Car insurance myth debunked as Brits urged to | Tech News

A motoring skilled has urged drivers not to imagine two common myths that incorrectly declare to help them get cheaper car insurance. Whilst the average price of car insurance fell by 23 % during 2024, the average driver remains to be paying more than £700 for a yr’s cowl. As a consequence, many motorists are in search of methods to cut back the costly however vital invoice.

According to Vertu Motors, one of essentially the most common myths surrounding car insurance is that it’s best for motorists to renew their present coverage. They defined: “Loyalty doesn’t always pay when it comes to car insurance. While some believe that staying with the same insurer will result in better rates, shopping around before renewal can often lead to more competitive deals. Since January 2022, FCA regulations have prevented insurers from charging renewing customers more than new ones for the same policy. However, it’s still worth comparing options each year to ensure you’re getting the best possible deal, including considering your existing provider.”

Whilst motorists might imagine that car insurers would reward clients who’re model loyal, the truth is that drivers who renew their coverage are possible paying considerably more for canopy.

Instead, it’s critical that drivers start in search of their subsequent insurance coverage on a price comparability website round a month earlier than cowl ends with a view to paying for it with 23 days upfront.

Not solely can doing this show costs from a wide selection of insurers, it could possibly additionally show to the businesses that the driving force is well-organised and doesn’t depart massive financial choices to the final minute.

Virtu Motors additionally inspired drivers to suppose twice earlier than ‘fronting’ – a surprisingly common apply during which new drivers declare a more skilled motorist as the principle person of their vehicle.

They added: “New drivers often face high insurance premiums, leading some to declare their parents as the main driver to cut costs. However, this practice is known as ‘fronting’ and is illegal. It could result in a fine of up to £5,000, six penalty points, or even the cancellation of the policy.

“Instead, it’s price reviewing whether or not masking an further driver, with a good driving historical past, will help cut back your premium charges. Just keep in mind that they shouldn’t be listed as the principle driver.”

Without any no claims bonus (NCB), the quantity of years a driver has not had to make a declare to their supplier, getting insurance could be a notably costly endeavor, with some motorists tempted to bend the principles.

However, drivers who use fronting to get cheaper insurance can face severe repercussions if the supplier finds out – probably cancelling the coverage and leaving the vehicle proprietor paying even increased quantities for future cowl.

Instead, motorists trying to save on their insurance ought to add an skilled driver they know as a named driver on their own coverage, which may help to cut back the associated fee of cowl whereas staying within the right facet of the law.