Right Insurance For My Car

Zak Flaps · 12-11-2010 4:01pm #1

I bought my car for €3800 two years ago. It's a 2003 Yaris. My car insurance is due for renewal in a couple of weeks. I have always got fully comprehensive.
Someone recommended that I go for 3rd Party, fire and theft as my car isn't worth a huge amount. Is this the more sensible option?
Advice greatly appreciated.

Zak.

djimi · 12-11-2010 4:07pm

Can you afford to walk away from the car or repair it yourself if it gets damaged?

Wossack · 12-11-2010 4:12pm

whats the cost of the fully comp renewal? as thats the real deciding factor here

Anan1 · 12-11-2010 4:19pm

What's the difference in premium between TPF&T and comp?

Zak Flaps · 12-11-2010 4:23pm

djimi wrote: »

Can you afford to walk away from the car or repair it yourself if it gets damaged?

Probably, although it would be a pain in the ass!!!

Wossack wrote: »

whats the cost of the fully comp renewal? as thats the real deciding factor here

Best I can get is €425 for fully comp. €355 for 3rd Party F+T.

Anan1 wrote: »

What's the difference in premium between TPF&T and comp?

€70 is the difference.

qz · 12-11-2010 4:24pm

You'd be mad to not get Fully Comp cover for the sake of €70. I spend around that amount filling up my tank from empty.

Anan1 · 12-11-2010 4:27pm

Zak Flaps wrote: »

€70 is the difference.

Are the policies otherwise identical? Same windscreen cover, level of bonus protection, rescue, etc?

CiniO · 12-11-2010 4:27pm

qz wrote: »

You'd be mad to not get Fully Comp cover for the sake of €70. I spend around that amount filling up my tank from empty.

First ask yourself a question how much a premium would go up after a claim, then calculate it again, and then decide if it worth or not.

djimi · 12-11-2010 4:35pm

For the sake of €70 I dont see how there is even a question being asked to be honest.

Put it this way; were you to have an accident and the car destroyed at a time when you couldnt afford to replace it for whatever reason, youd be glad you had fully comp!

Zak Flaps · 12-11-2010 4:38pm

thanks guys....i think djimi and qz are right. For the sake of €70, i think FC is the way to go. Much appreciated.

Zak.

Wossack · 12-11-2010 4:39pm

would it be 70e + your excess if you were to make a claim?

coylemj · 12-11-2010 4:47pm

If the car has a notional value on the policy, make sure that this is a realistic number. The value as stated on the policy is the maximum that they will pay you if the car is written off but what they pay you cannot exceed the value of the car at the time so if the real value of the car is 3K but you have it on the policy as 5K, you will pay a premium based on a value of 5K but if the car is written off they will only pay you 3K.

Be realistic about the value, they're not going to pay you what you think the car is worth if it's written off.

CiniO · 12-11-2010 5:00pm

djimi wrote: »

For the sake of €70 I dont see how there is even a question being asked to be honest.

Put it this way; were you to have an accident and the car destroyed at a time when you couldnt afford to replace it for whatever reason, youd be glad you had fully comp!

Just a quick calcucation.
Car was bought for 3800 two years ago. Now it's probably worth maybe 2500.
If he'll crash it completely (write off), let's say whatever is left is worth 500euro (for parts), his excess is say 500euro, so he will get from insurance 2500 - 500 (excess) - 500 (wrecked car) = 1500 euro.
That's what he'll get.

Now little simulation.
If he get TPFT he pays 355 every year say for 5 years.
355*5 = 1775 euro.

If he get's comprehensive, he will have to pay 425 for first premium. When he crash, next years premium let's say will go up to 1000 euros.
Then back to 800, back to 600, back to 425.
In five years" 425 + 1000 + 800 + 600 + 425 = 3250.

3250 - 1775 = 1475.

So he pays in premium over next couple of years almost the same as he'd get from his claim.

Is it worth paying extra then, considering that there's not a 100% chance he will crash. If he doesn't he'll save a lot.

Alanstrainor · 12-11-2010 5:04pm

I don't get your point CiniO, if he crashes on either policy he's screwed. For the sake of 70 quid i'd go for the fully comp policy. I had the same decision to make getting my insurance earlier in the year. It was a no brainer for me tbh.

djimi · 12-11-2010 5:05pm

My point is that if he has a crash at a time when he cannot financially afford to repair/replace the crash then he might be glad that he spent the extra €70 to give himself another option. Its not a lot of money at the end of the day, and it could be the difference between getting back on the road and having to be without a car while they save up to buy a new one/repair the existing one.

Obviously its preferable not to have to claim off car insurance, but there are sometimes when its just not an option not to. Only the OP knows whether they can afford to walk away from a car worth €2500 and buy a new one, bearing in mind that loan payments do not go away when the car is written off.

CiniO · 12-11-2010 5:12pm

Alanstrainor wrote: »

I don't get your point CiniO, if he crashes on either policy he's screwed. For the sake of 70 quid i'd go for the fully comp policy. I had the same decision to make getting my insurance earlier in the year. It was a no brainer for me tbh.

You're right.
Completely forgot that if he crashed into someone (most likely case) he'll lose his NCB anyway.

My case would be only valid in case of one vehicle accident (f.e. if he crashes into a stone wall or sth).

Right Insurance For My Car

Comments