How to buy car insurance without a deposit

If you are looking for car insurance without having to pay out a deposit right now, you have come to the right place. Not only can we show you how to find "no deposit" schemes, but also let you compare prices so that you can find the best policy suited to your own unique circumstances whether you are looking for the cheapest possible price, or the best possible value.

"No deposit" is not strictly correct:  it is essential for there to be a deposit, otherwise an insurance policy is not a legal document; but this can sometimes be as low as a twelfth of the total premium, and even this can be paid by credit card meaning that you don't have to pay out anything yourself until the the bill arrives more than a month later. This type of car insurance is the fastest-growing sector in the car insurance market, and no wonder when you look at how expensive car insurance is now, particularly for young or fairly inexperienced drivers. Insurers would much prefer to get all of your money right up front so that they can make more money by investing it on the stock exchange but competition is so great these days that when the first one offered no deposit terms, a lot of others had to do so as well. You have to be careful though; a number of them charge quite hefty interest so you need to look very carefully at as many no deposit quotations as you can. Tesco's price comparison engine will not only let you find the cheapest premium from amongst their large panel of insurers, but you can find out which ones charge the lowest monthly payments as well because, as we mentioned, some of them charge interest so the company with the cheapest basic premium is not always the one with the lowest monthly payments and you can also experiment with various factors such as the maximum mileage you intend to drive over the coming year, and the excess that you are prepared to pay in the event of an accident. Sometimes these can make a considerable difference to the premium, but sometimes the differences negligible; it varies from company to company so you really need to set aside a bit of time if you want to get the best possible value for your money.


A few tips; firstly make absolutely certain that all the information you enter is correct. If an insurance company finds out that you have inadvertently left out an accident that you have forgotten about, or put down a no claims discount that was slightly larger than the one that you were actually entitled to, an insurer could well refuse to pay out on a claim in the future; something which could put you into a very awkward financial situation indeed. All insurance companies make extensive enquiries before paying out; they are in a cutthroat business where everyone is slashing premiums to the bone, but this is reflected in their payouts as well; if they have a good excuse not to pay they will probably do so, so it is vital not to give them an opportunity!

Another thing to bear in mind is that if you take out a no deposit car insurance policy you will be expected to complete all of the 12 payments. Insurance companies can charge very heavy fees for people who cancel or fail to make all the agreed payments, and they can get quite persistent about chasing these payments up. It is very important that you read every policy document carefully to see just what charges they make in the event of cancellation or alterations; do bear in mind that you may well wish to change your car in the future, and if you get a cheap quotation now only to be hit by a heavy alteration charge later on you may have been better off buying a slightly more expensive policy in the first place. Good hunting!

Have you had a problem finding annual car insurance because of accidents or convictions? Insurance Choice may be able to help: telephone 0844 55 77 926 Now!

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