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Car insurance cost factors: driver history

We’ve strayed here into the realms of your driving history. This is where we reach those dreaded questions about whether  you’ve claimed on your insurance policy in the last few years. Unfortunately, you’ll be able to predict that previous claims will almost certainly lead to – yes, you’ve guessed it – higher insurance premiums.

If you do have a Protected No Claims Bonus in place then this may shield you against some of the increase, but be aware that costs are almost certain to rise, even if the accident was not your fault.

As you can see, there are plenty of factors that can contribute to rising car insurance bills. The other point to remember is that insurance premiums often seem to many people to be rising anyway. Even with an extra year’s no claims discount, you may find that you car insurance quotes are going up.

You may well wonder why this should be the case. After all, if you’ve managed to “keep your nose clean” for another year then you might expect to be rewarded with a lower premium.

But it doesn’t always work out that way. One issue may be that your current insurer is sending you through a renewal quote. Such quotes may be higher than they otherwise would be for someone looking to get insured by that insurer for the very first time.

In effect, your insurer may be relying on your inertia. They may think that you’ll happily take out that same policy with them again, despite the price increase. They may think that you won’t have the time, or inclination, to see if you could get a better deal elsewhere.

Unfortunately, in many cases, that insurer would be right. It’s amazing how many people do settle for the price quoted by their existing insurer. This is rarely the best approach.

Once you receive your renewal quote, start comparing the deal that you’ve been offered with what other insurance specialists will come up with for you. You don’t need to settle for that quote. In fact, there’s nothing stopping you contacting your current insurer to ask whether they can improve upon the quote. You may feel like you’re in a stronger position to do this once you’ve spoken to some alternative insurance providers and got an idea of what they can offer you.

Switching provider is not particularly difficult and it’s certainly worth doing if you can get good quality cover at a reduced price.

Car Insurance

Want to know what factors are important when it comes to choosing car insurance? Our complete set of articles can point you in the right direction:

Car insurance explained
Third party insurance
Third party fire and theft
Fully comprehensive cover
Comparing car insurance deals
The cost of car insurance
Cost factors
Car insurance costs: your car
Driver history
Car insurance excess levels
Named drivers
Driving abroad