We all love getting good deals on products and services. But when was that last time you actually asked for a lower price for something? Of course, the art of ‘haggling’ is situational and it depends on the shop you visit, but when you’ve had the chance and opportunity to haggle, did you?
Haggling is all about trying to negotiate a price that both parties deem to be acceptable and these days, we seem to be haggling less and less. We just seem to be accepting the price tag for what it is and this could be due to various reasons. Some people may not have the time to barter, some think it’s too much hassle, and some just think it’s embarrassing or have a fear of haggling. However, it’s also partly due to the internet and the option for online shopping.
There’s often little room to negotiate when you’re browsing an online store as there is no opportunity for interaction with the seller. The most you’ll probably get in terms of a good deal when online shopping is the odd discount code and you might catch a promotional event. Although there is plenty of encouragement to find cheaper deals, the prices are set by the sellers.
This is similar to car breakdown cover.
In a previous blog article, we discussed the new legislation that prevents insurers from funding significant first-year discounts on insurance policies from existing customers who are paying premiums that increase every year. However, the new legislation does not include breakdown cover which is where there is clear evidence of existing customers subsidising premiums for new customers.
Comparing your Cover
Most car owners have opted for private breakdown cover as it provides peace of mind knowing that they will be covered should they have a breakdown. However, are you aware that your current cover provider may be increasing your premiums in order to attract new customers with a significantly lower first-year price for the same cover? Currently, it costs a minimum of £95 to recover a vehicle and any amount from £180 for motorway roadside assistance and recovery.
When you next receive your insurance renewal letter, it’s a good idea to have a close look and weigh up whether you’re happy with the cost or not. If you’re not, it’s important that you get in touch with your provider to ask why your premium is priced as it is, or you could say that you are looking at alternative quotes from competitors.
In most cases, your current insurance provider will be able to offer you a lower quote which can help you save a significant amount of money. If every car owner had questioned their renewal quotes, insurance premiums would see a sharp drop across the board! However, until the law catches up and includes breakdown cover with the car or home insurance, it is down to ourselves to haggle and find better deals.
About Stuart Mosley
Stuart Mosley (CeFA, CeMap, CLTM) founded SJ Financial Solutions in June 2005 having spent 12 years with big corporates such as Halifax and Santander. He felt the personal touch and straight speaking was missing from financial and mortgage advice services and set up SJ Financial Solutions to change this.
If you would like to book an appointment then please get in touch and we can arrange a suitable time to discuss further. We can arrange appointments at a place and time suitable to you, we can discuss your options over the phone or if you prefer email, then this is fine with us.