Top tips on how to save on insurance costs

With the rising cost of living, you may be looking at ways to cut your insurance spend. However, our colleague, Graham Ward-Lush, says it’s an essential safety net. Here’s everything you need to know.

Home

Home insurance is vital – what would happen if you lost your home and belongings in a fire or flood? Such large-scale events are, thankfully, rare but there are lots of other risks, such as the loss or theft of your valuables.

One option to reduce your home insurance is to shop around. Then consider increasing your claims excess (the amount you must pay towards an insurance claim).
Combining buildings and contents insurance can be cost-effective.
Paying for your premium in one go avoids interest charges on monthly payments.

Travel

You never know when something might happen… illness or accidents are common causes of cancelled holidays.

Always book your travel insurance at the same time as you book your holiday.
If you might be going away more than once in the next year, consider an annual multi-trip insurance product.
Don’t scrimp on this type of insurance – medical costs abroad can quickly add up.

Pet

Is it worth insuring your pet? The answer is emphatically yes! The average veterinary cost of treatment for a pet is around £850 in the UK, and some issues can cost many thousands more.

Make sure you tell your insurer about any current or previous medical conditions your pet has (or has had). Withholding this information may seem tempting, as it will likely reduce your premium, but if you make a claim relating to the undisclosed condition, your insurer may not cover the costs.

Car

Car insurance prices have sky rocketed over the past few years, but there are lots of things you can do that might lower your car insurance.

Increase your claims excess (but keep it at a level you can afford to pay if have to).
Add a named driver to your policy – especially useful if you’re under 25 as a more experienced driver can bring down your overall ‘risk’.
Pay for your premium in one go to avoid monthly interest charges.
The car you drive is one of the key factors insurers focus on when setting premiums. Select your car carefully.

Life

Life Insurance is a policy that pays out if you die during the time you’re covered. If you pass away during the term, it’ll pay out a tax-free cash lump sum, which can be used for a number of things (such as supporting your loved ones, paying off a mortgage or covering funeral costs).