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to stop paying for boiler/pipes/electric insurance?

(14 Posts)
clam Thu 11-Aug-11 14:10:29

Just checking out the finances and realised that we're paying 400 quid a year in premiums to cover breakdown in these things. With the exception of an annual boiler service from British Gas, we've never had to claim (luckily).
Am wondering about putting the money aside into an account (or taking any necessary bills from savings) and using it if required.
Is this foolish? What do other people do? And how much would an 'independent' boiler service/check cost?

Takitezee Thu 11-Aug-11 14:15:30

We've always put money aside for emergencies rather than have insurance and have plenty sitting in an account waiting.

We just have an annual service. I can't remember the amount but £80 plus VAT seems to be springing to mind.

JazzAnnNonMouse Thu 11-Aug-11 14:15:54

Sounds like a much better idea imo - £400 a year is quite a bit if you never use it and whilst you could get a heavy bill one year if something goes wrong - you will probably have saved quite a bit of money in the long run. As long as you can afford the one off payment for repairs then I really wouldn't bother HTH

cat64 Thu 11-Aug-11 14:20:51

Message withdrawn

AuntiePickleBottom Thu 11-Aug-11 14:23:09

would you save the money, or use it for other things.

I am crap at saving, so wouldn't even tempt to cancel any insurances

Saltire Thu 11-Aug-11 14:25:03

I'm thinking of doing the ame, although we ahve had a couple of claims on our gas insurance ( we rent our house out) but on more than one occasion I was told by British gas that the payments also ensure that I get a new boiler "free" and this is not the case it seems.

Groovee Thu 11-Aug-11 14:25:48

It sounds a better idea. To be honest most of the times you do try to claim for something you get told "you're not covered for that!" an end up out of pocket anyway

clam Thu 11-Aug-11 14:28:52

We could absorb emergency repairs, yes, if necessary. So am not certain that we'd actually set up a specific account.
And re: letting a house out, I think you have to have certain certificates and suchlike (for which they charge a fortune if you're not a customer)

Saltire Thu 11-Aug-11 14:31:29

We do, we ahve to have gas safety check certificates etc. but I could get those done by some who was gas registered. I just feel that paying £46 a month for the insurance and have now been told by BG that it'll cost over £3500 to replace boiler with no discount (even though been a customer for 10 years) is a bit much. I could put that much away every month and still have nough to cover yearly certificates and bills

niceguy2 Thu 11-Aug-11 14:35:04

Hi Clam

I think your idea is sound if you have enough savings to cover say a new boiler or a plumber to fix pipes.

It's what I do. I don't see the value in paying for all the insurances. Where do you stop? Everytime you buy practically any electrical item, you are offered insurance.

Save the cash instead and use it to "self-insure"

LadyThumb Thu 11-Aug-11 15:23:41

The only thing I have insured is from the mains in the pavement to my stop cock, because our water pipes go UNDER the house.

northerngirl41 Thu 11-Aug-11 15:27:12

Yeah - we have insurance for stuff which we couldn't afford to replace all in one go. So my car is insured, the house/contents is insured and the washing machine which breaks down every couple of months is insured (and I reckon I am WELL ahead of the deal on that one!).

Not unreasonable at all to cancel these insurances - what actually have you claimed on them in the past 5 years?

DeWe Thu 11-Aug-11 15:29:11

Could you transfer it to me? We've no hot water and have to get rid of the wasp nest in the loft before anything can be done.
In 8 nearly 9 years of having our own house this is, I think, the first time we've had to call gas out, (except for service) plumber, perhaps 2-3 times (but we have a lovely chap who's very cheap) and never electrics so in our case insurance wouldn't be worth it.

clam Thu 11-Aug-11 15:48:13

Well, THAT was interesting! Phoned to cancel the plumbing and electricic cover, and they've offered to reduce payments from £27 a quarter to £10 for one, and from £17 per quarter to £5 for the remainder of the agreement term (2 quarters)!
Just like that! Will cancel next March/April time then. Worth a free phone call, anyway.

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