Homeowners Insureance

Who’s really the cheapest?   by Paul Lucas

We’ve all seen the advertisements on television. One car insurer after another pops up to tell us they are the cheapest. Some offer the best value for women, some are the cheapest for ’safe’ drivers, and others believe they are the top option for older drivers, while more will reward you for years of ‘no claims’. So how do we find out who is the really the cheapest?

The internet has made shopping around for car insurance a lot easier as you no longer have to wait around on hold with call centres, and many insurers will offer discounts up to 20% if you buy online.

However, when it comes to finding cheap car insurance, you have four broad options:

· Insurance brokers - These utilise their computer systems but can only offer prices from insurers that they have a deal with.

· Direct insurers - They cut out the middleman as no commission is paid to a broker. However, they can only offer their own prices. Direct insurers include the likes of Direct Line, eSure, Admiral, Churchill, Privilege, Norwich Union, Budget, Elephant and Hastings.

· Branded providers - These are established names in other fields that have added insurance to their list of products. As with direct insurers, they can only offer their own products. These include: Tesco, the Post Office, Sainsbury’s, Marks & Spencer and Kwik Fit.

· Full search providers - By entering your data a full search provider will offer a list of quotes from brokers, direct insurers and branded providers that fit your needs. This includes www.moneysupermarket.com, which will search more than 50 car insurers instantly.

Premiums vary between providers based on your car, your postcode, the number of years you have without making a claim, and other additional factors. Using a full search provider is the only way to ensure you’re getting the cheapest car insurance quote for your needs.