Car insurance query
Discussion
I bought a new car a couple days ago. I'm going to switch my policy from my old car to my new car but this policy runs out August 2nd.
I'm 22 a couple weeks later so I assume that my car insurance will be cheaper when I'm 22.
I want to drive the car asap, and also I need to.
Would the best option be to pay monthly car insurance from 2nd August, then cancel the insurance a couple weeks later. Start a new policy then pay it off in full which I intend to do?
I'm 22 a couple weeks later so I assume that my car insurance will be cheaper when I'm 22.
I want to drive the car asap, and also I need to.
Would the best option be to pay monthly car insurance from 2nd August, then cancel the insurance a couple weeks later. Start a new policy then pay it off in full which I intend to do?
No! For a start, you'll probably gain far more discount from the extra years no claims bonus than for being a year older.
The second point is, when you take out Insurance paid in instalments, they are going to charge you a fair bit extra for credit.
If you then cancel it, you may find that you owe them far more than a few weeks pro-rata. You've actually agreed to take out a years Insurance, not Insurance on a monthly basis!
I suggest you look at the policy details, it usually stipulates the charges for early cancellation.
Tim
The second point is, when you take out Insurance paid in instalments, they are going to charge you a fair bit extra for credit.
If you then cancel it, you may find that you owe them far more than a few weeks pro-rata. You've actually agreed to take out a years Insurance, not Insurance on a monthly basis!
I suggest you look at the policy details, it usually stipulates the charges for early cancellation.
Tim
Thanks alot for that.
I'm not sure I've wrote it out clear.
I gain another years NCD on the 2nd August when the policy ends.
So then i'll be starting a new policy at the age of 21, but I am 22 a couple weeks later.
So the general answer maybe that paying for a years policy when my current policy ends, may turn out cheaper than taking a policy out monthly, then cancelling it and starting a new policy when I'm 22 and paying for the year then?
I'm not sure I've wrote it out clear.
I gain another years NCD on the 2nd August when the policy ends.
So then i'll be starting a new policy at the age of 21, but I am 22 a couple weeks later.
So the general answer maybe that paying for a years policy when my current policy ends, may turn out cheaper than taking a policy out monthly, then cancelling it and starting a new policy when I'm 22 and paying for the year then?
To be perfectly honest any discount based on being 22 over 21 will be negligible, just take out the policy and keep it.
In olden says they used to say that you're insurance dropped significantly when you were 25, but never witnessed it. It just goes up every year regardless of age or NCD
In olden says they used to say that you're insurance dropped significantly when you were 25, but never witnessed it. It just goes up every year regardless of age or NCD
I need the car yes as I travel to work at 05.30 in the morning and sometimes HAVE to drive at midnight.
I'm going to play around with the quotes to see if i'll actually save much being 22.
Just had a mess about with it. Insurers don't really give quotes on the comparison sites a couple months in advance so I used a D.O.B within the next few weeks.
The difference was minimal.
I'm going to play around with the quotes to see if i'll actually save much being 22.
Just had a mess about with it. Insurers don't really give quotes on the comparison sites a couple months in advance so I used a D.O.B within the next few weeks.
The difference was minimal.
Edited by CharlieHotel on Tuesday 14th June 21:04
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