1 in 4 Motorists Potentially Missing Savings By Not Shopping Around
Almost a quarter of Irish motorists responding to a recent survey admitted that they made less of an effort to shop around when renewing their car insurance this year than they did in previous years.
In response to an AA Car Insurance survey of over 6,000 Irish drivers, 10.60% of respondents strongly agreed that they put less time into shopping around this year than they had in the past. Meanwhile, a further 14.21% stated they ‘somewhat agreed’ that they had made less of an effort to shop around for car insurance in 2019.
“Generally speaking, many people will only shop around if they are unhappy with the renewal price that they received from their current insurer, but this kind of approach could mean you’re missing out on potential savings. Even if you’ve been with your current insurer for years or you’re pretty happy with your price, it doesn’t always mean that a better deal isn’t available somewhere else,” Conor Faughnan, AA Director of Consumer Affairs stated. “While some will have seen an easing of rising insurance costs, there are many out there who are still feeling the impact of the slow pace of progress in tackling the insurance crisis.”
“The Cost of Insurance Working Group has certainly made some progress, but many of the major issues, such as personal injury awards, uninsured driving, and exaggerated claims have not been adequately addressed. As a result, insurance costs have remained at a rate significantly higher than they would have been 5 or so years ago, which magnifies the importance of the consumer putting some time into shopping around.”
The survey also found that over half of respondents who had shopped around were able to secure a better price as a result.
Of those surveyed by the AA, 43.26% strongly agreed that they had reduced their insurance costs by shopping around, with a further 13.36% indicating that this was somewhat true for them. However, 12.98% of those who shopped around indicated they had been unsuccessful in securing a lower price.
“Sometimes it may be the case that your current insurer is the one able to offer you the best price, but broadly speaking most people are likely to see some form of a saving by putting some time into making contact with other providers. Even if you’re happy with your renewal price, it’s important to be loyal to your own wallet first and see if there are potential savings out there for you,” Faughnan added. “While it’s equally important to check the level of cover you are receiving and not simply fall in love with the cheapest price, getting into the habit of shopping around on your insurance products could help keep more money in your wallet and ensure you’re not overpaying for your cover.”
