Insurance

Will Regular Servicing Keep Your Insurance Premiums Down?

When it comes to owning and maintaining a car in Asia, things can get very expensive very quickly. In highly populated areas like Hong Kong, congestion levels are staggering. At peak times, there are an estimated three hundred vehicles filling up every kilometre of the road. It’s fair to say that the people of Hong Kong are familiar with wall to wall traffic jams on the way to work – on the way back as well. This level of traffic congestion is what makes owning a car in Asia so expensive.

However, there are ways to lower the cost of owning and driving a car. The first is to ditch the vehicle and start taking public transport – the buses, trams and trains in Asia are some of the most reliable in the world. If you’re not yet willing to do anything quite so radical, you could always focus your attention on making your vehicle as safe as possible. Just like in Britain, the condition of a car can greatly affect the insurance premium that you have to pay.

The key to maintaining an optimum vehicle condition is with semi-regular servicing. This does cost drivers more money, but it can make a big difference to their premiums in the future with companies like Direct Asia. Yet, even this isn’t any use if you’re not driving the right kind of vehicle in the first place. A brand new vehicle will attract very high premiums, as will a sports car or a vehicle that is older than ten years. It’s a delicate balancing act between the right kind of car and the wrong kind, between a positive service history and a negative one.

For example, you do want your service history to show that you care for the maintenance of your vehicle. You do want there to be evidence of regular scheduled checks and routine wear and tear repairs. This is bound to positively affect your insurance premiums, because it shows that you are willing to take responsibility for the safety of your vehicle. What you don’t want to do is take your car to be serviced or repaired too often. According to experts at HowStuffWorks.com, it can make your vehicle look as if it needs a lot of focused attention.

If you want to attract low premiums, you are advised to drive a car that is between two and ten years old, say the experts at Confused.com. It won’t be new enough to be considered high risk for superficial damage, but neither will it be old enough to be considered a break down risk. Do take your car for a service twice a year, but avoid running up unnecessary expenses on a vehicle that isn’t really worth the effort or the trouble. If you have a car that keeps breaking down, it could be cheaper in the long run to invest in a much better model.

The influence of your service history will depend on what kind of maintenance your vehicle regularly needs. If it only requires a scheduled tune up or a few superficial repairs, it’s unlikely that your service history will negatively impact your insurance premiums. However, if your car has regular engine, brake or suspension problems – you might find that your premium shoots up very quickly. The simplest way to earn yourself a lower premium is still the best one. As long as you drive safely and considerately, you shouldn’t fall prey to unaffordable running costs.

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