MARTIN Lewis has revealed the genius way you can get £500 off your home insurance for free by buying on a specific date.
The 51-year-old took to his Money Saving Expert website to inform homeowners of the incredible hack that could also halve car insurance.
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Martin explained the handy tip on his Money Show Live on Tuesday, and viewers were left stunned.
“Now it’s important to understand with insurance, just like with comedy… timing is everything,” he shared.
The money expert urged homeowners to look for quotes around three weeks before your renewal is due and it could halve the cost of your insurance.
He advised customers to get quotes around 21 days before their renewal is due.
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He then displayed a graph that depicted the average quotes for car insurance across a period of days running up to the renewal date.
“Now, we run 18 million quotes – I’ve updated this a few times over the years, to see exactly how the prices change. This isn’t about renewal quotes. This is about going to get new quotes to see if the price is cheaper in the run-up to your renewal date,” he said.
“As you’ll see, it starts to drop at around 30 days, you get into the sweet spot around 3 to 4 weeks before.
“It bottoms out at exactly 23 days – but, you know, let’s not play that, this is averages – and then the price starts to rise and rise and rise and rise,” he added.
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Martin went on to explain that for someone who is paying £700 if they get their insurance on the day of renewal – if they get a quote elsewhere, they’ll be paying £1,200.
“So, what everybody needs to do is get in your diary that 23 days before renewal, because that’s the actual sweet spot,” he said.
“My general message: car 23 days early, home 21 days early, but for both three to four weeks before, I mean, it doesn’t make that much difference. That’s what you need to be doing,” he added in his helpful message.
However, some of the audience were left baffled as to why insurance becomes more expensive towards your renewal date.
“We go back to risk. The type of people who leave getting quotes to the last minute before their renewal are the type of people who are high risk when it comes to home and car insurance and make more claims,” the money expert explained.
“So, what you want to do is you’re effectively by doing this on the right timing, you’re saying to the insurer: ‘Hi, I’m not going to be making a claim over the next couple of years, so you can trust me and charge me a lower price.'”
One ecstatic customer, Krishna, who had tried the method for herself wrote to Martin to share her incredible success story.
“I was a non-believer till last week. My quote went down from £1,500 one month before insurance expiry to an unbelievable £650 21 days before. Thank you so much,” she said.
It comes after the expert revealed a “naughty” trick that could see you and a pal nabbing a free £100.
He also issued advice on how you can get paid to turn off appliances this winter – while saving over £50.
The Demand Flexibility Service (DFS) allows households to use less electricity than they normally do during certain hours and get paid for the difference.
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The Money Saving Expert shared an urgent warning earlier this week to everyone auto-renewing their car insurance as they face bills rising by hundreds of pounds.
And Martin also revealed a trick that could see you land a whopping £500 in your bank account from energy companies.
