Saturday, January 12, 2013

Questions To Ask Your Car Insurer

Everyone who drives a car should have car insurance. If you can't afford car insurance, then you can't afford to drive. If you can't afford comprehensive car insurance, then at least get third party insurance.

With so many companies offering car insurance quotes online, it’s never been easier to find the right car insurance cover for your needs. Having said that, it’s still vitally important to take the time to compare apples with apples after you have a short-list of prospective insurance providers to make sure you get the best deal and you understand the fine print. So after you have your short-list, take the time to get on the phone and ask them the following questions; it may save you hundreds of dollars on your premium and potentially thousands of dollars if the very worst should happen.


First, don’t be afraid to ask them outright about their claims process. It’s important to dig into the nitty gritty here to find out how long it normally takes them to process a claim and what factors usually slow down a claim process. Plus it’s worth asking, after a claim is approved who sources the quotes and repairers (you or them) and how long it normally takes to get a vehicle back on the road.


If you’re into modifying your car, ask them what, if any, modifications you can make to your car. The last thing you would want to do is obtain an insurance policy for a stock standard vehicle that then becomes defunct by you naively adding mags, extractors, or other standard and non-standard modifications.

Reducing Risk

Ask your potential insurer, what difference it will make to your premium if you install anti-theft devices like car alarms and vehicle disabling technologies. Installing an alarm or anti-intrusion device prior to obtaining a policy may reduce your premium, or at the very least reduce your theft excess.

What Does Your Rating Look Like?

Another question to ask is whether an insurer is willing to transfer your existing insurance rating and no-claim bonus from your current provider. These are key factors in determining part of your total premium cost, as well as reducing your excess, so don’t be afraid to ask as it can save you money.

Be Up Front

When you’re on the phone with insurance providers you should also come clean about your driving history. Some people may be tempted to try and leave out any negative incidence in their past, but insurance providers need to know if you have had any licence suspensions, as well as any history of accidents that you may, or may not, have been the cause of. Failing to disclose your driving history may sound like a good idea if you think it will save you money on your premium, but if you have an accident and your driving history is discovered your policy will become void.

It’s worth keeping in mind that your past driving history may not have as large an impact on your premium or excess as you may think, as the type of offence and the recency of the offence are both factors they will consider. A few extra dollars out of your pocket for the premium, or a slightly larger excess commitment, are small prices to pay to ensure you are adequately covered and protected.

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