Martin Lewis has shared a simple car insurance trick that could save drivers hundreds of pounds, even if they are mid-way through their policy. The consumer expert advised motorists to renew their policy 20 to 26 days before the renewal date, as this is the cheapest time to compare prices.
Speaking on the ITV Money Show, Lewis explained that leaving it later can result in higher premiums as insurers view the driver as a higher risk. He also encouraged drivers to check multiple comparison sites, including MoneySupermarket, Confused, Compare The Market, GoCompare, and Direct Line.
One viewer reported saving £200 after following the advice, while another saw their monthly premium drop from £108 to £51, saving £684 a year. Lewis noted that drivers can cancel their current policy mid-term and receive a refund for the remaining months, minus an admin fee of around £50, provided no claims have been made.
The advice comes as insurers extend cover for keyworkers during the third Covid lockdown, with some offering rebates for reduced mileage. The Association of British Insurers reported that the average comprehensive car insurance premium fell to £465 in 2020, the lowest since 2016.
