How to Switch Car Insurance Providers

With an increasing number of motorists switching car insurance providers over the past two years, it’s more likely that we’re on the lookout for better deals than ever before. So with a little bit of time and the right information (from us), you’ll know whether you’re ready to make the switch to a new car insurance provider.

With some insurers offering better deals to new customers rather than their existing ones, it does pay to shop around. Here’s how you can switch car insurance.

Your best option (if you are looking to switch) would be around renewal time. Before renewing you’ll be presented with your insurer’s annual offer and your new premium. There may be other reasons you may wish to switch prior to renewal. These include:

• You’re moving to a new city, state, or postcode – If you’re moving this may impact your insurance premium and a different provider may have more competitive rates in your new area.
• You’re adding a driver or car – If you’re looking to add a new family member to your car insurance policy some insurers may offer a discount when you restrict your policy to drivers over a certain age.
• You’ve experienced a life event – Life events like buying a house, or starting a new job can impact your premium as well as your circumstances, which can mean that it’s a good time to switch insurers.

Before switching insurers, make sure that you understand what you’re purchasing by comparing products with the same or similar levels of protection.

When comparing policies you should consider:

• Checking the policy limits – how the coverage limits differ based on who is listed on your policy and whether you’ve chosen to restrict your policy to drivers above a certain age.
• Looking for exclusions – most car insurers don’t offer a reduced window-glass excess as standard cover and may have some exclusions in place such as not insuring Uber or Taxi drivers.
• Comparing excesses – increasing the excess could save money on your upfront premium, however you would also need to be prepared to pay the higher excess in the event of a claim.

Comparing policies will not only help you to save on car insurance but can also improve your car insurance cover by increasing limits on benefits like personal effects, replacement of keys, emergency transport and accommodation.

This is also the best time to review your policy and check whether your circumstances are still the same, or if they need to be updated.

Once you’re covered by Budget Direct we’ll notify you in writing, then you’ll need to contact your previous insurer to let them know that you wish to cancel your cover. And if you want to switch before your current policy ends, make sure your new policy takes effect and you cancel your old policy on that same date.

Keep in mind that your current insurer may charge an early cancellation fee if the current policy is cancelled mid-term.

If you’re a new customer with Budget Direct you can get a discount on your first year’s premium for a new policy purchased online. To qualify for our 15%^ discount on a new Car Insurance policy you must start your car insurance quote online.

Once you’re covered by us (we’ll notify you in writing), make sure to contact your previous insurer to decline their renewal offer or cancel your other policy before it ends. Remember  your previous insurer may also charge you an early cancellation fee but, if you decline the renewal offer instead of cancelling mid-term,  you’ll avoid incurring any cancellation fee that would have applied.

Budget Direct offers Outstanding Value Car Insurance, that you can tailor (including a guarantee on all authorised car repairs while you own the vehicle) to suit your circumstances. 

Not to mention the amount you could save on your premium by switching to Budget Direct could far outweigh your current insurer’s cancellation fee. 

Are you ready to switch to Budget Direct? Get a quote today!