Drivers Warned: Car Insurance Costs Could Skyrocket Due to Mileage Errors
A recent study has revealed that misjudging your annual mileage could lead to an increase of up to £280 in your car insurance premiums. Not only that, but providing inaccurate mileage estimates could even invalidate your insurance altogether. The data, collected by insurance comparison experts at Quotezone, shows a clear correlation between the number of miles driven annually and the cost of insurance. Drivers covering fewer than 1,000 miles a year pay an average of £520.74 for insurance, while those driving between 10,000 and 14,999 miles see their premiums rise to £581.54. The figures continue to climb, with drivers covering over 30,000 miles a year facing an average premium of £800.95.
Insurers generally perceive higher mileage as an increased risk, which results in higher costs for drivers who spend more time on the road. This emphasises the importance of accurately estimating mileage and trying to reduce it where possible. Increased time on the road not only heightens the likelihood of accidents but also leads to more wear and tear on the vehicle, increasing the chances of mechanical issues. Comprehensive policies are particularly susceptible to price hikes with increased mileage, highlighting the need for drivers to shop around and compare different coverage options.
To help alleviate the impact of mileage on insurance premiums, Quotezone suggests the following tips. Firstly, consider switching to a telematics or black box insurance policy, which monitors driving habits in real-time and can offer lower premiums for safer, low-mileage drivers. Planning journeys efficiently and utilising apps to avoid traffic can also reduce overall mileage. Additionally, opting for a more fuel-efficient vehicle and incorporating public transport or cycling into your routine can help lower mileage and save on costs.
Regularly reviewing your insurance coverage is crucial, as changes in driving habits can occur over time. Failure to update your policy with accurate information may result in the invalidation of your insurance. Greg Wilson, CEO of Quotezone.co.uk, stresses the importance of monitoring and updating your mileage estimates to prevent potential financial losses. By being proactive and making informed decisions about your driving habits, you can potentially save money on insurance premiums and ensure adequate coverage.
In conclusion, drivers must be mindful of the significant impact that mileage can have on car insurance premiums. By accurately estimating and reducing mileage where possible, drivers can mitigate the risk of facing higher insurance costs. Taking proactive steps such as switching to telematics insurance, planning journeys efficiently, and reviewing coverage regularly can help drivers make informed decisions and potentially save money in the long run. Stay informed, stay vigilant, and drive safely to ensure that your insurance premiums remain manageable.