Car insurance buyers urged to budget

Australian consumers have been urged to budget for big annual expenses like car insurance and registration.

Nila Sweeney, editor of Your Mortgage, argued that with interest rates set to rise over the coming 12 months, now is an important time to look at where savings can be made.

She urged people who are looking to compare car insurance to budget by putting aside a certain amount each month.

This will mean that "your credit card won't take the hit come premium time", she said.

Indeed, Ms Sweeney pointed to the need for consumers to set themselves realistic budgets that they will find manageable but also cost-effective.

"Get yourself a spreadsheet and list absolutely everything down to the last latte," she advised, adding: "This can be time-consuming but having this information enables you to make sound financial decisions about the future."

The tips come after an investigation by the Sydney Morning Herald found that insurance companies are likely to push through a fresh round of premium increases following a recent spate of natural disasters, including the Queensland floods.

This article is brought to you by Mozo – Helping you compare car insuranceADNFCR-1761-ID-800354409-ADNFCR