Winter is coming…

‘Now is the autumn of our discontent’, to paraphrase (and slightly amend a) a famous saying. The confidence we felt during early summer, as we emerged as a nation out of lockdown, the sense that things would return to normal and life as we knew it would return back to pre-Covid days has ebbed away and we are back facing more potential lockdowns, unemployment and a home-alone winter.

What does this have to do with car insurance? 

Well, if you are worried about losing your job as a result of COVID, then it’s not great news when it comes to insuring your car. As if worrying about money isn’t bad enough, the worse news is that car insurance policies for the unemployed are more expensive. Sometimes up to as much as £200 per year than someone who is employed.

Yes, it can be up to 40% more for someone who has no job and, if you are an HGV driver it’s even worse – as much as 54% more (which is ironic, given it’s the cheapest profession you can list as your employment when you’re applying for car insurance). 

And its bad news if you’re a key worker too – they pay one of the highest prices for car insurance each year. But if you lose your job, irrespective of what it was that you did, not only are you legally bound to report that change of circumstances to your insurer but you will likely also see the price of your car insurance policy increase.

This is due to insurers seeing what you do with your time in terms of risk, and the unemployed, who have more time to be behind the wheel, are seen as more likely to have an accident and need to make a claim against their car insurance policy. 

So, for the sake of us all, we hope that this winter isn’t as gloomy as many are predicting that it may be and that the mass unemployment forecast by some doesn’t become a reality. 

But if your circumstances do change, don’t forget to tell your car insurance company. 

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