As you approach insurance renewal date, many of us often leave it to last-minute before considering if we’re able to get a better deal elsewhere.
However, new research has found that motorists could be losing out on big insurance savings by trying to change policies at the last moment.
The report by insurance comparison site comparethemarket.com found that premiums can be up to £338 cheaper by swapping your policy three weeks ahead of renewal, rather than doing it on the day when your insurance policy comes to an end. The firm found that the price varies hugely depending on the time that they decide to switch.
The average premium for a driver renewing on their policy end date is £775, yet if they change three weeks sooner it dropped to a more affordable £436.
The longer you leave it the more the price is observed to increase, as at two weeks prior to renewal time the figure jumps to £472 and £572 with just one week remaining. If it’s left to the day it expires and automatically renews the average figure was £660.
Yet despite the impressive savings, many drivers are still changing last-minute, with comparethemarket.com finding that 35 per cent of searches happen on or one day before the policy expires.
Dan Hutson, comparethemarket.com head of motor insurance, said: “Very few people get ahead of the game when it comes to reviewing their insurance policies, but these figures show there is a big financial incentive in considering the time that you switch.
“Shopping around remains by far the best way to save money on insurance, but these statistics show that this can be optimised by timing it correctly.”