Car Insurance Prices Turning a Corner
Posted on Feb 10, 2025Finally, we are seeing car insurance prices turning a corner and starting to come down. Prices are still high after big price hikes, but thousands of people are welcoming the indicator that prices are beginning to reduce.
Car insurance price hikes have slowed and are now 16% down year-on-year, but even if your automatic renewal price stays the same, don’t assume it’s a good deal! Motorists are still complaining about insurance prices being difficult to squeeze into our budgets so if your motor insurance is up for renewal soon, here are 3 steps you can take to make sure you’re not paying over the odds…
1) Shop around
Remember to shop around and check comparison websites. Comparison sites are marketplaces for insurance so remember to always check different sites to find a great deal. Checking your blind spots, shopping around changing your insurance provider are good options to see if you could save some £££.
With comparison sites such as Compare the Market, Money Super Market and Confused.com, you could get even more perks like 2for1 cinema tickets, free days out or discounts at some of favourite retails like Greggs, Halford and Sainsbury’s.
2) Add a named driver to your policy
Adding a more experienced driver to your policy could bring your price down. Adding a named driver to your policy means the driving will be shared so you’ll be spending less time in the drivers seat.
Make sure you put the driver who will be behind the wheel the most as the main driver. It is against the law to knowingly put the more experienced driver as the main driver in a bid to lower the cost when you’ll be doing the majority of the driving. Put yourself as the main driver if you’re driving the vehicle the most and this will also allow you to build up your no claims which will lead to a discount in the future.
3) Pay annually
Paying for your car insurance annually is usually cheaper than paying in monthly installments. If you pay monthly, interest is added to your repayments more often, and you’ll be paying more than you need to over the course of your policy.
Car insurance price rises are slowing down, but prices are still high! Many people opt to pay monthly for their car insurance to make sure they aren’t left short during the month their annual insurance payment is due, but did you know there is an option to save money by paying for your car insurance in one annual payment, while repaying weekly or monthly to suit your budget?
Buckle up, you don’t want to miss this. If you’ve found a decent car insurance quote and don’t want to pay more in interest by choosing monthly repayments, Retail CU could help! Apply for a Retail CU loan, and you could repay weekly or monthly to suit you. Spread the cost of your insurance with affordable repayments straight from your pay, without paying extra interest to your insurance company.
Click here to read more about car insurance prices and how to save £££.