Insurance price rises

[MonsterMork]

Anyone else getting bottom-raped by their insurers for renewals at the moment? My bike insurance is due in three weeks, renewal price of 188 quid comes as something of a surprise given it was 92 quid last year! Same insurer, no changes in personal circumstances, bike or anything else. Tried all the comparison sites and they are coming up with similar numbers. Bunch of thieving expletives

RatherMiffedMork

[bungeejumper]

My wife's General Accident policy on a diesel Golf is up from £202 to £245 next month, which is a 21% increase. I'll probably do the meerkat thing, just to make sure we can't easily do better, but to my incurious eye it looks affordable enough not to be worth hassling about.

Funny, when I renewed my own GA policy last September, my premium on the Toyota was actually down from £271 to £251. There must be something new in the wind since the autumn?

Of course, it might just be that MM has tripped another 0 on his personal odometer? Aviva tripled my wife's premium when she passed one particular birthday - obviously, she wasn't in their target demographic any more. But it's odd that all the online quotes seem to be in synch for the poor fella. Let us know how it goes.

BJ

[Dod101]

Well one thing in the wind since the Autumn is the big increase in inflation and with insurance that can only manifest itself at a renewal date. Interesting that you mention General Accident. I did not realise that that was still an extant brand name, owned of course by Aviva.

Dod

[monabri]

My wife's diesel Mondeo quote has increased by 26% but shopping around gets the increase down to 18%.

(Labour & Material price increase on repairs + loan car hire cost charge increases...difficult to source parts means loan cars are on loan for longer).

[monabri]

Well one thing in the wind since the Autumn is the big increase in inflation and with insurance that can only manifest itself at a renewal date. Interesting that you mention General Accident. I did not realise that that was still an extant brand name, owned of course by Aviva.

Dod

One can still buy General Accident preferences shares.. 'GACA' & 'GACB' with pretty good yield on offer to offset these price rises!

https://www.hl.co.uk/shares/shares-sear ... -irrd-gbp1

[tjh290633]

Maybe your age has something to do with it? There seem to be thresholds which, if passed, lead to a rise in premiums. I have had it a couple of times and each time a change of insurer was the answer.

TJH

[MonsterMork]

Maybe your age has something to do with it? There seem to be thresholds which, if passed, lead to a rise in premiums. I have had it a couple of times and each time a change of insurer was the answer.

TJH

Unlikely. Despite my incredible handsomeness and boyish good looks I am in fact a mere 55 years young, so still within the insurers happy range.

MM

[bluedonkey]

Strange. My Direct Line motor insurance was lower on renewal a few weeks ago without any action on my part.

[Imbiber]

Strange. My Direct Line motor insurance was lower on renewal a few weeks ago without any action on my part.

Mine as well with Aviva, about £20 less IIRC

[richlist]

The Daily Mail carries a brief article today about rises in insurance premiums.....aged 50-64 average increase 16%. They suggest increases are due to rises in value of second hand cars and more expensive repairs. So, looks like many of us might expect a bit come renewal time.

[bungeejumper]

The Daily Mail carries a brief article today about rises in insurance premiums.....aged 50-64 average increase 16%. They suggest increases are due to rises in value of second hand cars and more expensive repairs.

Oh, those Daily Mail factoids. Tell me the old, old story. If my old crate is worth 20% more than last year, that shouldn't affect the cost of fixing it if it should ever get bent. (I am assuming, of course, that it isn't painfully reliant on scarce electronic components, the way that some modern cars are.)

Mind you, it might raise the insurance costs for anyone else who decides to write my car off.

BJ

[dealtn]

Both of my car and house insurance went down this year on their rollover renewal quote. Can't recall that ever happening before - and in an inflationary economy generally.

[Tedx]

My car and house renewals came in dearer, but not by much. The Meerkat made them cheaper and both providers were willing to price match.

But we're only talking a few pounds here.

[88V8]

My bike insurance ..

All three of our cars - Hagerty, Adrian Flux, John Lewis - came in a little dearer, but nothing worth speaking of.
And no noticeable effect when we both turned 70 last year.

Perhaps it's a bike problem... would a vintage bike cost less?

V8

[richlist]

Three of our cars insurance for 2022 vs 2021 came in cheaper......5%, 14% & 38%.....a total saving of £180.
On that basis I'm not to concerned about increases in premiums as it's only likely to return me to 2021 levels.

[Itsallaguess]

There was an important regulator-led rule-change to the private home and motor insurance market on January 1st 2022, where the Financial Conduct Authority ruled that insurers could not charge renewing insurance customers a higher renewal charge than the cost charged to a new customer for the same policy -

From 1 January 2022, new pricing rules introduced by the industry’s regulator, the Financial Conduct Authority (FCA), will come into force. The changes will mean that when existing home and private motor insurance customers renew their insurance policy, the price charged by the insurance provider cannot be more expensive than the price that they charge to an equivalent new customer for the equivalent policy.

We welcome and called for these changes that will remove excessive price differences in the premiums paid by some new and existing customers for the same policy.

Insurers could not have made these changes alone, as people buy their home and motor insurance from different sources, not just from insurers. This is why we had asked the Regulator to act to ensure that these rules apply whether you buy your home or motor insurance from an insurer, insurance broker, price comparison website or a retailer, such as a shop.

https://www.abi.org.uk/products-and-issues/topics-and-issues/important-rule-changes-to-the-pricing-of-home-and-motor-insurance/

When I renewed both my home and car insurance earlier this year, the above ruling meant that I saw a quite significant saving over my previous insurance premiums, but I did wonder if that saving might be a one-off whilst the insurance industry adjusted for the above ruling, and that premiums might then broadly rise again for all customers, old and new, to help re-establish potential lost margins due to the above rule-change...

Cheers,

Itsallaguess

[Dod101]

There was an important regulator-led rule-change to the private home and motor insurance market on January 1st 2022, where the Financial Conduct Authority ruled that insurers could not charge renewing insurance customers a higher renewal charge than the cost charged to a new customer for the same policy -

From 1 January 2022, new pricing rules introduced by the industry’s regulator, the Financial Conduct Authority (FCA), will come into force. The changes will mean that when existing home and private motor insurance customers renew their insurance policy, the price charged by the insurance provider cannot be more expensive than the price that they charge to an equivalent new customer for the equivalent policy.

We welcome and called for these changes that will remove excessive price differences in the premiums paid by some new and existing customers for the same policy.

Insurers could not have made these changes alone, as people buy their home and motor insurance from different sources, not just from insurers. This is why we had asked the Regulator to act to ensure that these rules apply whether you buy your home or motor insurance from an insurer, insurance broker, price comparison website or a retailer, such as a shop.

https://www.abi.org.uk/products-and-issues/topics-and-issues/important-rule-changes-to-the-pricing-of-home-and-motor-insurance/

When I renewed both my home and car insurance earlier this year, the above ruling meant that I saw a quite significant saving over my previous insurance premiums, but I did wonder if that saving might be a one-off whilst the insurance industry adjusted for the above ruling, and that premiums might then broadly rise again for all customers, old and new, to help re-establish potential lost margins due to the above rule-change...

Cheers,

Itsallaguess

I think there is not much doubt that it was a one off but if they are treating existing customers the same as new customers that is surely to the good. We also need to remember that the insurance industry will be affected in just the same way as others re inflation and increased accident numbers with motor insurance as we 'normalise' after Covid.

Dod

[MonsterMork]

My bike insurance ..

Perhaps it's a bike problem... would a vintage bike cost less?

V8

Already sort of vintage, bike is a 37 year old Yamaha VMax. The price last year was consistent with previous years, so no chance of it being a one-off special deal, but to have an increase of over 100% is just taking the absolute widdle

SkintMork

[88V8]

My bike insurance ..

Perhaps it's a bike problem... would a vintage bike cost less?

Already sort of vintage, bike is a 37 year old Yamaha VMax. The price last year was consistent with previous years, so no chance of it being a one-off special deal, but to have an increase of over 100% is just taking the absolute widdle

Yes, it is.

Vintage... was thinking more of the Sunbeam S8 that I once owned... have you tried phoning Adrian Flux?

V8

[Dod101]

My bike insurance ..

Perhaps it's a bike problem... would a vintage bike cost less?

V8

Already sort of vintage, bike is a 37 year old Yamaha VMax. The price last year was consistent with previous years, so no chance of it being a one-off special deal, but to have an increase of over 100% is just taking the absolute widdle

SkintMork

It sounds like they do not want your business but insures are usually reluctant to decline to renew as they could be seen to be putting you off the road so they quote a premium that you are unlikely to accept.

Dod