With new tariffs the motor insurers are now promoting drivers who want to change their insurance. In addition to cheaper prices often attract better performance. What are the main trends?
Motorists can cancel their current insurance contract until 30 November in order to change providers at the turn of the year. That’s why the competition for new customers is raging among insurance companies: new rates are being used to promote drivers who want to change their minds. In addition to low prices, the new rates often offer better services. The comparison portal Verivox has evaluated which trends are emerging in motor insurance rates.
Longer discount scale for accident-free seniors
First result of the evaluation: Some insurers are changing their discount system for seniors. Currently, it is the case that seniors have to pay a hefty surcharge for car insurance. Even if they drive without damage, they do not benefit from higher claims bonus rates. The highest possible discount is achieved after 35 years of accident-free driving (damage class 35). That changes now with some providers. Wolfgang Schütz, Managing Director of Verivox Insurance Comparison GmbH, explains the trend: “Instead of 35 years, motorists up to 50 years can count on the upgrade to a better claim-free class – and with a lower car contribution.” An example of an insurer: So far, the scale ended with claim-free class 35 at a discount level of 20 percent, in the future there are 16 percent in non-infringement class 50.
More and more fares cover extended game damage
Another trend is the protection against game damage. Such damages are covered by the partial coverage. However, about ten years ago, contracts usually only included damage from collisions with wild deer such as deer or wild boars – a dog or a cat did not fall under it. The current evaluation shows that in 79 percent of the tariffs today, accidents are insured with animals of all kinds. “Whether game damage, gross negligence or replacement value, the insurers improve their market performance,” says Wolfgang Schütz. “What stuck years ago in premium tariffs, which makes today some basic tariff.”
Saving money with telematics tariffs
Especially young drivers can save money with so-called telematics tariffs. These are insurance contracts where car drivers are rewarded for careful and predictive driving and receive a discount. The insurers are satisfied with the contracts, but the telematics offer is currently stagnating in the market. According to a Verivox analysis, ten insurers offered such tariffs last year. Currently there are only eight. However, three insurers plan to re-enter next year.
The evaluation of the driving style takes place in the case of telematics tariffs via a box installed in the vehicle in conjunction with a smartphone app or even via an app. If you look carefully and attentively over the year, you’ll end up with up to 40 percent off the original price, depending on the provider. “The discount expresses the contribution partly well below the prices of the cheapest tariffs without telematics”, so contactor of Verivox. However, the outcome for insurers is still open. It remains questionable whether the damage costs decrease so much and the discounts remain so high in the long run.