There has been some interesting research carried out by Which? into the effect that making one or more claims on a car insurance policy can have on the premium that a motorist will then end up paying at renewal. Obviously, if a policyholder does not make a claim then the insurer will be pleased as they will not have to pay anything out for that policy thus making more money whereas if a policyholder makes a valid claim on a policy then the insurer will end up paying out thus having a negative impact on its profit.
Which?, through the price comparison website GoCompare, established that, rather surprisingly, if a motorist had made one motor insurance claim then, on average, they were quoted £81 per annum less when compared with another motorist who had not made any claims. You would have thought the opposite would have happened wouldn’t you?
If a motorist had made two claims on their car insurance policy then, on average, he or she was quoted £69 per annum more their cover.
If a driver had made four claims on their motor insurance policy then, on average, quotes increased by an average of £469 per annum. We are sure that you will agree that is a huge increase.
That latter figure must surely encourage motorists to drive more carefully thus reducing the possibility of being involved in a road traffic accident leading to a claim on their car insurance policy.
With rising fuel costs at petrol pumps and an increase in household fuel costs to name but some of the things that are or will impact peoples’ personal expenditure anything that can be done to keep costs down has got to be welcomed.
If your existing car insurance is coming up for renewal in the short term or you are looking for cover for the first time then why not shop around. In this respect why not get in touch with us today to arrange a competitive, no-obligation car insurance quotation.
