To tell the insurance company to stick it if they don't give me their best price first time?

[SpanishChard]

I know it's normal practice, but it shouldn't be.

My house insurance renewal came through, it's gone up almost 25% from last year.

I spent 10 mins on the internet and saved £100. I didn't even go for the cheapest, a reputable company which gets good ratings and which I've used before and been satisfied with.

I phoned to cancel the renewal and they offered to match the other price. I didn't actually tell them to stick it, I was far more polite, but I did say if they can't offer me a fair price first time, I don't want to do business with them, which I realise probably rules out most insurance companies.

Why do insurance companies do this? If the increase had been 5% or less, I'd have probably just renewed. It must be easier for them to retain business than to gain new business?

Just done exactly the same except I could cancel online so didn’t even have to talk to anyone and they offer in their letter that they might be able to improve the price if I review my policy... buh bye...

YABU when you get your renewal it's just normal practice to phone them and they cut the price. Just like when your phone contract or sky contact ends, you phone and get a better deal.

@Allamericanreject

YABU when you get your renewal it's just normal practice to phone them and they cut the price. Just like when your phone contract or sky contact ends, you phone and get a better deal.

Yes, but only because they're hoping you won't and they'll get the increased rate. Otherwise, they're just creating work for themselves in dealing with all the costs. And we know the most vulnerable are the ones most likely not to query it.

Calls, not costs

I just got my car insurance renewal quote - for the first time ever it was less than the year before - nothing has changed in that time either

I think they rely on a lot of people not bothering to shop around and just letting it auto-renew. I'm not sure how it works with insurance, specifically but I know when I've worked for banks in the past, they definitely pushed attracting new customers over trying to retain existing ones. Not sure the logic behind it, perhaps it looks more impressive to the shareholders to be able to claim an 'x% gain in new business over the past quarter'.

Yanbu op its disgusting companies are allowed to do this especially when everything is set up to auto renew and you have to phone to speak to someone.
Really puts me off insurance companies too.
They would get my custom and be recommended if they kept the prices fair.

YANBU. They try it on massively. I think it should be banned and they shouldn't have best prices, they have all your details, they know your risk, they should have already calculated how much your insurance should cost, god knows why they all think it's ok to jack it up and hope you won't notice.

@Allamericanreject nothing in your post explains why you think OP is BU you're just restating her problem.

Is completely disgraceful. I have the same argument with Barclays every year. They put 20% on my premium and I call and get it taken off. Cheek ba**ards. I bet a huge number of people just pay up though

Meh..its a business. Your renewal is just an offer to renew at that price. If you are unhappy with it the onus is on you to shop around. I can understand why they do it, a percentage will not query and will renew automatically. Most businesses try to obtain the best price for their product, they are not a charity.

Tell them you're black/disabled/gay and ask why they were offering everyone else £300 and trying to charge you £400. Get their name and tell them you are reporting them individually and their company for illegal discrimination.

I do the same for any company who tries to auto-renew an annual policy. It's underhand.

They rely on inertia I think

they want to get you on the phone so that they can upsell additional coverage (legal costs protection/ no claims protection / breakdown cover / whatever)

@jcyclops

Tell them you're black/disabled/gay and ask why they were offering everyone else £300 and trying to charge you £400. Get their name and tell them you are reporting them individually and their company for illegal discrimination.

Don’t do this. The person on the other end of the phone has no control over what price was sent to you, they are just doing their job. I have to spend all day listening to the shit my DP - who is doing call work from home - gets from customers about things he can’t control. Don’t be that dick, and try to remember it’s just another human trying to do their job.

Think carefully before telling your existing insurer to stick it.

If you have to make a claim in the future for something you are currently unaware of it can cause considerable hassle getting various companies to agree who is responsible. Eg we needed to make a claim re a fitted kitchen which had been fitted some years ago, and we had to go through all sorts of hoops to go back and get all the relevant parties in agreement.

It would have been so much easier if we had consistent cover.

We’re currently 4 years into a subsidence claim so cant change even if we wanted to. I was sure our renewal would skyrocket because of it as we’re effectively trapped, but they’ve actually been quite reasonable under the circumstances.

They all do it so it doesn't matter who you switch to. I always call and get the price down.

YANBU, it's a shoddy practice. It's all very well posters saying that it's okay because you just have to phone up and get them to reduce the price, but what about people who for whatever reason can't do that? I am autistic and have great difficulty speaking on the phone. My dad is partially deaf and speaks English as a second language so has comparable difficulties.

It's designed to take advantage of people who forget, or have too many other things going on, or who aren't for whatever reason unable to challenge it.

Well done OP on politely telling them that you no longer wanted to do business with them because of it.

Oh god yes this is something that always gives me the rage.
Yes I understand that some people won’t bother to shop around and they will make a big profit from these customers. However isn’t this cancelled out by the increased admin for the leavers and costs of getting new customers?

I've just renewed our buildings and contents and it had only gone up £30 so I didn't quibble. We're also in a G2 listed house so getting quotes is far more difficult. We've been with this insurer for 4 years now and always found their renewals very good value for money.

On the other hand - I've been dealing with my late aunt's affairs as her executor and was disgusted to find her most recent car insurance renewal. She was with the RAC and had been for years and they wanted to charge her £1800 to insure a 12 year old Toyota Yaris. I am still steaming about this. When I have finished the paperwork and have some time I am going to complain a lot.

It’s effectively discriminatory against older/disabled/vulnerable customers (the fact that some old and disabled customers are perfectly willing and able to shop around and haggle doesn’t mean that it doesn’t discriminate against them as a class).

“Dual Pricing” is a practice whose days are numbered because the Financial Conduct Authority is taking an increasingly dim view.

They went from charging me £700 a year to £1400 I said no the girl on the phone wasn't surprised there was no reason behind the hike either they just doubled my premium I saidvits fine they dont want my business they could have just said they didn't need to give me a heart attack over it

Yep, I do the same.
Either do me the courtesy of your best price first or fuck right off.

One that sticks in my mind was my car insurance when we moved. DH's remained the same, mine with a different company went up £30. I asked why but didn't get much of an answer. Out of curiosity I ran a quote for my car to both old and new addresses and they were identical.

When renewal came I called them to cancel, they asked why and I told them because of the way they had treated me. They offered reductions, breakdown etc. I took great pleasure in telling them no and I've never gone with them again.

I also boycott Quote Me Happy. They have no calls centres and don't answer emails or tweets in any sort of time. Took me nearly a week to transfer a policy with them so god help anyone trying to sort out an accident.