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10/03/2009 13:29:23

Motorists 'looking to reduce car insurance costs'

UK drivers are taking steps to reduce how much they shell out in car insurance, new research indicates.

A study carried out by Saga Group reveals that eight per cent have downsized to a vehicle with a small engine, while the same proportion of Britons have increased their voluntary excess in a bid to make the most of their money.

Meanwhile, four per cent of motorists have removed named drivers from their policy.

"Remembering to update your car insurance policy as your needs change can help save money on monthly premiums at a time when many people are looking to rein in their spending," Andrew Goodsell, chief executive at Saga, comments.

However, those looking to reduce their car insurance costs were reminded to make sure that their policy is still sufficient for their needs, something which a qualified financial adviser could be of assistance with.

And while five per cent of respondents have removed optional extras, such as breakdown cover and legal expenses, to reduce their spending, Saga points out that this could be a "false economy" as those without such a provision will pay £90 on average to have their vehicle recovered.

Meanwhile, Gocompare.com recently reported that 22 per cent of drivers would consider lying about the exact nature of where they park their car, even though this is fraud and could see insurers void a policy.