According to Consumer Intelligence, the average annual premium is £564.19, almost 20 percent higher than the same time last year – and is predicted to rise by 15 percent to £648.82 by January 2011.

There are two main factors contributing to the rise – the first are no-win no-fee solicitors whose ads on TV have seen many more people deciding to pursue personal injury claims after crashes, pushing up the amounts insurance companies have to pay out and therefore increasing premiums.

Given that many people are struggling with their finances at the moment, it is also believed that more people are driving without car insurance.

1. Reduce Your Car Insurance Premiums Car insurance can be a massive expense. Here at MoneyTowers.com,...
2. Reducing young driver car insurance premiums Young drivers are often hit hard with the cost of...
3. Motor Insurance – the lowdown Motor insurance is an important decision. It is also law...

1. Reduce your insurance group
Probably the most obvious choice is to look for a car with a low insurance group as these will have lower insurance premiums. Group 1 is the lowest insurance group possible and cars that fall into this group include the Citroen C2, Fiat Panda, Ford Ka and Vauxhall Corsa.

2. Comprehensive or TPFT?
Some older cars are worth little money so it may be worth looking at a third party fire and theft (TPFT) policy rather than a comprehensive one. Comprehensive car insurance policies can sometimes be more than several times the write-off value of the car, so if this is the case it makes sense to go for the TPFT option. However TPFT may still be pricey as the insurers have to consider what happens if the driver crashes and injures a third party.

3. Further driving test qualifications
Some insurers will give discounts if drivers hold particular driving qualifications such as the Pass Plus or IAM. The Pass Plus course consists of six further driving lessons and are designed so that new drivers can get experience of a wider range of driving conditions such as motorway driving, night driving, and driving in the rain. These tests not only will help potentially bring car insurance premiums down, but should also help the young driver become better at driving and therefore reduce the risk of an accident.

4. Limited Mileage
Limited mileage policies are where you let the insurance company know the current mileage on the car and you agree that you will not exceed a given number of miles. Different companies will operate different mileage policies, however common limited milage policies are at 3,000, 6,000 and 10,000 miles. By having a limited mileage policy, insurance policies can be reduced.

5. Driveways & Garages
If you park your car on the road, it may be worth looking to see if you can rent a nearby driveway or garage as having a car parked off the road can significantly reduce car insurance premiums. Take into account how much the rental will cost over a year, and then do two insurance quotes to see whether having your car parked off the road would help you to save money.

One thing to most definitely not to do is to front your insurance. This is where someone else such as a parent is classed as the main driver for the insurance policy with the young driver as a named driver. If the younger driver has an accident and the insurance company find out about the fronting, the insurer will not pay out.

1. Reduce Your Car Insurance Premiums Car insurance can be a massive expense. Here at MoneyTowers.com,...
2. Are you paying too much for car insurance? Even if you think that you car insurance is low,...
3. Ambulance chasers push car insurance premiums up No-win no-fee lawyers are said to be the main cause...

1. Limited Mileage Policies
Make sure you know the real miles you do in your car each year. Ask your insurer if they do a limited mileage policy – often, there will be discounts if you don’t go over a particular number of miles each year. If this is only 1,000 miles off the normal amount you do, can you cut down on the miles you do in the car and thus get a limited mileage policy with cheaper premiums?

2. Mods
Modifications usually push a car’s premiums up, even if they don’t affect the power of the car. Try and avoid adding modifications to your car as this will increase your premium. If you are intent on keeping your mods, try a mod-friendly insurer as some are better than others when it comes to modified cars. Don’t be tempted not to declare your modifications – if you don’t declare them and you have an accident, the insurance company may not pay out.

3. Alarms
If possible, make sure your car has a Thatcham approved alarm as this can save up to 10% on the price of a car insurance premium.

4. Voluntary Excess
Increase the voluntary excess as this may reduce your premium. However be aware that if you have an accident, you must be able to cover the cost of the excess.

5. Added Extras
Check your policy carefully. Do you need the comprehensive cover or will third party do? Do you want to protect your no claims bonus or not? Consider which options best suit the car you drive and your budget as all these little extras, whilst often worthwhile, can load up your car insurance premium.

6. Advanced Driving
If you are a new driver, Pass Plus can help to reduce your car insurance premium in the first few years. An advanced driver training course will also often reduce your premiums as well as making you a better driver, so these courses are well worth the initial financial outlay.

7. Named Drivers
Adding your Mum or Dad or a female driver to the policy sometimes reduces the cost. Play around with adding different named drivers to your policy to see if this reduces your insurance premium.

1. Reducing young driver car insurance premiums Young drivers are often hit hard with the cost of...
2. Are you paying too much for car insurance? Even if you think that you car insurance is low,...
3. Ambulance chasers push car insurance premiums up No-win no-fee lawyers are said to be the main cause...

It is important to shop around when looking for landlord rent guarantee insurance as the amounts that the insurance covers and the pre-requisites for a payout may all differ from insurer to insurer.

Some of things to look for are:
- the cost of the premium
- whether legal expense cover is included in the quote (and the maximum legal expenses permitted)
- the maximum amount of rent that can be paid to you each month
- the maximum claim limit

The items that are normally required before landlord rent guarantee insurance can be taken out are:
- a signed tenancy agreement
- two forms of ID from the tenant, one of which must usually contain a clear photograph of the tenant
- proof of the tenant’s employment
- a credit check
- a full reference provided by an approved referencing company
- each tenant in the property will normally be subject to the checks
- if the tenant requires a guarantor, the guarantor will need to undergo the relevant checks
- a clear record of the rent due and the rent paid

1. Landlords: What To Do When Your Tenant Defaults Following on from our news story last week which showed...
2. Rent Arrears Causing Buy-To-Let Repossessions According to the National Landlords Association (NLA), 44% of landlords...
3. Rent-to-Own Schemes: Good for property buyers and sellers? Despite experts claiming that the housing market is slowly showing...

Here at MoneyTowers.com, we have put together a short guide covering the most common insurance that businesses need to help you work out what cover you require for your company.

Employers Liability Insurance
Employers liability insurance is required by law if you employ anyone outside of your immediate family. Employers liability insurance offers protection for any liability arising from illness or injury sustained by employees whilst they are working for your company.

Motor Insurance
If you use any form of motor vehicle for your business, you will need to insure it. At a minimum, the vehicle needs to be covered by third party, however it is a wise idea to take out more comprehensive cover to ensure that you are covered in case of accident or theft.

Public Liability Insurance
Public liability insurance protects you from any liabilities from third parties (ie anyone not employed by you) such as property damage or accidents that may happen during the normal operation of your business.

Products Liability Insurance
Products liability insurance protects you from liabilities from a third party injury (ie anyone other than your employees) or property damage arising from products you sold or supplied.

Material Damage Insurance
There are different kinds of material damage insurance on offer. Material damage insurance is essentially designed to cover your company’s assets (such as computers, furniture, stock etc) from loss or damage such as theft, fire, flood etc.

Business Interruption Insurance
Business interruption insurance covers your company from the loss of turnover and/or trading profits from any damage to your property which then affects the normal operation of your business.

Money Insurance
Money insurance covers you for money that is lost or stolen from your company premises, your home, or whilst it is in transit. Beware that there may be stringent circumstances and conditions placed on this insurance.

Goods in Transit Insurance
Goods in transit insurance covers your company for the accidental loss, destruction or damage to your goods whilst they are in transit. Goods in transit insurance may also cover the cost of any alternative transport which may be required.

This is not an extensive list and there may be other insurance that you should take out for your company.

When you are looking for insurance, there are certain things to look for on most policies:
The excess: The excess is the first part of any claim that you are responsible for ie for every claim, you must pay a small amount of money. Normally, you can reduce the insurance premium by upping the excess however you must ensure that you can pay the excess should you need to claim.

Amounts Insured: It is important that you give accurate information to the insurance company as to the value of what you are insuring. If you supply the insurance company with incorrect information, your claim could be invalidated or you may not get enough compensation money to cover the cost of the claim.

Pre-Set Conditions and Exclusions: Read the terms and conditions of the insurance policy carefully and make sure you understand anything which is excluded from your property, and any pre-conditions that must be met. For example, some cover may require that an alarm is fitted to your company premises before the insurance is valid.

1. Motor Insurance – the lowdown Motor insurance is an important decision. It is also law...
2. Bonfire Night & Your Insurance Policies With bonfire night just around the corner, are you covered...
3. The hire car insurance trick When it comes to hiring a car for your holiday,...

It will come as no surprise that around bonfire night, there is a significant increase in claims on home insurance policies. Damage can be caused by a range of incidents – typical claims are for broken windows, damaged roof tiles and fences, and fires as well as personal liability for injury to other parties.

Most buildings and contents insurance will cover your property and possessions if they are damaged by a bonfire or fireworks. However if you live in a non-standard property such as a property with a thatched roof, there may be restrictions on the policy therefore ensure you read the terms and conditions of your policy carefully. You should also note what is covered – sheds, fences and greenhouses tend to be covered by insurance policies, however other items in the garden may not be covered.

It is also worth checking your personal liability cover – check to see how much your policy pays out if someone gets injured. The majority of policies cover £1 or £2 million, however it is wise to check in advance.

Bonfire night is also prime-time for burglars and thieves. Empty houses and plenty of noise make it the perfect time for break-ins so if you are going out, make sure all your windows and doors are securely locked and your alarm is primed.

1. Buildings Insurance – the lowdown The provides cover for structural problems, as well as cover...
2. Motor Insurance – the lowdown Motor insurance is an important decision. It is also law...
3. Which business insurance do you need? There are a daunting number of types of insurance that...

Here’s how it works: You book a car in Europe. Normally, you will be automatically covered for any damage to the car by a collision damage waiver which is included in the price that you are quoted. However, this does not cover the excess on the damage and this can sometimes run to hundreds of pounds. As you are booking the car, the rental company will offer you a damage excess waiver for a small fee each day – typically under £5 a day.

When you come to pick up the car, the hire car company will ask if you would like a cover damage excess – again for a small fee each day. You show them your documents which state that you already have a damage excess waiver however the hire car company point out that the small print says you do not have cover for the windows, tyres or roof – the three areas that are most likely to cause you problems. So, you decide to take out the extra excess waiver and end up spending a lot more money on your car hire than you first expected.

The problem here is that when you come to pick the car up, you will be standing at the car hire desk under pressure to make a quick decision – do you cough up the small amount of money each day, or do you risk taking the car without the extra excess waiver and potentially have to pay out a lot of money for a flat type or chipped windscreen? The majority of people opt to pay the extra charge, and their cheap rental car turns out to be not so cheap after all!

So how can you get around this? It is worth investigating car hire insurance well in advance of your trip. This sort of car insurance gives you cover on hire cars for a small amount of money – normally around the £50 mark – and there is then no need for your to buy any form of excess waiver. You may find that even on one trip alone, the hire car insurance pays for itself in terms of not having to pay waivers, and if you will be hiring more than one hire car in a year, it is more than likely to be the best option.

As ever, the morals of the story are that some things are too good to be true, always read the small print, and prepare in advance!

1. Motor Insurance – the lowdown Motor insurance is an important decision. It is also law...
2. Buildings Insurance – the lowdown The provides cover for structural problems, as well as cover...
3. Which business insurance do you need? There are a daunting number of types of insurance that...

Considering these figures, it is definitely worth looking into pet insurance for your animals. Pet insurance has one of the highest claim rates out of all insurances with around a third of owners claiming on their pet insurance each year – this compares to household insurance where only around 9% of people claim each year.

98% of the pet insurance claims are for vet fees therefore it is important you read all the fine print on your pet insurance quote before you go ahead any buy it to ensure you fully understand what is covered. No pet insurer will pay for routine treatments such as neutering, vaccinations or worming tablets, and these in themselves can be very expensive over the course of the year.

There are many different types of policies on offer – one of the most expensive types offers lifetime cover for any illnesses the animal may get, with a limit on the number of claims that can be made each year. The cheapest pet insurance policies will only give 12 months protection for each illness so if your pet requires treatment for the same illness the following year, it will not be included in your policy when you renew.

As with any insurance, it is important to shop around as different insurers will have the lowest price for different animals and breeds. There will be some variation in premiums depending on where you live too. Ensure that you read all the fine print carefully so that you can be sure you are comparing like policies with like. It is also important to check what happens as your pet gets older – some premiums can leap when a pet reaches the age of eight (for dogs) or ten (for cats). When animals reach this age, you may be required to pay a larger excess when the pet becomes ill.

If you do need to make a pet insurance claim, insurers normally pay the vet directly on completion of the relevant forms. Most policies should include £1 million for third-party liability in case your pet damages someone elses’ property or belongings. There may also be extras included such as accidental damage cover, a reward if your pet goes missing, kennel/cattery fees in case you have to go into hospital, death, and holiday cancellations as a result of your pet being ill.

1. Contents Insurance – the lowdown Contents Insurance covers your personal effects such as furniture, clothing,...
2. Motor Insurance – the lowdown Motor insurance is an important decision. It is also law...
3. Reducing young driver car insurance premiums Young drivers are often hit hard with the cost of...

All it takes is a single thing to deviate from your perfect wedding plan and your perfect day is ruined – wedding reception venues may catch fire or flood, or the photographer’s photos might not be quite up to scratch.

Wedding day insurance isn’t as much as you might think – and if your wedding is costing a lot of money, an extra couple of hundred to safeguard the day is not much in the overall scheme of things. However, before you go ahead and take out specialist insurance, it is worth checking your household contents insurance. Some household contents insurers will increase contents cover by a particular amount (normally around 10%) for one month before and after a wedding. Bear in mind that household contents won’t cover for cancellations or major problems with the wedding. Also remember after the wedding to adjust the level of cover with your insurer to ensure all your new wedding presents are covered.

There are a myriad of wedding insurers around so shop around before buying to ensure you get the best deal. Many cover civil partnership ceremonies as well as traditional weddings. Check carefully to see what is covered and what levels of compensation you can expect as these vary from provider to provider. You may wish to pay a little extra to have extra cover such as damage to a marquee or a higher limit on the cost of the wedding present, cake and flowers.

Another method of protecting yourself is to pay for your wedding using credit cards. If any of the suppliers go bust or goods or services aren’t delivered, you can claim back the money from the credit card lender.

Overall, it is worth looking into wedding insurance to enable you to have full peace of mind on your big day.

1. Bonfire Night & Your Insurance Policies With bonfire night just around the corner, are you covered...
2. Contents Insurance – the lowdown Contents Insurance covers your personal effects such as furniture, clothing,...
3. Buildings Insurance – the lowdown The provides cover for structural problems, as well as cover...

An EPA is a sort of insurance in that if someone falls ill or is unable to look after their own financial affairs, their assets will be looked after. If an EPA is not put in a place, personal assets may be frozen until the Court of Protection decides who the best person to look after the assets is. This process may take a long time and can be expensive.

What is an EPA?
An EPA is different to the normal power of attorney and is not a well-known option. A power of attorney is used when someone needs to look after another person’s financial affairs for a relatively short period of time, such as through a physical illness. An EPA is for more extended periods of time and, as of October, will be replaced by lasting powers of attorney.

Setting up an EPA
EPAs are incredible easy to setup. Forms to set one up can be bought from stationers, or can be found on the Ministry of Justice’s website.

The person setting up the EPA can choose one or more attorneys to look after their assets. Normally, spouses, children, other relatives or friends are nominated. It is important that the donor has full confidence in the person that they propose to appoint as they will have full access to your assets. If there are any worries, attorneys can be instructed to act jointly meaning that they are unable to act separately and must take all decisions together. It is possible to nominate some joint and some separate attorneys so some can take decisions on their own whilst others must take decisions jointly. An EPA can also specify restrictions on what the attorneys can do.

It is possible to do an EPA on your own but it is recommended to use a solicitor as they will have a good understanding of EPAs. Using a solicitor is not expensive and should only cost a couple of hundred pounds to setup.

Lasting Powers of Attorney (LPAs)
From October 2007, EPAs will no longer be allowed to be made and will be replaced by lasting powers of attorney (LPA) however any EPA made before October will remain valid.

An LPA is an extended version of the EPA – they not only allow attorneys to look after assets such as finances and property but also allow them to make health and welfare decisions. However, because of the added complications, LPAs are expected to cost more to setup than an LPA. If you decide you would prefer an LPA to an EPA, it is best not to wait and to setup an EPA in the interim.

1. The Power Game Have you ever thought you could do a better job...
2. Taxman wants to seize money from accounts Hidden in the consultation document Modernising Powers, Deterrants and Safeguards,...
3. Controversy Over New Banking Act Proposals Officials have confirmed that Chancellor Alistair Darling is planning to...