Some handy tips on finding the right cover for the right price
Just because you’re legally obligated to insure your van, you don’t have to pay over the odds for it.
So before you cough up for next year’s cover, these tips could help you save some cash on your premium.
Remember, though, that having the right level of insurance is more important than the price. Don’t compromise on cover for the sake of a few quid.
Increase your voluntary excess
Your excess is the amount of money that an insurer deducts from any payout before it gets to you.
The voluntary portion of this excess can be tweaked – the higher the excess, the lower your premiums tend to be.
This does mean that any future claims you make will likely have a lower payout as a result.
Make your van more secure
The higher the level of your van’s security, the less likely it is to be stolen. This could in turn lower your insurance prices.
This could mean adding a steering lock or ensuring that your van is fitted with an immobiliser, alarm and tracker.
Build up your van’s no-claims bonus
For every year you go without claiming, you’ll build up a year’s worth of no-claims bonus. The longer you go without making a claim, the safer a driver you seem to insurers.
Some insurers may let you transfer your no-claims bonus from your car insurance policy. Not all insurers do this, however, so be sure to check with them beforehand.
Drive a smaller van
This applies to engine size as well as physical size. A bigger van with a powerful engine could cause more damage in an accident, so premiums tend to be higher.
If you can do your job with a smaller van, it’s worth considering as it could result in lower prices.
Advertise your business on the van
Do you use your van for business? If so, get a sign writer to paint your business name and contact details on the side of the van.
This makes your van easier to identify and therefore less likely to be stolen. If you declare to your insurer that you have signage on your van, this could help to lower your costs.
Accurately declare what you use the van for
If you only use you van for personal use, be sure to tell your insurer. Since you’re not carrying around valuable goods for business, this may result in a lower insurance premium.
In any case, it’s best to be accurate about how you use your van. This ensures that you have the most appropriate cover for your needs.
Pay for your policy annually
Although the option of paying monthly can be more convenient, it’ll cost more in the long run.
Paying off your policy in one go usually dodges direct debit costs and so brings the overall price down.
Let your insurer know if you’re a member of a trade body
If you’re a member of a recognised trade federation, let your insurer know. For example:
Some insurers may offer discounts members of these organisations, so it’s worth mentioning when before you buy your policy.
Accurately record your van’s mileage
The distance you travel in your van can impact how much your pay for your policy.
It stands to reason that the more you use your van, the more likely you are to make a claim.
This doesn’t mean that you should underestimate your mileage in order to get a cheaper price. But you could be unknowingly overestimating it and paying more than you should.
That’s why it’s worth telling your insurer your exact mileage, as rounding it up could be costing you more.
Bonus tip: This isn’t likely to lower your costs in the short term, but it’ll be worth it in the long run.
Tell the truth
You might be tempted to tell the occasional white lie in order to shave some money off your premium. This isn’t a good idea.
But you could have a future claim refused if it turns out that you’ve lied on your policy. You may also have your policy cancelled.
So when it comes to getting your van insured, honesty is always the best policy.