How being specific with your job title could save you up to £677 on your car insurance
Applying for car insurance can be confusing and a little bit overwhelming, with over half claiming that an information overload is causing them to glaze over their premium.
Car insurance premium costs are steadying in the UK and decreasing for the first time in months, after hitting peaks towards the end of 2017.
However, millions of drivers are still paying huge amounts for their insurance in the UK annually.
One way drivers could potentially save money is by being specific about their job title.
In fact, new research by MoneySuperMarket has claimed that some drivers could save over £677 by simply changing the job title on their premium form.
Identical car insurance quotes based on the cheapest annual price during January 2018, where the only adjustment is occupation, were compared to discover the price before and after the change.
Topping the list were students who could save money by listing themselves as student opposed to as unemployed.
Many students don’t have jobs while at university and therefore may view their employment status as unemployed instead of student.
This is a 51 per cent change to the premium on average.
In a similar vein, three other groups of people who could save money by switching their job title away from unemployed to something more specific are mature students living at home retired individuals and a housewife.
Mature students living at home could save £510.40, while someone who is retired could save almost £100 (£98.29) and a house while could save around £146.39.
The results also showed that those categorising themselves as a ‘housewife’, ‘instead of ‘retired’, added six per cent to their premium while calling yourself a ‘student’ instead of an ‘apprentice’ could save 13 per cent, equivalent to £181.71.
Kevin Pratt, consumer affairs expert at MoneySuperMarket, commented: “People think it takes ages to organise car insurance cover, which isn’t true.
“Going through the car insurance journey on a comparison website only takes a few minutes, but it’s not a job that should be done too hastily.
“To get the best cover at the best price, you have to choose the most accurate answer at every stage of the quotation journey.
“And that can mean trying alternatives to find the one that best matches your situation, instead of plumping for whatever seems most obvious.
“It’s worth taking your time and exploring your options at each stage of the online journey. For example, if you describe yourself as ‘unemployed’ when in fact you’re a student, you’re retired or you stay at home to look after the home and family, you could end up paying up to 50 per cent more for your cover than you need to.
“Regardless of occupation or status, drivers should avoid settling for the renewal quote they receive from their existing insurer because firms tend to reserve their best prices for new customers.
“Shopping around at renewal is the easiest and most effective way of reducing your premiums, with significant savings available.”