It’s no secret that students looking for car insurance are often in for high prices – but it’s not all bad.
There are steps students can take to cut premiums and appear less risky to insure in the eyes of underwriters. These include:
Choosing the right car – One risk factor that underwriters consider is the car itself. Large models with higher-performance engines are a more significant risk to insurers than compact cars with modest engines – making premiums more expensive. Picking a car with a smaller engine can dramatically reduce the cost of monthly or yearly repayments.
Avoid cars with modifications – Modifications can cause a couple of problems. They make the vehicle more expensive by increasing its value and subsequently increasing the value of the insurance.
Secondly, aftermarket parts that have been improperly fitted are linked to a 27% increased chance of an accident – which isn’t unnoticed by underwriters. Drivers with modifications may face extremely high insurance costs as a result, so avoid them to keep premiums down.
Leverage additional qualifications – Qualifications help grow faith in drivers from the perspective of insurance underwriters. Driving courses – like the Pass Plus scheme – lower insurance premiums for drivers as they’re seen as less of a risk on the road.
Consider alternative policies – Policies with tracking – known as ‘Black Box‘ insurance – dramatically reduce premiums provided the onboard data analytics demonstrates safety on the road.