How to reduce your insurance premiums

We have created a few key points that can lead to a significant reduction in your annual premiums, and when all of these tips are combined, they could ultimately end up saving you hundreds of pounds.

The first point to highlight may seem like an obvious one, but driving slower and more safely will help you to build up a no claims discount, and after just 5 years this can result in a premium that is potentially up to 70% cheaper – a huge saving. It is also worth noting that any driving offences, such as speeding, for example, can have the opposite effect, and some insurance companies may even decline to insure you due to the high grouping of your supercar.

Another important factor that insurance companies consider is the manner in which you use your car - generally, the options start at the commonly used “social, domestic & pleasure” term, scaled up to those who make a daily commute or only use their supercar for business use. Be sure to clarify with your insurer exactly what you use your vehicle to avoid paying more than you need to.

Insurers also take the view that the fewer miles you complete each year, the less likely you are to be involved in a collision, meaning a reduced premium. If you only take your prestige vehicle out for a spin on the weekends or in good weather, it is important you limit your mileage to a sensible figure to benefit from the potential savings here.

There are some simple vehicle enhancements you can also choose to take advantage of, and GPS vehicle tracking is the first - helping to reduce your premiums by tracking the location of your prestige vehicle and providing data on the journeys it has made. This system is also regarded as a security measure, with some cutting-edge systems able to track, locate and even immobilise your car remotely in the unlikely event it is stolen. Having this kind of technology onboard can lead to a reduced premium from most insurers.

The second enhancement is increasing any additional security features you feel could be of benefit to both reducing the premium and protecting your vehicle. Almost all supercars come with an immobiliser as standard, but combine this with some extra security features such as wheel locks or parking your vehicle in a garage at night and your premiums could be reduced massively. All insurers operate a slightly different policy on this, so it's always best to ask your specific provider which security features are recommended and which ones they offer discounts for.

The final area that can potentially save you some money is around the policy itself. If you can afford to, pay the premium annually – spreading the cost of your insurance across a whole year may seem like a good idea, but with interest charges of up to 20% applicable with some insurers, it's best to pay upfront. Also, look to increase the amount of voluntary excess you set on your policy. in the event of a claim, your excess is the amount of money you have to pay for the claim before your insurance kicks in. Generally, the higher you set this, the lower your premium will be, so just be careful not to over-commit yourself and set it at a level you can comfortably afford.