A 'perfect 10' for a perfect price

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A perfect '10' at a perfect price esure advises motorists buying a new car to haggle and shop around or it could cost them dear With one in twenty five motorists polled planning to pick up a new '10' plate car from 1 March1, failing to haggle and check out both financing and insurance costs before driving off the forecourt could leave them considerably out of pocket.

The research commissioned by esure car insurance reveals that despite having only just come out of a recession, nearly a third (33 per cent) of motorists polled would not consider haggling on their next car purchase - even though hefty savings could be made.

Alarmingly, nearly half (47 per cent) of motorists surveyed said they don't do any research into the different types of finance or credit deals available before looking to buy a new car - such as personal loan APRs and credit card rates. With 32 per cent of motorists looking to buy their next car directly from a car dealer, it's worrying that they could end up signing on the dotted line of a hire purchase agreement which may not be financially viable for them.

Both men and women could potentially opt for a poor financial deal as over two fifths (42 per cent) of those questioned admitted to failing to do their homework before heading out to make a new car purchase. In fact, one in ten (11 per cent) motorists admitted that they would just take out any financial package offered at the car dealership.

Surprisingly, only 11 per cent of motorists spend more than a couple of hours looking into the finance options available to them before signing up to a finance agreement to pay for a car. Four per cent spend less than 30 minutes on such an important part of a car purchase.

Motorists are also failing to do their homework when it comes to insurance. Eight per cent of motorists surveyed admit they wouldn't get an insurance quote before choosing a new car and a further 16 per cent said they wouldn't find out the car's insurance group either - both of which could potentially add significantly to a new car's running costs.

Mike Pickard, Head of Risk and Underwriting at esure car insurance, said: "Motorists should never be afraid to haggle down the price of a new car. Savings are there to be had by driving a hard bargain on the forecourt. Shopping around is also key so whether it's the insurance cover, finance package or the price tag of a new set of wheels, motorists should spend a little extra time doing their homework beforehand to make sure they get a good deal."

Regional breakdown
Those living in the North West are most likely to pay over the odds for their new car - they are the worst hagglers in the UK with 36 per cent of those questioned never bargaining on a forecourt. Scots are the most savvy when it comes to trying to bag a bargain on their new car with 85 per cent of those surveyed admitting that they would try to negotiate the best possible price with a salesperson for their new car.

Gender and age breakdown
Women are most likely to be ripped off - nearly two fifths of women (38 per cent) would never negotiate on the displayed purchase price of a car compared to three per cent of men. The under 25s are most likely to lose out when it comes to bagging a bargain with 67 per cent of those surveyed admitting they wouldn't haggle on the price of their new car.

esure offers motorists looking to buy a new car some money saving tips:

  1. Shop around for insurance before signing on the dotted line: drivers looking to buy a car should shop around for insurance quotes before putting a deposit down to see by how much their current premium will be affected and to check that it's affordable.
  2. Always haggle down the price: don't think that the displayed price tag is set in stone, especially in the current market. Always start with a low offer price and try to get some accessories such as new car mats or six months of road tax thrown in.
  3. Check the market value of your trade-in: if you're looking to trade in your old car then make sure you know its value before you start car shopping and consider selling it privately to get the most money for it.
  4. Find the right finance deal for you: whether it's a flexible personal loan or a zero per cent credit card, always spend time finding the best rates and type of finance for your car purchase before you step onto a forecourt.
  5. Set a budget and stick to it: always stay within budget and don't fall for the hard sell. If a salesman won't budge on price, be prepared to walk away rather than pay over the odds.

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esure's press contacts:

Asia Yasir, Public Relations Officer: 01737 641305
Niki Bolton, Corporate Communications Manager: 01737 235070
Emma Lloyd, Assistant Communications Officer: 01737 641309
Adrian Webb, Head of Corporate Communications: 01737 641000
Email: pr@esure.com
An ISDN line is available for radio interviews.
Case studies are available on request.

Notes to Editors:

  1. esure used the independent online research company Opinium research who surveyed 2,003 of the UK's motorists, from across the country aged 18 and over, between 5th February - 9th February 2010.

About esure:

esure was launched in 2001. The company offers car, home, pet and travel insurance over the internet and by phone. esure also offers car insurance cover through the brands Halifax, Sainsbury's, Sheilas' Wheels and more recently home and travel insurance through the Sheilas' Wheels brand.