Your MONEY: Put the Brake on Soaring Car Cover Premiums ; CASHPOINT

By John Husband

THE average car insurance premium is up eight per cent on last year to a record pounds 822, says an AA report.

And it warns there are more increases to come because premiums are lagging behind what insurers are paying in claims. But here's a number of ways to cut the cost of your cover:

Save up to 40 per cent by shopping around.

Drive carefully and get up to 60 per cent no-claims discount. Once you achieve that it's worth paying extra for a "protected bonus" that won't be dented if you're struck by a hit-and-run driver.

Paying an excess of, say, the first pounds 200 reduces your premium and makes you that bit more careful.

Go green. Cut out unnecessary journeys and your lower mileage means lower premiums.

You also save money if the car is used by experienced, named drivers only.

Next time you change your car remember a smaller one costs less to insure. As do British-built cars because the parts are cheaper and easier to obtain.

Moving home? You pay less outside inner cities where cars get bashed more often.

Women and older drivers are generally charged less because they make fewer claims. You can't change your sex but at least getting older has advantages.

(c) 2007 Daily Mirror. Provided by ProQuest Information and Learning. All rights Reserved.