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How to get cheap van insurance
Slash premium costs with clean driving and good safety features.
When it comes to insurance, costs vary from person to person and van to van. Your and your van’s age, crime rates in the neighborhood you live and your driving record are just a few factors the insurance company considers when drawing up your bill.
To get the best rates possible, learn how each consideration is measured and plan your purchase or mod your rig accordingly.
Compare van insurance companies
What affects the cost of van insurance?
When it comes to working out your premium insurance companies don’t just pull a number out of a hat. They actually draw together several factors and look at the type of policy you want before presenting you with a rate.
Some of the main reasons behind how your insurance is priced include:
- Van size. Smaller vans with less powerful engines are typically cheaper to insure, while larger models are often put in the higher insurance groupings.
- Level of coverage. Riders and all the bells and whistles can be tempting, but if they’re purely extra you may want to consider ditching them in favor of saving.
- Van use. You need to specify to the insurer whether you’ll use the van commercially — and if so, how. While it might be more expensive to get a business policy, your company’s assets will be properly protected.
- Employment. Your job can impact your insurance costs, with an insurer potentially offering you a better rate if it knows you won’t be commuting during rush hour in your van.
- Where you live. From how busy your local roads are to the levels of crime in your area, location plays a key part in driving up or pushing down insurance premiums.
- Security. Parking your van in a garage or secure lock-up, or putting extra security features on it like a tracker can convince the insurer your van is less of a risk. In return, you could pay less on your premium.
- Payment. People who pay for van insurance in monthly installments end up shelling out more, as their premiums are typically more expensive and they have to pay interest.
How can I lower my van insurance rates?
- Voluntary deductible. Your deductible is the amount you have to pay for a claim before the insurance money kicks in. By choosing to pay a higher deductible, your premium will fall. However, make sure you can afford to pay it should you have to make a claim.
- Limit mileage. Keeping your mileage down and showing the numbers to your insurer can lead to reductions in your premium. After all, the less time you’re on the road, the less chance you have of making a claim.
- Park in a safe location. Storing your RV in a secure garage or storage facility could earn you lower premiums.
- No-claims bonus. Drive responsibly and avoid making a claim, after about five years you’ll get a pretty decent no-claims bonus.
- Security features. Some companies will provide discounts if you use security features like an alarm system or GPS tracking on your RV.
- Pay annually. By paying for your insurance in a lump sum at the start of the agreement you get a better premium rate than if you paid for your policy in monthly installments. With these gradual payments you get charged interest, too.
- Only pay for the coverage you need. If you have an old RV that isn’t worth much, you might not need collision or comprehensive coverage. And if you have really good health insurance, PIP coverage might not be useful.
- Shop around. As ever, compare exhaustively. Use price comparison websites and potentially get a few quotes directly from insurers as well so you can work out which provider offers the best deal for you.
- Additional drivers. Avoid having anyone who’s young and inexperienced as a named driver on your policy, as this will bump your premiums up drastically.
What’s the cheapest type of RV insurance?
The cheapest type of policy is one that only includes coverage for liability. But keep in mind that a liability-only policy will only cover damage in at at-fault accident. If it’s banged up in an accident you caused or totaled after a storm, you’ll have to pay for any repairs.
But most policies will let you choose what coverage you want to build a policy with a price and coverage amount you’re comfortable with. For example, you can get a policy with liability and collision coverage, but not personal injury protection, which may not be necessary if you have good health insurance.
When it makes sense to buy the cheapest van insurance
The main reason you would buy the cheapest van insurance on the market is if it’s the only policy you can afford. Even if you can shell out a bit more, you might still go for the lowest price possible.
Some reasons you might want to go for the cheapest possible policy include:
- Your van isn’t in good shape. An old beater probably isn’t worth getting the same amount of coverage you would for a new van that’s fresh off the lot.
- You’re using it for business. You may need to get separate insurance for your tools or cargo, in which case it may be more important those be well covered than the van itself.
- You don’t need the policy for long. If you only need coverage for a short time, it’s probably not worth putting down the money for a ton of extras.
What affects the cost of RV insurance?
There are a range of factors that can impact the cost of your RV insurance, such as:
- Your age
- Your RV’s make and model
- Where you live
- How much experience you have driving an RV
- Average yearly mileage
- Security features
- Where it’s stored or parked
- Number of bedrooms
- Driving history
How do young drivers get cheap van insurance?
If you’re under 25, getting van insurance can seem outrageously expensive. Unfortunately, young drivers are seen as higher risks on the road and get hit with higher fees. But there are ways to lower the costs.
You can follow the tips described earlier in the article, such as paying annually instead of monthly, paying a higher voluntary deductible or limiting your mileage.
You can also look at taking out a telematics policy. This is when you agree to put a black box in your vehicle that measures your braking, cornering, how fast you drive, how much you drive and at what time of day or night you’re on the road.
Drive responsibly and this can cut your insurance premiums, as it proves to the insurer you drive carefully. Drive recklessly, though, it will have the opposite effect and your insurance will go up.
Getting cheap van insurance is a matter of breaking down how insurers bill premiums and playing to your strengths. Another important part of getting the best rate possible with all of the coverage you need is comparing your options.
Frequently asked questions about van insurance
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