Motorists planning to buy a new vehicle should obtain a car insurance quote before signing any agreements, warns insurer.

Insurance provider, esure said this would help people pay less for insurance and drivers can also determine whether they can afford the premiums, if, for example, they choose to buy a higher-performance vehicle or upgrade on their previous model.

The advice follows a recent announcement by the car insurance company that this was the best time for motorists to shop for a new vehicle as many dealerships are slashing prices in an effort to increase new car sales.

esure, s head of risk and underwriting, Mike Pickard commented: “With a recent fall in demand for new cars crippling the car manufacturing industry and a slide in the value of the used car market, now could be one of the best times to buy a car.”

He added: “… whether it's bargaining on the forecourt or shopping around for the right finance and insurance deal, spending an hour or two researching the options available could make a real difference to your wallet - particularly in such a strong buyers’ market.”

The insurer emphasised the need to shop around for best deals in car finance and insurance when buying a new car. Haggling down the price and approaching different vendors, from dealerships and private traders to car auctions can help save money.