When it comes to car insurance, we all want to get the best deal possible. It’s no secret that insurance rates are now higher than ever. This is due in no small part to the increasing number of insurance scams that have become prevalent in the UK. Often the things that affect the price you pay for your car insurance are out of your control. For example, there’s nothing you can do about your age or what the value of your car is.

That being said, knowing what factors affect the cost car insurance can sometimes enable you to make changes in order to save money. Below are some of the main factors that insurance providers take into account as well as ways to save money.

Factors that affect car insurance costs

  • Your age - Your age will certainly have a big impact on the cost of your policy. Generally, younger people under 25 will pay substantially more. This is because they’re more likely to be involved in an incident that requires a claim.
  • Your driving history - If you have any points on your licence then this will also affect the cost of your policy.
  • Your financial status/credit score - Insurance providers will do a credit check and if you have poor credit or have been declared bankrupt then this will count against you.
  • Criminal convictions - Criminal convictions of any kind mean you’re more high risk to insurance providers and therefore your premium will be higher as a result.
  • Where your car is kept  - If your car is parked on a public road then it’s at more risk of vandalism and theft and this will be reflected in the cost of your policy.

Ways to save money

  • Park securely - If it’s possible for you to park your car in a driveway or garage then you should always do this. It makes your car much less likely to be targeted by thieves and vandals and therefore makes you a lower risk for insurance providers.
  • Fit an alarm and immobiliser - If your car doesn’t already have an alarm and immobiliser fitted then it’s well worth the investment.
  • Use an insurance broker - Insurance brokers will work on your behalf to find the best deal possible for car insurance.

How do I find car insurance if I’ve been declared bankrupt or have an IVA?

If you have been declared bankrupt or have an Individual Voluntary Arrangement (IVA) then it does make it a little trickier to find car insurance at a good price. The best way to get car insurance if you’re in this position is to seek out specialist providers who’ll take your individual circumstances into account and provide a quote that’s fair.

You can find more information on car insurance for those who have been bankrupt on the rest of the website.