Car Insurance - Drivers Warned Not to Cut Corners

By Gill Critchley

Motorists are being warned not to cut down on their car insurance when it comes to purchasing or renewing their policy.

The credit crunch has meant that many people have been left to worry about their finances and in an attempt to save money has seen many people start to cut back on policies that they think they won't need.

This news has come as a result of a study which found that nearly half of the people in the UK are attempting to save money by reducing the amount of money they are spending on financial products. On top of this, around 2% of people are planning to cut out their car insurance policy.

On hearing this, the British Insurance Broker's Association has said that canceling car insurance policies is not the answer, as it is a legal requirement for a driver to have.

A spokesman for the association stated: "If you are going to review your insurances there are some that you should keep and some that you perhaps don't need." One that you really do need is your car insurance.

However, if you are finding that your insurance is costing you a lot of money the best thing to do may be to get online and start comparing different car insurance policies. By doing this you may find that you come across a better deal that suits your situation and most importantly, cheap car insurance.

It has also been found that people have been cutting back on their travel insurance in an attempt to save money for their holidays but by doing this they have been running the risk of forking out thousands if an accident were to occur whilst they were away.

Around 2% of people are planning to cut out their car insurance policy. If you are finding that your insurance is costing you a lot of money the best thing to do may be to get online and start comparing different car insurance policies. By doing this you may find that you come across a better deal that suits your situation and most importantly, cheap car insurance.