Finding No + Low Deposit Car Insurance In The UK
Purchasing car insurance in the United Kingdom requires as little as the first months payment to become eligible for coverage. The annual insurance premium will be covered by a monthly payment for the remaining 11 months. No deposit insurance is one of the most popular and competitive types of car insurance. This type of competition provides consumers with more affordable car insurance.
Historically, United Kingdom residents were required to pay the entire year of car insurance in advance. Individuals who paid the entire amount were often eligible to obtain insurance with no deposit. However, another group of individuals preferred to have access to their cash until the premium is due each month. Insurance companies developed no deposit car insurance with monthly payments for this group of individuals. Monthly payments make car insurance more affordable for the average consumer. Car insurance companies are offering cheap rates to both new and existing customers.
Students and No Deposit Insurance
With no deposit insurance, individuals with low incomes or who do not receive consistent salaries can still obtain car insurance. This is particularly useful for students who do not have an exorbitant amount of money for expenses. The premium will not increase, but a 20 percent interest charge will accrue on the total value of the policy. Students can rarely obtain insurance for under £1000 per year. Therefore, on average, a student may pay £100 per month or more plus any additional interest that may accrue. This policy makes obtaining insurance more affordable for students. Students may also arrange an automatic debit with the insurance company. Each month on a specified date the funds will be automatically withdrawn from the student’s checking account.
Companies Offering No Deposit Insurance
Because “no deposit car insurance” is a fairly new concept in the United Kingdom, there are not many companies that offer this type of policy. Companies such as, eCar, Elephant, and No Deposit Car Insurance will provide this type of quote to individuals and accommodate their needs. These companies aim to make car insurance affordable by waiving the initial deposit required for typical car insurance in the United Kingdom.
Read the Policy
When purchasing a policy, individuals should be aware of the coverage provided for the vehicle and the passengers in the event of an accident. Read the policy carefully to determine the amounts that will be paid in the event of an accident. Also be aware of any exclusions that are included in the policy.
Companies are available to provide quotes to individuals. Some of the companies offer 24/7 service online. Other companies may require a visit to an actual office. Depending upon your needs, there are insurance companies available to suit your needs. Since no deposit insurance is relatively new, many companies are hesitant about these types of policies because they pose more risk to the business. Therefore, individuals must research diligently to find companies to meet the specific needs of the individuals requesting assistance. No Deposit Car Insurance, for example, will provide a list of companies that provide this type of service to individuals. Customers can select from the vendors listed to determine the best company to suit the client’s individual needs.