Car insurance needs to be compared just as with anything else you buy, the car insurance provider will compete with each other to get you to take out their policy. The cost of the actual insurance will vary considerably along with what is and is not included in the policy and both of these have to be checked out when looking into policies.
While standard fully comprehensive car insurance will all include some of the same things, they differ in the extras that they include. Some providers might provide you with a courtesy car that would replace your own if you were to have an accident that meant your car was off the road for a certain length of time. With this in mind you need to check the terms and conditions very carefully before handing over your money to a car insurance provider.
Car cover is worked on by some basic criteria which the majority of insurance companies will follow. The main criteria which determines the cost of your insurance is the insurance group which your car falls into. The group is worked out by the probability of risk which is usually based on repair costs. The bigger the risk then the higher the group and the dearer the insurance will be. A high powered car will usually cost a lot more to insure than a mini would and this should be remembered when looking to buy a car, particularly for the younger age group. When going to buy a car if you are considering buying from a dealership they should be able to give you a good idea of what bracket the car will fall into. The size of the engine is also taken into account so this needs some consideration also when buying the car.
Another factor that is taken into account is your no claims bonus. A good no claims bonus can knock as much as 70% off the cost of insuring your car. The more you have then the cheaper the insurance will be and this is built up over years until you reach a certain amount. For example you will receive a bonus for each year that you do not claim against your car insurance policy. You can also choose to take out car insurance that will protect your no claims bonus in the event that you do have an accident.
The amount of time you use your car is also taken into account by the car insurance provider. For example if you only drive so many miles per year then you are able to get cheaper car insurance than someone who drives their car for a living. If you drive for a living then you are seen as a bigger risk, this is because the risk of you being involved in an accident rises. The security of your car is also taken into account, if you keep the car parked in a garage when you are not using it then it will be more secure than if you leave it on the kerbside. The level of security is also taken into account and if you install car alarms, tracking devices or an immobiliser then this can keep down the cost of your car insurance.
