In recent years car insurance has increased in cost by as much as 20% a year. These costs are due to a number of factors: more powerful cars, more congested roads leading to higher accidents, and greater numbers of uninsured drivers which forces insurance companies to raise the cost of premiums to cover themselves for the risk that these uninsured drivers pose.
One of the groups hit most severely by these raises have been young and newly qualified drivers, and young men in particular. Last summer, for the first time, the average cost of a third party insurance policy became more expensive than the average cost of a comprehensive policy for the first time, reflective of the fact that it’s cheaper for young drivers to get third party coverage.
That average cost for third party coverage was £1,300, and for a lot of newly qualified drivers it’s a lot more expensive than that.
Research conducted by Co-Operative car insurance recently found that hundreds of thousands of parents are willing to lie in order to save their children money. Through a practice known as ‘fronting’ parents name themselves as the main drivers, thus benefiting from reduced premiums even though their children are actually the ones driving the car.
A surprising 41% of parents revealed that they are currently fronting and 61% said they would consider it in the future.
These numbers are of great concern to the insurance industry, not least because it places them at greater risk should the child of a parent who has fronted be involved in an accident. The insurance industry argues that the cost of insurance policies accurately reflects the risk of young drivers, and if the young drivers are not paying those costs themselves, then the insurance companies are the ones losing out.
Fronting is, also, illegal. Some industry experts have compared it to stealing, but whilst this might be going slightly too far it is fraud. The repercussions can be serious, not only if the insurance company discovers that you have fronted a policy (because they won’t pay out if there’s an accident) but because you may find yourself incapable of getting insurance in the future.
At the end of the day everyone should do their best to find the cheapest deal they can, but the costs of insurance accurately reflect the risks that young drivers pose. So, if you do your research and look around you can find some great deals, but they’ll still be quite expensive when compared to a policy for an experienced driver. If you’re looking for a good deal on your car insurance take a look at some of the deals that Co-operative Insurance is offering at the moment.
Tags: Accidents, Co Operative Car Insurance, Fraud, Hundreds Of Thousands, Industry Experts, Insurance Companies, Insurance Company, Insurance Industry, Insurance Policies, Insurance Policy, Parents, Party Coverage, Powerful Cars, Premiums, Repercussions, Risk, Third Party Insurance, Uninsured Drivers, Young Drivers, Young MenRelated posts
For most people, owning classic or vintage cars is a dream-come true. Owning classic cars are considered a luxury. It is very expensive and most people cannot afford to buy one, much more to restore one.
If you are considering buying a classic car, you should first think about your budget, how much are you willing to spend on these antique machines? There are some people who spend their saving just to own one.
Vintage cars can also be an investment. After you restore one, the market value of the car would be better than you imagined. Depending on its model and condition, classic cars can be a potential profit maker.
These classics are usually sold in auctions and there are many classic car enthusiasts out there willing to spend a fortune on these cars.
However, before buying one you should consider the following:
Keep in mind that what you want to buy would be described as a collector car.
Decide what car fits your budget. This will probably eliminate those vintages you drool about in major car shows, unless you are very rich. Just one of those cars you see in major car shows can cost you at least hundreds of thousands of dollars.
Researching on where to buy classic cars is not easy. You have to spend a lot of time and effort just by searching one of these cars. Remember that these cars are not manufactured anymore and you do not often see these on your regular used car dealership.
You would probably find one on junk yards or on old peoples houses that do sell or throw these classics away. You can even get them with a bargain price. However, these cars are probably covered with rust already and have engines that are in bad shape.
Another good way to look for a classic car is by going to auctions. If you can afford to travel, take time to go to car auctions in different places.
This will give you a chance to offer a bargain for it. You can also opt for a classic car that is in good condition and less restoration will be required.
If you found what you were looking for, compare them. If you are a mechanic you can probably do the comparison yourself, if not, try to bring your trusted mechanic along to help you decide which one to buy. Always remember that the less restoration required the better.
After purchasing the car, the next step would be restoring it. Be prepared to spend a lot of time and money on this phase, since good car parts for classic cars are hard to come by and are usually very expensive to manufacture.
Obtaining the car parts necessary for restoration will be very time consuming and will require you to make many calls in shops that sells antique car parts. One way of easily obtaining classic car parts is by searching in the Internet.
Here, you can obtain hard-to-find parts for the model of your car.
If you do not find one, you can ask a machine shop to manufacture one for you. All you have to do is bring the old part to the shop and they will do the rest.
If you dont know much about repairing cars, much more restoring it, it is probably best if you hire a mechanic to do the restoration or go to one of those classic car restoration shops. These kinds of shops are usually very expensive and not recommended if you bought the car for investment purposes.
This is because some classic cars restored are valued less than what it costs to do the restoration.
After the restoration and paying huge bills for the mechanic or restoration shops, you can now fully enjoy your vintage car for years to come.
Tags: Antique Machines, Bad Shape, Bargain Price, Buy Cars, Car Auctions, Car Dealership, Classic Car Enthusiasts, Classic Cars, Collector Car, Different Places, Drool, Fortune, Hundreds Of Thousands, Junk Yards, Model Cars, Profit Maker, Rust, Thousands Of Dollars, Vintage Cars, VintagesRelated posts
Each year hundreds of thousands of used cars change hands. Some deals are great buys; others are not so good. Follow these tips for buying a used car to help you get the best value for your money.
It is always better to find out whats wrong with a used car before you buy it rather than after you own it. Carfax vehicle history reports are a great way to get this information. Carfax collects information from around 5,000 different sources. But, remember the report is only as good as the information reported. If the car is in an accident but the accident is not reported, the information isnt going to be in Carfax. Thats why you still should have the vehicle inspected before purchasing it.
A mechanical inspection is the surest way to find obvious problems with the vehicle. The mechanic will easily be able to tell if there are leaks, corrosion, frame damage, hidden damage, brake or suspension problems, engine problems, and other obvious mechanical issues. The mechanics report however, will not tell you anything about the history of the car such as whether it has been in an accident.
Always take the car for a test drive. Make sure you dont just drive it on city roads. Take it out on the highway and get up to highway speeds to make sure you like the ride, how quiet the car runs, steering, and other elements like how good your visibility is and blind spots. Decide whether you are comfortable driving the car. If you arent comfortable, then its not the car for you.
You can save a great deal of money on your used car by shopping around for good financing. Some lending institutes offer better rates than others. There are many institutes that offer a hassle free online service thats as simple as filling out an online application. Once your financing is approved, they will send you the check to take to the dealer.
If you have the opportunity to purchase an extended warranty for your car, it can be a good investment. An extended warranty can protect you from breakdowns and save your pocketbook from some serious strain.
There are two types of coverage; bumper to bumper and powertrain. Bumper to bumper covers almost everything, while a powertrain warranty covers major breakdowns like engine and transmission. The cost between the two types of coverage can be significant, but depending on the age of the car and type of car bumper to bumper coverage can be worth the extra money.
There are several good website resources for finding out what a vehicle is worth. You can search by category, make, model, and price. If you do an Internet search for used vehicle prices, youll find several good resources.
If you cant find the car you want locally, buying a car online is another option. Just do your research to make sure the dealer is reputable. Its always a good idea to only put a deposit down and then pay the balance once youve inspected the car and it meets your expectations.
These tips for buying a used car will keep you stress free and help you make the best buy possible.
Tags: Blind Spots, Breakdowns, Buying A Used Car, Carfax Vehicle History Reports, Change Hands, City Roads, Extended Warranty, Frame Damage, Helpful Tips, Highway Speeds, History Of The Car, Hundreds Of Thousands, Leaks, Mechanic, Mechanical Inspection, Mechanical Issues, Suspension Problems, Test Drive, Tips For Buying A Used Car, Vehicle History Reports