Martin Lewis car insurance tip saves fan £240 per year

Detailed summary

Martin Lewis has helped a motorist save £240 a year on her car insurance after she followed his simple advice to compare prices before renewing. The money-saving expert regularly…

However, after checking comparison websites and contacting her existing insurer, she was offered a much better deal. Sharing her success on Facebook, Mary said: "My car insurance quote had just arrived and was only £2/mth more than last year, which I thought was OK."

She explained that she followed Mr Lewis's advice and compared alternative policies before contacting her insurer to cancel. When the company asked whether she had found a better deal elsewhere, it offered her a revised quote that was £20 a month cheaper than what she had paid the previous year.

The reduction amounted to a saving of £240 over 12 months compared with her previous premium. Mary thanked Mr Lewis for the advice, saying the extra money would make a significant difference during the winter.

She described the saving as being like a double Winter Fuel Payment, adding that she would really need the money over the colder months. The key advice is to never automatically renew your car insurance without comparing prices first, even if your existing insurer has offered a relatively small increase or a reduction.

According to MoneySavingExpert, car insurance prices have fallen considerably from their previous highs, meaning some motorists could be paying more than necessary by sticking with their existing provider.

Mr Lewis has previously warned that drivers have become accustomed to annual price increases and may mistakenly regard a small rise as a good deal.

But if a motorist's circumstances have not changed significantly, he says they should check whether a cheaper policy is available elsewhere.

The process involves obtaining quotes through comparison websites, checking whether the policies provide suitable cover and then deciding whether to switch or negotiate with the existing insurer.

MoneySavingExpert recommends checking at least two comparison sites because prices can vary, even for the same insurer.

Opening of the article, excerpted from Daily Express. To read the rest, open the article on the publisher's site.