Tips for saving money on your insurance

Everyone know’s not to accept the renewal price from your insurance company on your car and home insurance. After mortgages, this is the most effective area to limit your spending by obtaining alternative quotes. According to the AA, massive savings can be made the avergae shopper saving a whopping £214, while home and contents insurance tumbles from £320 to£200. The internet makes it incredibly simple to find quotes, and if you don’t spend at least one lunch hour a year finding a better deal then saving money is not important.

1. Investigate your Loan protection insurance
Pricey and poorly sold, Payment Insurance is one of the most profitable products formed by the finance industry. It can add £3,000 to the cost of a £7,500 secured loans. Many people who were sold ppi could’t claim on it against it these people are able to claim their ppi back.

Lots of claims companies advertise on daytime television, promising to obtain you a refund but they will take 25% of whatever you win. Instead, use the Fiancial Ombudsman Service which is free and which is currently upholding around four out of five complaints about being missold PP . Helpfully, it offers a factsheet on how to make a complaint about PPI which you can find at financialombudsman.org.uk

2. Cancel your mobile phone insurance
Naive youngsters are strongly pressured in phone shops into spending between £50 and £70 a year on this kind of insurance. Airtime abuse is not covered which is the greatest risk (where the phone is stolen and used to make international calls), and if you lose your phone you can always claim for it under your home contents cover for personal belongings.

Just ring your bank, stop the direct debit and job done!.

3. Rethink your life insurance
You don’t have to keep you life insurance policy for the whole of the policies term. Just because the term insurance was sold to you when you took out a mortgage you don’t need to to stick with that provider for the life of the remortgage. the policy can be canceled at any time to get a cheaper quote. With the avergae age of death improving (ie. fewer people dying), the insurance companies have been cutting rates for years.

If you are in a job at a big employer, it is likely to offer “death in service” benefit worth at least three times your yearly salary, and often a lot more. Do you really need all that life cover on top as well?

4. Don’t pay for travel insurance you don’t need
Step 1 An EHIC card provides free or reduced cost treatment in EU countries

Step 2 Check your home insurance policy. cover is often provided when outside your home.

Step 3 Check your medical insurance policy, if you have one. These requently pay treatment costs incurred abroad. when you are only travelling to Europe, the only real benefit that travel insurance brings is cover in the event of a cancellation. Can you justify paying the premiums?.

You mustn’t travel outside the EU with out travel insurance cover Annual policies are always besty if you intend to travel more than opnce a year though again don’t pay for cover you don’t need. For example, if you don’t ski or snowboard, you don’t need winter sports cover.