Three questions for Elke Weidenbach, insurance expert at the Consumer Advice Center NRW
From January, car insurance will become more expensive for more than four million people in Germany. At the same time, however, it will become cheaper for almost as many. The reason for this is the annual recalculation of the loss balance by the German Insurance Association (GDV). As a rule of thumb, it is more expensive in large cities than in rural areas because there are more accidents in the city. Berlin, for example, is almost 40 percent above the average.
However, the cost of car insurance also depends on other factors. “If the insurance premium increases, policyholders have a special right of termination,” says Elke Weidenbach, insurance expert at the NRW consumer advice center. However, it is advisable to check your own car insurance rate anyway, preferably annually. Because switching or asking your insurance company can save you several hundred euros a year.
- Why do the contributions change?
The amount of car insurance premiums depends on several factors. An important factor is the district in which a car is registered, but also the
The personal no-claims bonus class influences the amount of the premium. For some time now, insurance companies have also been pointing to increased costs for repairs. There are regional classes for motor vehicle liability insurance as well as for fully and partially comprehensive insurance. Motor vehicle liability insurance covers damage to other people or vehicles in an accident, while comprehensive insurance covers damage to your own vehicle following accidents that are your own fault, as well as theft, glass or fire damage, accidents involving wild animals or damage caused by natural events. - When is a change recommended and what should you pay attention to?
Competition is tough in the insurance industry. New customers are often lured with cheap rates. That’s why switching can be financially worthwhile. If you want to cancel a contract, you usually have to do so in writing and observe the notice period. Most contracts can be canceled on December 31st. To take advantage of this, the insurance company must receive the cancellation by November 30th. However, some providers have different deadlines, so it’s worth taking a look at your own contract. In addition to “ordinary cancellation”, drivers can terminate their contract extraordinarily after a premium increase or a claim. If you want to stay with your existing insurer, you may be given a discount upon request. - How else can costs be reduced?
Savings are possible even without changing provider. By paying annually, you can save a few euros in your current contract. It is also cheaper when the children have left home and are no longer registered as young drivers. You should inform the insurance company of this in good time. The same applies if you drive significantly fewer kilometers per year due to home office, moving house or retirement. In addition to mileage and age, the amount of the premium also depends on where you live, the vehicle model, garage use or whether you rent or own your own home. It is also cheaper without fully comprehensive insurance, which is dispensable, especially with older cars. In partial comprehensive insurance, the costs can be reduced by a higher deductible.
Further information and links:
Source: Consumer Advice Center NRW
Internet: www.verbaucherzentrale.nrw
