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Insurance renewal premium

  BRYNIT 12:11 30 Dec 2011

Do you check your Insurance premium renewal or just pay the amount asked.

To day I decided to have a closer look at the renewal notice for my Home/contents insurance. After doing a few calculations I realised it had been increased by 18.9%, this seamed a little higher than expected and being a penny pincher decided to compare prices on line with the usual search engines. I found several that were lower than my last years premium with a lower excess.

I phone the insurance company to quarry the price and was told prices had to be increases. After stating I could get a better deal from another company I go a new quote cheaper than last years? funny I thought to my self prices had gone up not down, I said I would think about it.

After a short break I decided to do something I don't usually do and that is to log onto my insurance companies site and re enter my details to request a new quote. Due to the 20% off for on line quotes it was just over 15% cheaper than my last years premium?

I'm still missing something. Renewal quote more expensive due to price increase but can be cheaper than the years before if you quarry it and cheaper still if you apply on line? It does pays to shop around.

  hastelloy 13:49 30 Dec 2011

romanby1 is right. I always use the comparison sites to get a new quote. This year I have a new policy with the same company as last year but £50 (about 25%) less than the renewal quote.

See MSE for advice. I don't usually go past part 2 of step 2 (though I may try Direct Line and/or Arriva if I can be bothered) but do read on - particularly the comments in step 4.

  hastelloy 13:50 30 Dec 2011

Not insuring buses - for Arriva read Aviva!!!

The same is true for both house/ contents and motor insurance.

  iscanut 16:40 30 Dec 2011

I am not loyal. I usually cancel and then get quote from same company as a new customer ! Always works out cheaper and often a bonus gift such as Nectar points or Tesco points...There is no concession given by these companies for loyalty !

  Forum Editor 21:18 30 Dec 2011

Querying a renewal premium can be very revealing, especially if you have previously obtained an online quotation in respect of the same risk.

My wife had a similar experience to yours when she decided to query her car insurance renewal premium. After a good deal of discussion she managed to negotiate a reduction that was well worth the hassle. It seems to me that some insurers operate on the basis of 'let's give it a go - we can always reduce if the customer pushes hard enough'.

  carver 13:55 31 Dec 2011

I'm afraid that loyalty is some thing I can not afford now, I used to be a loyal customer with Direct Line until about 3 years ago when my house and contents went up by 30% in one year.

I managed to get a quote for £200, a third of the price Direct line wanted, ever since then I shop around for all insurance and as long as I get the insurance I need at a cheaper price that is what I go for.

At the moment I am with the post office and my renewal has just arrived this morning and that has increased this year by 25% but if I use their web site I can get the same insurance as a new customer 30% cheaper effectively a 5% discount just for applying on line.

Your right FE it just seems that they think of a price and wait to see if you can't be bothered to argue about it.

  BRYNIT 18:06 31 Dec 2011

  BRYNIT 18:19 31 Dec 2011

Mouse is playing up.

Well as it seems insurance companies try to get as much money as possible out of there loyal customers, not even offering them the price they could get via the web. From now on I shall start to look closely all quotes before accepting in the future.

  carver 15:56 02 Jan 2012

A little side note about insurance renewals, at the beginning of November we had new windows and new front door fitted, little did I know that according to my insurance company because I had not notified them my insurance cover with them may not have been valid.

It seems that because the old door and windows had been wood construction and I had replaced them with UPVC products I had altered the basis on the cover they had given me.

  spuds 16:51 02 Jan 2012

I mentioned previously when the subject of insurance came up on the forum, that it pays to read any new policies, don't just assume that the wording is the same for all policies and companies.

About three years ago, we changed our insurance company, and on receipt of the policy, it stated that we 'must have' at least two fire extinguishers available in the home. This is a clause I have never before, for a private dwelling, and I haven't seen it since.

  HondaMan 18:21 02 Jan 2012

Most insurance companies rely on people putting off renewinmg until the last moment by which time it's a feeling of, "Oh! Just renew it"

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