to be the victim of accidental damage or theft. If possible a car should be kept on a driveway or in a garage as this offers some protection and as the insurance company is likely to receive a claim they charge less for the cover.

The security measures which a vehicle has will also affect the insurance premium and obviously a highly rated alarm, immobiliser and possibly even a tracker will help to reduce the cost. Installing these will cost initially but it can lead to substantial savings each year that car insurance is bought for that car afterwards.

It might seem drastic but another excellent way to reduce the cost of insurance is to change to a different car. Cars which have smaller engines or are run on alternative fuels will usually be favoured by insurers and the savings will come not just from the reduced premium but also the reduced cost of fuel and tax.

Although it isn't a great idea to move house purely to lower your car insurance, it is very much worth considering the location and crime rate of a property if you are looking for a new house. Insuring a car at a property with a high crime rate will be much higher than a low crime rate area house.

Tags: autos, cars, Finance, insurance, money, motoring

This entry was posted on Tuesday, January 31st, 2012 at 2:12 pm and is filed under Finance. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.