Here are five ways to reduce the cost of your car insurance in Spain:

  1. Review your policy every few years to ensure it remains competitive. Use a broker to shop around for you and avoid having to negotiate with various insurance companies. Bypass that tiring task of negotiating between one company and another.
  2. Some insurance companies calculate part of the price of the annual premium based on the number of kilometres you expect to do in a year. If you do not do many kilometres then advise the broker. They can then focus on companies that offer discounts for low-mileage.
  3. If you have a fully comprehensive policy, then you could consider increasing the excess. The excess is the part you pay towards the repairs when an accident is deemed your fault or no one else is involved. The higher the excess the lower the premium.
  4. If your vehicle is getting long in the tooth, then consider what you are likely to get back from an insurance company. Is fully comprehensive insurance still good value for money? What is the reduction in premium for third party fire and theft? Is it worth continuing with fully comprehensive?
  5. Pay your premiums on time and cancel old policies properly. If you do not, then you may end up with adverse credit information. Some insurers use credit reporting agencies and this can influence whether they will allow you to pay in instalments. A bad rating may lead to an increased premium or could affect whether they are prepared to issue a policy at all.

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