We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Tesco Car - Automatic Premium Renewal
Geoffo_M
Posts: 1,161 Forumite
I received my Tesco car insurance renewal today, and was surprised that they had changed from asking me to ring up and renew the policy to one in which, if they didn't hear from me, they would automatically take the payment using the CC I gave them last year.
I don't like this at all. They hadn't asked my permission to change to this automated payments system. I don't like them storing my CC data, and I don't like the idea of having to ring them if I decide to shop around for cheaper insurance.
Anyone else been affected by this?
I don't like this at all. They hadn't asked my permission to change to this automated payments system. I don't like them storing my CC data, and I don't like the idea of having to ring them if I decide to shop around for cheaper insurance.
Anyone else been affected by this?
0
Comments
-
I think if you pay by credit card you have to cancel the deal with the credit card company, not with the Tesco insurance company. If you don't cancel it will automatically take the payment." The greatest wealth is to live content with little."
Plato0 -
Yes, a number of insurers started doing this a few years ago - RBS Insurance (Direct Line et al) being one - they introduced a clause in the Terms & Conditions that allow them to take a Continuous Credit Card Authority and take the renewal premium automatically unless challenged. I also object to this, particularly given my aversion to CCCA due to the difficulties in positively cancelling them.0
-
lilac_lady wrote: »I think if you pay by credit card you have to cancel the deal with the credit card company, not with the Tesco insurance company. If you don't cancel it will automatically take the payment.
As post #3 - it's a 'continuous authority'. You can't cancel it with the CC company - you have to do it with the company (in this case Tesco) holding the 'authority'. Sensibly you do it in writing - and avoid entering one if at all possible.If you want to test the depth of the water .........don't use both feet !0 -
Budget is another one using automatic renewal. Took me 3 calls to get it removed with written confirmation from Budget.....0
-
I just rang them up (Tesco) and said I wasnt happy about them renewing it and wanted to go with direct line. Said they'd offered me a quote for 470 (but didnt specify what for
it actually didnt include my partner, direct debit monthly, OR breakdown but this is what they gave me for £470!)
So quite chuffed
saved meself about £150 I think. Just a shame I didnt say £420 really.. 
or £350, but I suppose you cant get ridiculous otherwise they MIGHT check up.
Also, he did say when I renewed it that it will be automatically renewed unless you ring up to cancel. I presume this was the case last year when I paid in a lump sum too. I don't like it but guess it's easy to remember to call them if you're aware of it, once they send the letter out to you.2008-2011: £23k of wins :eek:
2011 best win: my wedding ring
2012 best win so far: iPad 2!!!! Holiday to Austria (given to family member) :j also £100 & 2 wine cases
Thank you so much, all posters :beer:
0 -
I've cancelled my Tesco policy today. They asked why and I told them I didn't like the automatic renewal system. They didn't sound surprised. You're right, there are several operating in this fashion now; I found Barclays, Prudential and Churchill also. In the end, I've moved to Co-op (CIS). They told me they do not operate automatic renewal and do NOT hold on to credit card details. Reasonable quote as well, turned out less than Tesco Value0
-
Virtually all insurers are happy for you to opt out of automatic renewal if you request to at inception of the policy.0
-
Why not just phone up before the years insurance is due for renewalNo Links in Signature by site rules - MSE Forum Team 20
-
to be fair, they probably did that as a gesture of good will, rather than because of your threat to move to direct line, as tesco and direct line are all brand names of RBS Insurance (along with churchill, privilege prudential, NIG, UK Insurance, and various other brandings such as virgin insurance etc)schizometric wrote: »I just rang them up (Tesco) and said I wasnt happy about them renewing it and wanted to go with direct line. Said they'd offered me a quote for 470 (but didnt specify what for it actually didnt include my partner, direct debit monthly, OR breakdown but this is what they gave me for £470!)
.MFW#105 - 2015 Overpaid £8095 / 2016 Overpaid £6983.24 / 2017 Overpaid £3583.12 / 2018 Overpaid £2583.12 / 2019 Overpaid £2583.12 / 2020 Overpaid £2583.12/ 2021 overpaid £1506.82 /2022 Overpaid £2975.28 / 2023 Overpaid £2677.30 / 2024 Overpaid £2173.61 Total OP since mortgage started in 2015 = £37,286.86 2025 MFW target £1700, payments to date at April 2025 - £1712.07..0 -
I got stung £112 by the AA for road side assistance in the same way. When I took out the policy it had a massive introductory offer but the premium jumped massively the following year. They refused to refund me as I didn't realise that my credit card had been billed until too late :mad: More companies are doing this now. Beware!0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352.2K Banking & Borrowing
- 253.6K Reduce Debt & Boost Income
- 454.3K Spending & Discounts
- 245.3K Work, Benefits & Business
- 601K Mortgages, Homes & Bills
- 177.5K Life & Family
- 259.1K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards