Insurance is a JOKE!

[p1nny]

I am just coming up to renewal time, Last years insurance with tesco = £1550. Renewal price = £1700! after a claim and conviction free year!

Got a quote from admiral for £600! That'll do me thanks! :bannana:

How can the difference be so HUGE!

 

[Setanta]

Try £400 v £2000 (from MB Insurance)

 

[Doodle]

It's even more hilarious when it's the same insurance company.

Last year, Aviva wanted £1k to insure my old Speed Triple. Exactly the same policy, via a broker...£470

 

[blaser24nig]

Same here, has a lexys IS250 with octagon insurance for 600 last year and come renewal time they quoted me 2250, I mean WTH is that all about....

 

[gtvlusso]

I am afraid that they are just trying it on in these hard times.....

My renewal with admiral was £520. Last year, I paid £470 and had 2 cars on the policy, we now have the one Mercedes and it has gone up! I looked at other quotes, but it was still the cheapest by far - so, begrudgingley, I paid it.

Apparently, insurance tax has gone up to 34% - can anyone verify this statement?! I am gonna google it later.

 

[Burger]

How can the difference be so HUGE!

Because it's a lucky dip with no rhyme, reason or logic to it. The premiums are made up by the caretaker in the company, or perhaps the boss counting how many times he can get his/her pencil to stick in the ceiling. It could also of course, and most likely is, a computer programme, except it was programmed by idiots and uses random number generation. It's total and utter nonsense as are the lame excuses for why premiums are increasing while the insurance companies are weaseling their way out of coughing up when they should. Just another example of the money grabbing lazy, blow you jack I'm alright, lame business culture of the UK.

And what do our government do about it? Pass a law that could require you to have even more insurance. You couldn't make this stuff up.

Hm... can you tell I'm not impressed?

 

[Charles Morgan]

There is one immutable lesson about insurance quotes - you have to shop around every year. If you stay you are demonstrating to the company that you have more inertia and can be charged more.

 

[MOCAŠ]

More Than have an interesting approach. They tend to send me a renewal quotation that is slightly higher than the previous year's premium (by less than 5%), then when I call them to renew, the amount is somehow automatically between £50 and £70 less than they quoted. This has happened for the past three years or so. Never bothered to ask them to explain it, but the cover offered by my policy hasn't changed in that time and I don't go in for the extras they usually offer (such as breakdown cover).

 

[davethemus]

I am afraid that they are just trying it on in these hard times.....

My renewal with admiral was £520. Last year, I paid £470 and had 2 cars on the policy, we now have the one Mercedes and it has gone up! I looked at other quotes, but it was still the cheapest by far - so, begrudgingley, I paid it.

Apparently, insurance tax has gone up to 34% - can anyone verify this statement?! I am gonna google it later.

it's 5%.

 

[trando]

Just renewed the insurance on my C63. Went from £ 570 with Aviva to £415 with Post Office and a lower excess... Barmy really but that's a big saving.

 

[Rayny]

IPT (Insurance Premium Tax) increased from 5% to 6% in January when VAT was increased.

Regarding renewal premiums :- What can happen is that an insurer will have reduced rates one year in order to attract a specific group (postcode/gender/age/car type Etc.).
The following year they may need to spread their risk exposure so will price their quotes accordingly for the renewals. If you contact your insurer/broker a couple of weeks after getting your renewal, but before the renewal date, you may find that they already have lost sufficient customers in your group that they can reduce your premium in order to retain your custom.

Shop around each year to get the best price, but also ensure that you are properly covered - Personally I find that I stay with an insurer for 2 or 3 years before having to move to get the best deal.

I am one of the money grabbing people of indeterminate parentage, and sometimes it even baffles me.

 

[Tony-B]

You could try the NFU i have never had any problems at all. a mate of mine wrote his car off and they paid out full no questions in a fortnight( did not even try knocking anything off car was insured £ 13K and thats what they paid out Thats service

 

[timskemp]

E270 was 600 ish with Royal Sun, went up to 700 odd but was competitive, last year they wanted 1200 but swapped to Bell for 700. Comparethemarket showed the C320 coming up at over 1200 for me on the C320 but MB quoted 950 with a 500 excess, Bell matched it on my current terms (100 quid excess) so I've stayed with bell.

 

[NOMONEYBUTAMERC]

Just renewed insurance on my 450sl. looking at recent threads i was expecting a sharp increase , particularly as my 27 yr old daughter is a named
driver .Premium from Lancaster , 4000 miles per ann. f.comp , with free green card , £141.00 . :bannana::bannana:

 

[Smiley]

Insurance is the same as any other business. Revenues have to be greater than costs otherwise the business goes bust. Right now costs are higher than revenue (your premiums in other words) because more money is being claimed - by US. And a big part of the reason that the insurers' bills are going up is because of bogus whiplash injury claims and accident managment companies taking the p*ss with expensive hire cars supplied over extended periods.

So fine shop around at renewal time but it is no good bleating about the price of insurance generally because we only have ourselves and the accident mgt companies that we think are great because they immediately deliver an e class courtesy car ( well I am "entitled to it dont you know) - we should all be saying no to the accident mgt companies, taking a responsible approach to the hire car and not taking every opportunity to screw a few more quid out of the insurer.

Then you will see your premiums come down.

 

[Deleted member 37751]

Insurance is the same as any other business. Revenues have to be greater than costs otherwise the business goes bust. Right now costs are higher than revenue (your premiums in other words) because more money is being claimed - by US. And a big part of the reason that the insurers' bills are going up is because of bogus whiplash injury claims and accident managment companies taking the p*ss with expensive hire cars supplied over extended periods.

So fine shop around at renewal time but it is no good bleating about the price of insurance generally because we only have ourselves and the accident mgt companies that we think are great because they immediately deliver an e class courtesy car ( well I am "entitled to it dont you know) - we should all be saying no to the accident mgt companies, taking a responsible approach to the hire car and not taking every opportunity to screw a few more quid out of the insurer.

Then you will see your premiums come down.

That all sounds very naive. Do you seriously think that they will bring prices back down when the world financial market is more stable?

Are these the same accident management companies that the big insurance firms have a financial stake in?

Part of the reason that 'whiplash' claims are spiralling is because of the insurers themselves. In the genuine cases, they drag their feet in a matter that will ultimatley lead to them paying out and the only real beneficiaries are the solicitors.

 

[del320]

There is one immutable lesson about insurance quotes - you have to shop around every year. If you stay you are demonstrating to the company that you have more inertia and can be charged more.

More Than have an interesting approach. They tend to send me a renewal quotation that is slightly higher than the previous year's premium (by less than 5%), then when I call them to renew, the amount is somehow automatically between £50 and £70 less than they quoted. This has happened for the past three years or so. Never bothered to ask them to explain it, but the cover offered by my policy hasn't changed in that time and I don't go in for the extras they usually offer (such as breakdown cover).

Quite so...

My renewal notice fell through the letterbox today - Saga via AA via Acromas. As in previous years their quote is "the lowest possible price" so I was therefore confident that, as in previous years, I would beat them down. Last year's opening gambit was £191.95, eventually reduced to £157.29 - thereby maintaining a satisfactory eight year downward trend.

Imagine my horror on reading a quote for £212.26 for the coming year! Trawling through the comparison sites, ensuring details were strictly like for like, I was unable to whittle off even £10 (ABC and Elephant). Even AA quoted another twenty odd quid.

Now on to the renewals department, where I spoke to genial Geordie John: Fibbing to him that "several companies were coming in under £200" cut no ice. His voice cracked as he informed me that AA was making zero commission on my policy and £212.26 was absolutely as good as it was going to get.

I offered him my sincere commiserations and renewed...

 

[AMG J]

If you're tempted by Admiral, and this policy would suit you - try their multi-car policy. My wife's A Class was with Admiral so I moved my C32 onto it. The C32 premium was £150 less than I could find elsewhere :bannana:.

 

[Smiley]

That all sounds very naive. Do you seriously think that they will bring prices back down when the world financial market is more stable?

Are these the same accident management companies that the big insurance firms have a financial stake in?

Part of the reason that 'whiplash' claims are spiralling is because of the insurers themselves. In the genuine cases, they drag their feet in a matter that will ultimatley lead to them paying out and the only real beneficiaries are the solicitors.

Nothing naive about it. It is quite simple; business revenue has to exceed costs it is not hard to work out. Right now they are paying out more than they receive due to increased claims.
It is not related to a world financial market - what has that to do with the competitive car insurance market in the UK?
And yes premiums will come down if claims come down - competition will make that happen.
Unless you think that the UK insurance market is one big cartel?

 

[davidjpowell]

Nothing naive about it. It is quite simple; business revenue has to exceed costs it is not hard to work out. Right now they are paying out more than they receive due to increased claims.
It is not related to a world financial market - what has that to do with the competitive car insurance market in the UK?
And yes premiums will come down if claims come down - competition will make that happen.
Unless you think that the UK insurance market is one big cartel?

Honest John had an interesting article about who owns many of these credit hire company / accident management companies. Allegedly it's the same Private Equity Companies who own big chunks of the insurance company.

If that really is the case, then they are getting two bites of the cherry.

I have just switched from a £24,000 car to a £1,500 car. It's cost me an extra £24 a year.

http://www.honestjohn.co.uk/news/tax-insurance-and-warranties/2011-01/aa-blames