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15 Tips to Reduce Your Car Insurance Costs

The cost of car insurance can make up a large part of your driving budget, but it doesn't have to be.

Here are 15 tips to help you lower the cost of your new car insurance:

1. Shopping:

The Association of British Insurers (ABI) believes that you can save up to a third of your annuity, simply by shopping.

2. Limit the number of people authorized to drive the car

3. Franchise application

Most insurance policies include an excess charge (that is, the amount you must pay for repairs). If you are willing to pay more, you can get more discounts.

4. Don't use your car for work
Insurance policies that cover only "social, local, and fun" tend to be cheaper.

5. Agree to set a maximum number of miles
This can give you a discount simply because cars that are on the road are often less likely to be involved in an accident. AA Insurance believes that accepting an annual limit of 12,000 miles would result in a discount of 5 to 10 percent. With 5,000 miles you can earn more. It is especially beneficial for families with more than one vehicle.

6. Avoid middlemen
 Buying through brokers can increase the cost of insurance by as much as 30 percent.

7. Buy online
Many insurance providers offer an automatic 5 percent discount for online transactions.

8. Consider reducing volume on lower-value cars and smaller engines with less insurance equipment.

9. Keep your car parked in the garage

Keeping your car in a garage or drive instead of on the road can take 5-10 percent of your premium.

10. Request a discount
Some insurance companies only offer you a discount because they want your custom.

11. Find ways to protect yourself
Some policies allow you to make claims under certain circumstances where you must pay a small premium up front, but they can save you a fortune in the long run.

12. Install a black box in your car

This is where the device that monitors how the vehicle is driven is safely installed. You can also accept curfews at certain times of the day. It works especially well for young drivers.

13. Improve your driving skills
A passed driving test or similar score can lower your premium cost.

14. Don't assume cheaper third-party coverage
Third party insurance is the legal minimum, covering damage to the property of others and the cost of any compensation for injuries. However, this is not always cheaper than full comprehensive coverage, which also covers your own vehicle.

15. Do not pay by direct debit
Paying your insurance in monthly installments, rather than an annual lump sum, makes it seem easier. But it will likely cost you 10 to 25 percent more.