Don’t blow big car cover savings

When your car insurance comes up for renewal, will you shop around for a better deal or accept your current insurer’s renewal offer? If you stick with your current insurer, you’re far from alone – around 8.6 million motorists will ‘auto renew’ this year.
Motor insurance certificate with car key
But this show of loyalty could be costing you dear. Consumer Intelligence data shows that over half (51%) of motorists could save up to £220 on cover simply by shopping around. And if you add up the potential lost savings across the whole country, it means UK motorists are throwing away a total of £1.9 billion every year. Surprised? Read on…

Loyalty doesn’t pay

The number crunchers at MoneySuperMarket have done some research on people’s habits when it comes to renewing their car insurance. They’ve found that, on average, motorists remain faithful to the same insurer for between two and three years. The over-55s are the most faithful, sticking with their insurer for an average of three years, while drivers in the two younger age groups of 18-34 and 35-54 will only give an insurer two years’ worth of business.
Senior Couple Using Webcam on Laptop
There’s also a gender split when it comes to renewing cover – the average female stays faithful to her insurer for two years, but male motorists tend to stick around for three years. No matter what demographic you fall into though, it’s worth taking 10 minutes to compare car insurance quotes to see if you could save.

Time to switch

So why isn’t everyone comparing quotes to save money? Our study looked at the renewal habits of over 2,000 motorists and found that 7% of motorists automatically renew simply because they can’t be bothered seeking out a saving, while 13% don’t think they’ll make a saving by shopping around. And of those motorists who do compare quotes, one-in-five (18%) think shopping around once will be enough – they – don’t think they’ll make another saving by repeating the process the following year. But this couldn’t be further from the truth. Kevin Pratt, car insurance expert at MoneySuperMarket, said: “It’s a shame to see so many drivers blindly accept their insurance provider’s renewal quote instead of taking action to save cash on their cover. “Motorists don’t even need to ‘drive’ a hard bargain. Average premium quotations are up to £220 less for those who shop around. It really pays to not just accept the renewal price quoted by your existing car insurer.” He added: “No matter where you live or what age you are, it’s crucial to shop around at renewal time, as searching for a better deal doesn’t cost you anything and there is a whole lot to gain. “Even if your current deal is less than last year’s price and you doubt it can be beaten, it only takes about five minutes to check if there is a better value policy out there to suit your needs.” Surely it’s worth taking five minutes out to compare quotes and see if you could save big?

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