Blogpost Oct 2024: Getting Car Insurance for the First Time in Ireland
Are you a first-time driver in Ireland looking to get car insurance but feeling overwhelmed by the process?
From understanding the legal requirement to have insurance, using a broker to help you navigate quotes, demonstrating your driving experience, and completing a proposal form are all essential steps in securing the right coverage.
In this blog post, we will delve into each of these aspects to provide you with the knowledge and confidence to make informed decisions when getting car insurance for the first time in Ireland.
Legal requirement to have car insurance
Lets start with the basics. In Ireland, it is a legal requirement to have car insurance for all vehicles on public roads. Under the Road Traffic Act 1961, drivers must carry at least third-party insurance, which covers damages or injuries caused to other people or property in the event of an accident. This mandatory insurance ensures that if you cause an accident, compensation is available to victims for any damages or injuries.
Driving without insurance is a serious offense, and the penalties include fines of up to €5,000, penalty points on your license, and potential disqualification from driving. In severe cases, offenders may face imprisonment. If caught driving without insurance, your vehicle can also be seized. So getting yourself car insurance is a necessary woe!! Also if you do not hold a full Irish Drivers Licence or Equivalent licence and you drive unaccompanied, you are committing an offence. This offence carries an initial €160 fine and 2 penalty points. If you do not pay the fine within 28 days, the fine increases first to €240. If you do not pay the fine and are summoned to court, you could be fined even more and get 4 penalty points.
There are different types of car insurance in Ireland, including:
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Third-party insurance (minimum required by law)
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Third-party, fire, and theft (covers third-party risks, fire damage, and theft)
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Comprehensive insurance (covers all risks, including damage to your own vehicle)
Have you driving experience?
Car insurance is cheaper for more experienced drivers because they are seen as lower risk, having a proven track record of safe driving, which reduces the likelihood of accidents and claims. If you have been driving on another persons car, it is really important that we get evidence of this for your quote, in a “Letter of Driving Experience”.
If you have been driving yourself in the past, you provide us with a “No Claims Bonus”, and each year you can evidence of claims free driving, is equal to 10% of discount on the gross premium the insurer would charge. So it's worth your while getting proof of your driving record!
Using a Broker to get a quote
An insurance broker helps you find the best car insurance by acting as a middleman between you and insurance companies. Here's how they assist:
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Understanding Your Needs: We assess your driving history, coverage requirements, and budget to recommend suitable policies.
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Providing Multiple Options: As a broker, we access over 20 Irish insurance companies, giving you the most suitable quote based on our comparison of price and coverage.
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Explaining Policy Details: We help make things clear, and simplify complex terms, ensuring you understand coverage, exclusions, and premiums.
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Handling Paperwork: Brokers take care of the administrative work, saving you time and minimizing errors.
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Claims Assistance: During a claim, brokers guide you through the process, ensuring timely and fair settlements.
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Renewals and Reviews: At renewal, they review your policy to ensure you’re still getting the best deal, offering new options if needed.
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Ongoing Support: Brokers provide customer service throughout, handling policy changes or questions after purchase.
Getting Insured for the First Time
Once you have a quote you want to proceed with, your broker will issue you a “Statement of Fact” or a “Proposal form” from the prospective insurer. You must check that all details are correct, as it is your duty to ensure that the information is accurate and as outlined at the start. Once you sign the documents, your broker will set up your insurance policy and issue you with a Certificate of Insurance and a disc to display on your windscreen.
Material Facts - What are they?
As this is your first car insurance we thought we would explain in brief the legal responsibility you carry with your insurance contract.
In law, when you take out insurance, you have an ongoing duty to disclose material facts to the insurer, both at the time of application and throughout the policy period. Material facts are any information that could influence the insurer's decision to provide coverage or determine the terms and premium of the policy. This includes changes in circumstances, such as modifications to the insured vehicle, changes in address, change of occupation, or convictions for driving offenses. If you fail to disclose, it may have serious consequences, even a denial of a claim or the cancellation of your policy.
Your broker is there to advise you but it’s essential to update your broker with any relevant changes to ensure your coverage remains valid and if you are in doubt, just ask them!
Remember to make sure you keep a line of communication with your broker and tell them if you move house, change contact details or change job because these things can have a bearing on your premium. We feel that first time drivers really benefit a lot by having a broker to explain and go through the paperwork with them.
Get in touch today for a more info and to talk to a broker that can help you get on the road!!