Changing cars

TomGreen_2

I desperately need help here. I passed my test in October and have only had one car since then. I am looking to buy a different car. Can someone please tell me what I need to in order to get the new car insured.

Am I allowed to cancel an insurance policy in the middle of it's year-long run? (I'm paying by direct debit) I believe another insurer will be cheaper and would like to take a new policy out with them.

And I assume I can also tell my present insurer that I'm changing cars and they will adjust my policy accordingly? Will I have to pay another deposit and start another year's policy or does it work differently?

My absence of experience here is the problem, it seems very confusing process! I basically need to know what my options are. Thanks.

save-a-lot

When swapping cars, you can stay with your present insurer and pay the difference on the cost of the already currently running insurance. Or, if you have made no claims you can cancel the insurance and go with another insurer. However, if you are trying to build up no claims discount it may be better to stick with your current insurer.

TomGreen_2

Will I have to pay anything if I cancel the policy?

save-a-lot

I have never been charged, but the best way is to call the insurer and get a quote for swapping your car over. All I can say is, just ask and get it from the horses mouth about charges.

shelly

You can cancel a policy in the middle of its life but...
a) You will lose the part yrs NCB you have already earnt
b) Most likely you will have to pay a charge for cancelling the policy early and also IIRC you will have to pay for the remaining yrs premium.

If you call your insurers and change cars your premium may go up depending on the new cars engine size etc. There might be admin charges for amending your policy and sending you a new one. However you won't start a new policy, your renewal will still be October.

I'd advise calling your ins co and asking them about both options. That way you can weigh up if its better to stay with them till renewal or cancel now.