Normal scheduling will resume shortly, including information on if SIPPS are right for you and other investing topics, but in the meantime, I hope you find this guest post helpful! Take away point: negotiations work -use them to your advantage.
Whether you’re shopping for home insurance or boiler cover, you’ll want to make sure you get the best deal possible. But it isn’t going to be handed to you on a plate. Haggling will be your best tool when it comes to getting an agreeable quote, whether you’re renewing with your current provider or looking elsewhere. If you’re looking to get a decent discount, you’ll need to learn the gift of the gab quickly – here’s what you need to do.
Start at 60%
When you’re looking to get a good deal, 60% of the asking price is a good place to start haggling. In most cases, you won’t get this much of a discount, but it gives you room to manoeuvre – and means that a 10% or even 20% should be achievable.
Play one insurer off against another
If you’ve managed to get an agreeable quote from an insurer, don’t jump at it – use it as a springboard to a better one elsewhere. Get a reference number and contact competitors – insurers are desperate for business in the current climate, so it’s in their interest to beat the quote and take your business.
Have a back-up argument
Go into your haggling prepared with a plan B or even plan C – insurers deal with hagglers every day, so they’ll have stock answers for common queries and tactics. Think of ways you can sell yourself as a customer – your years of no-claims or, in the case of car insurance, advance motoring certificate.
Refer your friends and family
Telling an insurer that you’ll refer your friends and family in return for a discount may well seal the deal. Another option is to promise repeat business – if you’re a property investor and are looking insure more than one home, suggest that the more policies you take out, the cheaper they become.
Don’t get too carried away – if a boiler insurance policy comes at £10 per month, it’s unlikely you’ll get it down to £2. However, play your cards right and it could certainly be nearer £8. At the other end of the scale, if you’ve been quoted a four-figure sum for your first car insurance policy, there could be room to get down to three-figures if you argue your case. Making sure the negotiations go your way is a delicate process – be polite but firm, determined by flexible and prepared to put the hours in and you should come out with a few extra quid in your pocket each month.