Car Insurance Set to Rise
It will come as no surprise to anyone, that car insurance is likely to rise alongside everything else. Whilst premiums actually fell quite drastically in 2020, mostly due to the pandemic and subsequent lockdowns, there was strong competition amongst insurance companies which was obviously good news for the average motorist.
So, premiums were at a reasonable low. Fast forward to around September 2021 and many motorists were returning to working in the office rather than at home. Insurance premiums started to return to more “normal” levels at the same time the traffic did.
Postcode Lottery?
Like so many things, it depends on where you live as to the cost of your premiums. If you reside in a city, particularly London, you will pay on average £850 annually. Cross the border to South Wales and you will pay around half that! Naturally, the younger drivers will pay more no matter where they live, with an average of around £1500 annually, depending on the car as well as the driver.
More claims
Whilst accidents do happen – even to the most careful drivers – check to see if it is worth claiming (light damage that could easily and cheaply be repaired). It could actually make a difference when your car insurance is due for renewal.
Strangely enough, though, it isn’t always the case. Some customers have been quoted substantially less than those who have made no claims, but it would seem this is because they have shopped around instead of just staying put with the same company. This isn’t a green light to drive around recklessly though as the more claims, the higher the insurance costs, regardless of how much shopping around was done.
Weird claims
Here’s a more unusual claim:
Driving home after doing some Christmas shopping, an oncoming car took its turn too quickly. Okay, it happens. Unfortunately, the owner of the said vehicle had a Christmas tree tied (badly) to the roof of his car and so when taking a turn; the tree didn’t accompany the car. Instead, it headed straight into the other car causing some damage to the bonnet. As the driver of the car tried to ensure he didn’t hit other vehicles, he did manage to hit a hedge instead. A full insurance payout was received, plus a free Christmas tree as the owner didn’t bother going back to retrieve it!
You will need to make sure you insure with a company you have confidence in; after all, they are taking your cash on the promise that they will fix things if they go wrong.
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