Motor vehicle insurance 2021: Why it may be worth changing and how you can save

Motor vehicle insurance 2021: Why it may be worth changing and how you can save

According to a report by www.br.de,
This year a change may be particularly worthwhile. Because of higher accident numbers and increased workshop costs, many vehicle insurance policies have become more expensive. A comparison can bring a lot, up to a few hundred euros, depending on which car you have and which tariff you choose. However, not only the price should play a role, but also the performance.

Customers are more willing to switch

The insurance industry is in a dilemma. On the one hand, the costs for motor vehicle policies have risen sharply in some cases, as the industry association GDV has reported. It is said that all companies were in the red. On the other hand, the competitive pressure is great, insurers are vying for new customers and are therefore prepared to gain market share through cheaper premiums - obviously with increasing success.

Existing customers in particular should take a close look

Not all customers are the same; this also applies to insurers. The comparison portal Verivox found that the companies are taking a two-pronged approach this changeover season. While the policies were increased for existing customers, new customers were lured with cheaper prices, said Verivox spokeswoman Nadja Feder.

Motor vehicle insurance premiums are rising by double digits on average

But this may also be because insurance has become significantly more expensive overall on average. Check24 reports that vehicle premiums have increased by eleven percent compared to the previous year. New figures from Verivox show average price increases across all types of insurance of 14 percent. Canceling can be worthwhile, especially if you get a cheaper offer as a new customer.

Cheaper tariff: The customer partly has it in his own hands

In addition to comparing insurance policies, many people can also do other things to influence their own tariff. So it's worth checking the kilometers driven every year. If you drive less than previously stated and correct this, you can save a lot. Another option is to increase the deductible.

Motor vehicle insurance: deadlines, terminations, special termination rights

Car insurance policies usually last for one year. Customers have the option to change up to one month before the contract expires. A look at the invoice is enough to determine by when you have to cancel. There are also special termination rights. If the insurance company increases the premiums, you can cancel the contract one month after notification. Even in the event of damage, the previous contract can be terminated, regardless of whether the insurance has paid for the damage or not.

The current competition and increased switching activity have meant that customers can particularly benefit from this during the current switching season. In addition, the increased workshop costs and accident numbers are reasons for the increased insurance premiums. An accurate comparison of tariffs and services can help consumers save significant amounts. The insurance industry is also under pressure to gain market share, which results in cheaper prices for new customers. Customer behavior, such as adjusting the number of kilometers driven or increasing the deductible, can also have an impact on costs. Overall, it can be seen that the increased motor vehicle insurance premiums lead to a greater willingness of customers to switch and increased competition among insurance providers.