Article: Motoring accessories and their effects on car insurance

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Introduction

Kitting your car out with the latest accessories from state-of-the-art stereos to satellite navigation systems may make your driving experience more enjoyable, but what impact will it have on the car insurance quotes available to you?

Here we look at motoring accessories and their relation to car crime and car insurance premiums.

Motoring accessories and car crime

Statistics gathered by the British Crime Survey show that 17 of every 1,000 cars are stolen. Overall, the everyday risk of having a vehicle stolen has fallen 31 per cent since 1997; but theft from a vehicle is the largest category and accounts for around 60 per cent of all vehicle-related theft.

The average value of possessions stolen from a vehicle is £80 with car stereos and car audio equipment topping the list of stolen possessions.

A survey by a car insurance provider reported that Brits are Europe's biggest spenders on gadgets every year. Indeed 38 per cent of those surveyed now carry satellite navigation systems in their car.

Research from a comparison website in 2009 reported that a car is broken into every 13 seconds in the UK. One of the leading reasons is that Brits store so many valuable accessories in their vehicles – the comparison website's survey suggests that around seven million drivers store items worth more than £200 in their cars; with 2.8million drivers keeping items worth more than £400 in their vehicle. Claims for theft from vehicles increase insurers expenses, which in turn pushes premiums up – car insurance premiums increased by 14 per cent from October 2008 to October 2009, according to the AA British Insurance Premium Index.

Will car insurance protect the accessories in my car?

Whether or not you have protection for motoring accessories is dependent on the level of car insurance cover you take out. If you have a third party or third party, fire and theft policy you will not be protected as these policies do not protect valuables. Only comprehensive cover could offer suitable protection – but the levels of cover vary from insurer to insurer.

Most policies offer a fixed limit for claims relating to audio equipment, which includes car radios and car stereos. If you have non-standard equipment then you will need to check the conditions carefully as some insurers only cover manufacturer-standard devices. Examine the claims limit when choosing a policy to ensure it's sufficient to cover your equipment if it were stolen.

Other motoring accessories, including satellite navigation systems, are generally classified as 'personal belongings' or 'personal effects' on a car insurance policy. Some insurers do cover these items but typically the limit is set at around £250, so shop around if you keep a number of accessories in your car.

For other valuable possessions that you may carry in a car – such as mobile phones, MP3 players and digital cameras – look to your home insurance for cover. Many home insurers offer 'personal possessions cover' for items taken out of the home up to a specified limit.

How to avoid car insurance claims

Making a claim on your car insurance for a stolen accessory could directly impact your premiums by affecting your no-claims discount. Some insurance companies will deduct two years' no claims discount for making one claim.

The good news is that taking steps to protect your valuables will not only reduce the risk of making a claim, but it could also help you reduce your premiums. Here are some ideas:

Fit electronic security devices: Many insurers offer discounts if you fit approved security devices such as car alarms, immobilisers and trackers.

Buy mechanical security devices: Steering wheel locks and gear-stick locks don't usually earn discounts from insurers but they can act as a deterrent to thieves.

Park safely: Most insurers take into account where you park when assessing premiums – parking in a garage overnight could cut premiums by around five per cent.

Mark your equipment: Mark items such as car audio equipment with your vehicle registration number – this will make it more difficult for a thief to sell on.

Don't leave items on display: When leaving a car, take as many accessories with you as possible. Items that you can't take with you should be stored out of sight – such as in the boot, the glove compartment or under a seat.

Source : www.ineeddrivinglessons.co.uk    [ Top ]