You will be able to ask your car insurer for help if you are struggling to make payments due to coronavirus – under new rules set down by industry regulator, the Financial Conduct Authority (FCA).
This could include a temporary reduction in cover – from fully comprehensive to third party, fire and theft for example – which reduces your monthly premiums or triggers a partial refund if you’ve paid for the year upfront.
If you can’t come to a suitable arrangement, you can ask for a payment deferral of between one and three months – in some cases longer. You will have to actively make the request before 18 August, when the current support will be reviewed again by the FCA.
There are other measures you could take yourself. For example, if your car insurance premium is due and you usually pay annually, consider switching to monthly direct debit. While this can work out more expensive, it could ease cash flow problems in the short term.