Drivers throughout the UK are being urged to be cautious when looking for cheaper automobile insurance coverage, as frequent misconceptions might result in sudden fines and even authorized hassle.
Latest information from Vertu Motors has revealed a staggering 173% enhance in Google searches for ‘low cost automobile insurance coverage quotes on-line’ during the last three months. Nonetheless, many motorists could also be unknowingly placing themselves in danger by falling for myths about lowering premiums. To assist drivers make knowledgeable selections, consultants at Vertu Motors have debunked a few of the most widespread insurance coverage misunderstandings.
MYTH: Itemizing a Father or mother because the Foremost Driver Lowers Prices
New drivers usually face excessive insurance coverage premiums, prompting some to record their dad and mom as the primary driver in an try to chop prices. Nonetheless, this follow—generally known as “fronting”—is against the law and will result in severe penalties, together with a tremendous of as much as £5,000, six penalty factors, and even the cancellation of the coverage.
As an alternative, younger drivers ought to contemplate including an skilled driver to their coverage as a named driver, supplied they don’t seem to be falsely declared as the first driver. This method could assist decrease prices with out breaking the regulation.
MYTH: Rural Areas At all times Imply Cheaper Insurance coverage
It’s generally believed that dwelling in a rural space mechanically ends in decrease automobile insurance coverage premiums. Whereas insurers do take crime charges and accident statistics under consideration, this isn’t a assure.
Sure rural places may very well have increased insurance coverage prices as a result of elements corresponding to elevated accident charges, poorly maintained roads, and dangers corresponding to wildlife-related collisions. Drivers are suggested to offer probably the most correct deal with the place their automobile is based, guaranteeing it matches official information corresponding to voter registration.
MYTH: Staying with the Identical Insurer is the Least expensive Possibility
Loyalty doesn’t all the time pay relating to automobile insurance coverage. Many drivers assume that renewing their coverage with the identical supplier will end in a greater deal, however this isn’t all the time the case.
Since January 2022, the Monetary Conduct Authority (FCA) has banned insurers from charging current clients greater than new clients for a similar coverage. Nonetheless, it stays important for drivers to check choices every year to make sure they’re getting the absolute best deal, fairly than assuming their present supplier is probably the most cost-effective alternative.
MYTH: Black Field Insurance coverage is Too Restrictive
Telematics, or “black field” insurance coverage, has been topic to many misconceptions, with some drivers believing it imposes strict curfews or limitations. Whereas early variations of telematics insurance policies could have had restrictions, trendy black field methods primarily monitor driving behaviour, corresponding to pace, braking, and cornering.
Slightly than limiting drivers, these insurance policies can really reward protected motorists with decrease premiums. Those that exhibit accountable driving habits might even see a discount of their insurance coverage prices, whereas riskier drivers could face elevated charges.
Making Knowledgeable Choices
With automobile insurance coverage prices on the rise, it’s extra essential than ever for drivers to separate truth from fiction. By understanding the realities behind these frequent myths, motorists can keep away from expensive errors and guarantee they’re choosing the proper coverage for his or her wants.
For ADIs advising new drivers, educating learners on authorized and cost-effective insurance coverage selections can assist them keep away from pitfalls and make knowledgeable choices about their first insurance policies.
You possibly can learn extra tales like this right here
