Insurance tossers.

[Racing roadkill]

A little while back, one of my bikes got stolen. I had it insured, so I made a claim, and they paid out. So far so good. I got the insurance renewal quote through today. They’ve QUADRUPLED the premium. So doing some quick sums, the payout ( minus the excess ) came to 2/3 of the insured value of the bike. Add in the new premium increase, and it means there was a financial loss, on the bike, equal to the insured value of the bike, plus about 10 percent. So I called them, told them exactly what I thought of them, and switched the cover to a company that offer better cover, at 20 quid more than the pre theft premium.

 

[fossyant]

Move company. Co-op dont do this

 

[Globalti]

All insurers play these games. They probably have you down as a bad risk.

The other one is to sneakily increase your premium every year. Phone and threaten to take away your business and they'll cave in.

 

[ianrauk]

Yup, thats the insurance game for you. Bunch of shysters and crooks.

 

[Rooster1]

New customers, best price. Loyal customers, highest price.

 

[I like Skol]

A little while back, one of my bikes got stolen. I had it insured, so I made a claim, and they paid out. So far so good. I got the insurance renewal quote through today. They’ve QUADRUPLED the premium. So doing some quick sums, the payout ( minus the excess ) came to 2/3 of the insured value of the bike. Add in the new premium increase, and it means there was a financial loss, on the bike, equal to the insured value of the bike, plus about 10 percent. So I called them, told them exactly what I thought of them, and switched the cover to a company that offer better cover, at 20 quid more than the pre theft premium.

How many bikes have you had stolen in recent years (5-6yrs)? Any more than 1 and I could understand insurers thinking you were a bad risk.

I am also surprised that you are surprised. This is one of the most talked about scams there is. Everyone knows the game and you have applied the solution by not accepting the renewal so in fact they have not stiffed you at all. They insured you for an agreed premium, you accepted and then made a claim under that insurance which was paid out. This year they have made you a different offer which you found unacceptable, so you have moved on. I'm not saying it is right but it is the way it is, pay it if you want to, find an alternative if you don't.

 

[Deleted member 26715]

Insurance companies in the business of making money & paying their directors huge wages & shareholders dividends never!

 

[User269]

And even if you've never made a claim, never automatically renew any insurance policy.

 

[subaqua]

And even if you've never made a claim, never automatically renew any insurance policy.

Unless it’s cheaper than last years ...

 

[lane]

Had three bikes stolen and claim experience through John Lewis was good. However on renewal, as expected, insurance premium increased but not by a really stupid amount. Stayed with them because they offer the cover I want, and once I have three bikes stolen I guess all insurance companies will put the premium up. Putting it up quadruple is bonkers though.

 

[Deleted member 26715]

And even if you've never made a claim, never automatically renew any insurance policy.

Should be illegal for any insurance company (car/house/bike/life) to be able to automatically renew your policy

 

[I like Skol]

Should be illegal for any insurance company (car/house/bike/life) to be able to automatically renew your policy

Agree with this. Some companies will not even allow you to demand non-automatic renewal which gets my goat.

IMO it should not be allowed as @Phaeton says, but to prevent people being left accidently uninsured the companies should be forced to renew at the previous years premium (and not a gimmicky penny more) in cases where they have been unable to make contact with the policy holder.

 

[Paulus]

Insurance companies in the business of making money & paying their directors huge wages & shareholders dividends never!

Indeed. All insurance companies are there to make money. it doesn't matter what is insured, the company is in business to make money.
They may make out they are there to help you out, and in the first place they are, but they will all recuperate the loss by increasing the premium.

 

[glasgowcyclist]

A rise in premium after a claim is only to be expected; after our break-in, our insurance premium doubled. We were happy with how they handled the claim though, even paying out to maximum single item value on jewellery that we'd no idea was very valuable (inherited) so we had effectively underinsured. That was Admiral then we moved to Halifax for the same premium we'd paid before the theft.

In June we lost some slates off the roof and the repair work was quoted at ~£800. Called Halifax and let them know the situation and the woman asked me for the date of storm damage. Two minutes later she came back having confirmed the wind speeds were high enough on that date (Storm Hector??) and said, "I'll transfer the money for you now, what's your account number and sort code?"! I was shocked and asked whether she wanted me to get other quotes but she said if I was happy with the quote and trusted the person giving it to do a good job then it was up to me.

We had a laugh at how shocked I was by the ease of settlement.

I'm in no doubt my premium will jump but I'll just do what I do every year and shop around before it's due.

 

[IanSmithCSE]

Good afternoon,

I have a lot of experience in private car insurance, rather less in bike insurance and the numbers aren't what you might expect, if the underwriters get it right 20% of your premium funds the operation and profit of the insurance company, the other 80% goes out in claims.

If they get it wrong then there is a loss, there is no cosey cartel on a yacht somewhere.

To make it worse many insurers buy customers, that is the premium they offer you as a new customer is loss making.

Insurance is an overly competitive business, prices are skewed by providers offering policies at a loss in the same way as printers are sold a a loss and ink and toners sold at prices to compensate for that loss.

Bye

Ian