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AIBU?

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Original poster

Car insurance, is this right?

49 replies

JunoMacGuff · 11/02/2014 12:58

I have just updated my address on my car insurance policy, as we have moved house.

All I have done is changed the address, and the 'number of cars in this household' has gone down from 3 to 1.

My policy has gone up by £5 a month? What? How is this right? Have I made a mistake? Is this normal?

OP posts:
Magix · 11/02/2014 12:59

This happened to me me when I get married I phoned to change my name and marital status and my premium went up £15 a month !! ShockShock

I cancelled it and ended up getting a better deal elsewhere .

Original poster
JunoMacGuff · 11/02/2014 13:00

Can I do that? It just seems insane, why on earth am I having to pay an extra £60 a year?

OP posts:
Original poster
JunoMacGuff · 11/02/2014 13:01

Also Shock Hmm at it going up because you changed your marital status.

INSURANCE IS BIZARRE

OP posts:
PeterParkerSays · 11/02/2014 13:01

That sounds normal as the new address will have a different level of risk, in terms of car crime etc. than the old one.

Giraffeski · 11/02/2014 13:02

Is it because the insurance on the other two cars have not been updated?

Writerwannabe83 · 11/02/2014 13:03

I definitely know that location plays a role in car insurance - it was my understanding that they assessed this aspect on likelihood of car to be stolen/vandalised Hmm

Maybe your Insurance Company doesn't favour your new location....

Katz · 11/02/2014 13:05

more cars in the household will decrease the risk of this car being in an accident as it will be driven less, so going from 3 to 1 will increase the premium, it worked the other way for us we saved £50 on one policy when we got a second car.

Original poster
JunoMacGuff · 11/02/2014 13:07

The new location is in a 'nicer' place than the last one.

3 cars were in the last household, but this didn't decrease the frequency of the cars being driven? As in, there were 3 adults with a car each. Now there are 2 adults with one car.

The other two cars have up to date insurance, but not at my new address. They are still at the old address.

OP posts:
Original poster
JunoMacGuff · 11/02/2014 13:09

So it can only be based on location?

Even though the crime rates in our new area are lower than the previous area (very, very slightly..)

OP posts:
specialsubject · 11/02/2014 13:12

insurance post-coding is a very black art. Shop around at next renewal.

BTW if you no longer live at the old house but the cars have moved, you must change the insurance on the other cars RIGHT NOW. If you crash one of them you may not be insured.

don't forget to send off all the V5s too.

KenAdams · 11/02/2014 13:12

Peoples real cars from nice areas - better cars.

Insurers also have to spread their risk, so if they have insured too many people in your demographic, they would increase premiums of anyone who is to be insured in that group as it's more risk to them.

CasperGutman · 11/02/2014 13:13

The new location is in a 'nicer' place than the last one.

But in some cases a nicer place may attract car thieves to come looking for the nicer cars!

Original poster
JunoMacGuff · 11/02/2014 13:15

Special the other cars (and owners!) haven't moved.

Ken So, they can put my premiums up purely because I have moved house, because they have insured too many people in my demographic since I took out the policy? That's not at all fair! I took out the policy agreeing to the amount.

OP posts:
OddFodd · 11/02/2014 13:15

If there were 3 adults with a car each at the old house and now 2 adults share a car, then presumably the use will increase? Confused

I'm also a bit confused why the other cars aren't moving :o

Original poster
JunoMacGuff · 11/02/2014 13:17

Casper Possibly.. the two areas aren't really any different, the cars are of a similar calibre in both. But I guess they don't know about that.

This area is slightly nicer, as in it has a really posh estate across the road with £1m+ houses. If I was stealing a car, I'd steal one from down there. Jags and Audis and Porches Wink

OP posts:
Original poster
JunoMacGuff · 11/02/2014 13:19

odd

We lived in a house with 4 adults.
3 of those adults drove, and owned a car each.
2 of those adults (one driver, one non driver) have moved out and got a new house.
They've taken their one car with them.

The use won't change at all. And the other cars aren't moving as the other car owners aren't moving.

OP posts:
jacks365 · 11/02/2014 13:19

juno irrespective of how the 3 cars were used going from a household of 3 to a household of 1 will increase premiums. Insurance works on odds and the odds are that a 3 car family won't drive each car quite as much. Put it this way you've benefitted insurance wise from the other cars while you lived there.

ifyourehoppyandyouknowit · 11/02/2014 13:19

I'm guessing you and your partner have moved out of a shared house of some kind?

We moved to a nicer area, but our insurance went up because a) the postcode for the area comes up as 'not quite so nice' as the area looks and b) the car was previously in a licked communal underground garage, now it is on a driveway. It would have been even higher if it had been parked on the street. Lots of things alter the cost of insurance, so it's unsurprising that your policy has gone up. Change provider next time it's up for renewal and you'll probably get a better deal.

Original poster
JunoMacGuff · 11/02/2014 13:22

hop that's right.

But we had a private driveway before, and still do now. And the areas are basically the same in terms of affluence/crime levels.

AND we only lived in the previous address for 6 months. Prior to that, we lived in the same situation we do now (2 adults, one driver, one car household) and we had on street parking. Premiums didn't change when we moved that time?

Obviously the insurance company know something I don't.

Can I cancel my policy?

OP posts:
OddFodd · 11/02/2014 13:22

Ah - well in that case, basically what jacks said. You've done well out of a houseshare!

PatriciaHolm · 11/02/2014 13:24

Normal, I'm afraid. There will be a complex algorithm determining your rate, based on many elements including postcode and other cars in the household amongst many other things.

Original poster
JunoMacGuff · 11/02/2014 13:25

It wasn't a houseshare - we moved in with my parents for 6 months to save up the remainder we needed for a deposit for our now home.

So we lived in a flat for 6 years, and parked on street. One car, one driver. Premiums were £40 a month.
Moved into parents house for 6 months, 3 cars, 3 drivers (we didn't share each others cars) and parked in a private drive. Premiums £40 a month.
Move into new home, and private drive. One car, one driver. Premiums are £45 a month.

OP posts:
ifyourehoppyandyouknowit · 11/02/2014 13:25

It'll probably be about the postcode.

We struggled to get decent contents insurance when we lived in a flat because it had a flat roof and was a flood risk. Insurance company were not bothered that we were on the second floor of a block 8 flats high. It was still classed as a flat roof problem.

Computer says no.

Original poster
JunoMacGuff · 11/02/2014 13:25

So can I cancel this policy? Or do I have to wait until October?

OP posts:
PatriciaHolm · 11/02/2014 13:27

You probably can cancel, but there will be a fee and you won't get the total pro-rata fees back (e.g if you cancel six months in, you won't get the other six months back; if you cancel after 10 months you are unlikely to get any back)

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