Car insurance is a deceptively complex consideration, as a recent report in the Express revealed.
It is a long-held belief that third-party policies are cheaper than fully comprehensive alternatives, but recently published research suggests that this is not always the case. In fact, some motorists could be overpaying for their insurance by as much as £929, simply by focusing solely on third-party options.
Many motorists are also unfamiliar with temporary car insurance, which is a product offered by numerous brands including Dayinsure. But how should you calculate the cost of this, and what are its main benefits? Let’s take a look:
What are the benefits of temporary car insurance?
Essentially, temporary car insurance is a simple flexibility that offers flexibility to motorists who do not use their vehicle all year round. Rather than being forced to invest in standard coverage on an annual basis, they can seek out rolling arrangements that cover a specific period of time and charge a capped amount. This agile coverage also includes several optional extras that may be of interest, such as European cover, additional drivers and daily breakdown protection.
These policies can be used as standalone cover, which may prove crucial if you don’t own a car and are only required to hire vehicles on a temporary basis. Similarly, they can be combined with an existing, annual policy, offering a feature which means that making a claim will not compromise your No Claims Discount (NCD). This is of considerable value, as it may enable you to access cost-effective and tailored coverage without changing your annual policy.
How do calculate its cost
Ultimately, there are many different ways in which you can use temporary car insurance, from organising a one-off test drive of a new vehicle to arranging an important business trip. To simplify your calculations, however, the most important consideration is whether you require a standalone policy or cover that supplements an existing, annual arrangement.
If you need the former, you simply need to liaise with suppliers to determine the cost of temporary cover in relation to your needs. The standard rules or procuring insurance supply here, so do not be afraid to compare the market and use quotes as leverage to secure an improved deal.
Conversely, taking out temporary cover alongside an existing policy is a little more complex. In this instance, you’ll need to determine your precise needs and present these to your current insurer, obtaining a quote for the cost of amended or additional cover. Then, you should approach a supplier such as Dayinsure to see what price they can offer you, to determine whether or not they can offer a better deal to suit your circumstances. You can then make an informed decision, and one which hopefully saves you money over the course of the year.