Premium tips on how to cut the cost of insurance (Irish Independent)

04 November 2011

MOTOR insurance is compulsory and expensive, but there are ways you can cut the cost of your premium.

Better security for your car can also help bring down your premiums.

Anything you do that will make your car more secure or less tempting to thieves will help bring your premiums down, so make sure you tell your insurer if you fit a burglar alarm or a wheel lock.

However, this will also work the other way around too. Anything that makes your car more valuable to thieves, such as an expensive stereo system or fitting alloy wheels may also affect your premiums.

Increasing the amount of voluntary excess you are prepared to pay on your car in the event of a claim will reduce your premiums every month. This is particularly true for younger drivers who often struggle to afford insurance, according to myfinances.co.uk.

Insurers often give the option to pay for their policies in monthly instalments rather than in one lump sum. However, this is not a free payment method and your insurer will most likely charge a high rate of interest. Buying a cheaper car is a good way to reduce your premium. Check what insurance group your car belongs to -- preferably before you buy it.

If you drive a sports car, expect high premiums, especially if you are male and under 30.

Remember the cheapest deal is not always the best value for money.