Those looking to take advantage of cheaper continental petrol prices have been advised that while savings may be made at the pump, failing to take out adequate motor cover could leave their financial tank empty.

Such is the suggestion of Tescocompare, which has asserted that with soaring fuel costs in the UK, a large number of people may be weighing up the benefits of taking a touring holiday in Europe. However, while the kind of savings doing so may bring might seem attractive, the insurer urged people not to assume their car insurance provider will be there to protect them if they are involved in an accident while abroad. The group warned that, while research shows that price is the most important factor for 70 per cent of motorists looking for automobile cover, simply opting for the cheapest policy available may prove to be false economy when it comes to driving outside of the country.

It explained that while almost all providers offer some form of cover, many strip back the level of protection substantially for those driving abroad, meaning that people could find themselves left in the lurch when it comes to meeting repair costs for damage that would normally be covered automatically by the insurer. Some providers will only offer third-party cover for three days abroad, after which time responsibility lies with the driver to make sure that alternative or extended cover is arranged.

Failure to do so may result in people being left with repair and removal costs which put a heavy strain on holiday budgets. This in turn could well impact upon their ability to meet repayment commitments on items such as mortgages or personal loans.

However, Tescocompare pointed out that there are other insurers which offer fully comprehensive cover for 90 days for policyholders driving overseas, making such a scenario less likely. Such varying levels of cover were used to iterate the need to check the exact terms and conditions of individual policy agreements and arrange additional cover if necessary. The group insisted that opting to pay a little more for cover in the first instance could well deliver a long-term saving for those who planned to take their cars overseas.

Paul Baxter of Tescocompare explained: “Less expensive insurers may quote a low premium for the year, however when extra foreign cover is charged at a high rate, the savings made by drivers on the year’s premium are cancelled out by the add-on items. And while you may think third-party cover is enough, if you are involved in a shunt in a rural Spanish village, you’ll soon realise that having comprehensive cover is a necessity. Be sure to investigate all the policy details before you commit to a premium.”

For those who are looking to purchase a new vehicle, applying for a car loan may prove an effective way to raise the capital. In opting for this type of loan, people may find they are able to purchase fully comprehensive insurance before heading off on a summer holiday overseas. Meanwhile, for those who prefer to fly, Saga has recently commented on the dangers of driving while tired after research showed that 3.2 million people had driven home from the airport while fatigued.

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