Choose Your Extras Wisely
Having a pimped out car that attracts the right attention may sound like a good idea socially, but is it a good idea for your budget? You may be able to afford the fittings of non-standard accessories, but before you make that swipe – consider the impact it will have on your insurance premium. Where possible, skip on the upgrades to your car and appreciate it in its naturally manufactured state… your pocket will thank you when your premium doesn’t increase.
Plan Ahead and Secure Your Premium
Paying per year and not per month may sound daunting and costly right now, but it’s actually cheaper to pay ahead. If you can afford to do so, pay upfront as far ahead as you can. MiWay has taken it a step further by enabling you to secure and fix your premium to a set fee for 3 years*. This guarantees you the same premium for 3 years without the worry of an annual increase during that period.
Consider Your Excess
The excess you choose influences the premium you pay. If your insurance provider allows you to, consider increasing your excess to decrease your monthly premiums. However, it is important to consider if you will really be able to afford that amount should the time come when you need to cover the excess at claims stage. Play around with your excess amount knowing what you can realistically afford –MiWay clients, you can do this online using MiXpress, and instantly see the difference it would make to your premium.
Evaluate Your Cover Needs
There are different insurance cover options for you to choose from – make sure you choose the right cover for your needs and not just your pocket. The most expensive, and widest type of cover is usually Comprehensive cover – which covers your car and other vehicles in the case of loss or damages. You do get other, trimmed-down cover options, like Third-Party, Fire and Theft cover, but be aware when evaluating the type of insurance cover you need – think about the worst possible scenario before making the big chop.
Tighten Your Security
Increasing your car’s security not only limits or decreases your risk, it also decreases your premium. If you are looking to enjoy cheaper cover, consider adding extra security features such as alarms and tracking devices. Where you park your car also plays a role in determining your premium, so be sure to park it in a secure location where risk is minimised. If your parking location or security features have changed, remember to update your insurance policy too, as there is no way that your insurance provider will sniff it out unless you tell them.
Consider Insurance When Test-Driving
Don’t let car insurance be an after-thought – consider insurance while you are still shopping around for a car. This will aid you in not only making a decision on the type of car to drive away with, but it will also give you an idea of the premium you can expect when getting insurance. Whether new or second-hand, find out which cars have higher risk profiles than others. Purchasing a vehicle with a lower risk profile will have a positive effect on your premium.
Always remember that ‘’cheap’’ doesn’t equate to quality!