Over 50s insurance - cutting costs without cutting corners

Everyone's talking about it being at the sharp end of a potential recession, but it doesn't have to be painful.

Retailers and service providers in all sectors are giving consumers some comfort in the shape of discounts and money saving deals. Even when buying insurance, it's possible to cut costs without cutting corners as there are substantial savings to be made by going to a specialist insurer.

Whether its women-only, classic cars, yachts, weddings or age-related, there are insurers who specialise in a particular category or risk. How does it work? Specialist insurers have access to tailored insurance schemes so, for the over 50s market for example, with an insurer such as RIAS, they know there can be an enormous difference in the claims history and driving patterns of an over 50-year old driver compared with a 25-year old driver - and these differences are taken into account when calculating the premium.

Also, an over 50s specialist like RIAS does not impose age limits on its motor insurance policies and will insure older drivers who may have been automatically refused insurance, or charged exorbitant rates, by other companies on the basis of their age. It also offers a number of discounts for older drivers including one for being over 50, one for retired customers, one for driving low mileage, one for older cars, and another for garaging the car.

It's simply a case of shopping around for a company offering discounts relevant to the risk involved.

Searching around for the best deals

Insurance companies individualise their core offerings by varying the features of their policies and the prices they charge for them. Unfortunately, this makes it very difficult for potential customers to compare them on a like-for-like basis. It is therefore crucial that customers consider carefully the level of cover they need, take the time to shop around, and ask the right questions before buying a policy.

Although the lowest quote can seem attractive, it's vital to know what you are actually getting for your money, and a cut-price premium often means that the actual level and nature of the cover being provided has been cut too, leaving policyholders vulnerable to risk.

Best Buys

Many companies attract new business by offering headline-grabbing discounts and incentives from time to time, some of which can represent good value, but beware that these can carry restrictions or be short-lived. In some cases customers can find themselves paying over the odds in the second year to allow the company to make up the shortfall caused by pitching their premium artificially low in the first year. RIAS believes in offering good value quality products all year round, every year. The RIAS motor insurance product recently came second in the annual Auto Express survey of the best motor insurance companies in the UK, and had the best rating of all those surveyed for satisfaction with payouts for claims.