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  • FIRST POST
    VickySim
    Increased car insurance premiums after a no fault claim
    • #1
    • 29th Aug 10, 2:31 PM
    Increased car insurance premiums after a no fault claim 29th Aug 10 at 2:31 PM
    Earlier this year while I was inside my home, a driver reversed into my parked car outside. He waited, gave his details and a claim was made and settled to repair the damage he caused.

    My insurance renewal has now come through 90 more expensive than last year. I've been online to search other providers and out of curiosity got prices where I declare my no fault claim and also without.

    Despite having 9 years no claims protection almost every insurer will charge me more when I note the no fault claim. My current insurer (Elephant) have argued that despite me paying them for no claims protection last year and not being at fault, the premium will still be higher because I've had to claim. They didn't even pay a penny because all costs were fully recovered.

    How is this fair? What is the point of protecting your no claims and being honest when you still get penalised?? And how can you avoid this?
Page 1
    • Quentin
    • By Quentin 29th Aug 10, 2:37 PM
    • 29,387 Posts
    • 13,675 Thanks
    Quentin
    • #2
    • 29th Aug 10, 2:37 PM
    • #2
    • 29th Aug 10, 2:37 PM
    You are mixing up no claim protection and premium increase.

    Your NCD is unchanged.

    Your premium has increased because your history (and therefore your profile) has changed - a no fault incident on your recent history makes you more of a risk (in their eyes) than no incidents at all.
  • mikey72
    • #3
    • 29th Aug 10, 2:44 PM
    • #3
    • 29th Aug 10, 2:44 PM
    It is a mistake to believe that the premium won't rise.
    As Quentin says, the insurance company will protect you NCD, and then sustantially raise the premium they are applying the discount to.
    The same would happen if you have a fault claim.
    On paper, you would keep the same discount, but your premium it was applied to would raise by several hundered pounds behind it.
    Do a quote based on a fault accident with a protected no claims, and one without for a comparison as well.
  • Duncombe
    • #4
    • 29th Aug 10, 4:31 PM
    • #4
    • 29th Aug 10, 4:31 PM
    I still think insurance companies pick numbers out of the air when issuing quotes.

    My premiums come back cheaper when I declare the one accident I have had, than when I dont.

    Ridiculous
    • savemoney
    • By savemoney 29th Aug 10, 4:36 PM
    • 12,703 Posts
    • 11,305 Thanks
    savemoney
    • #5
    • 29th Aug 10, 4:36 PM
    • #5
    • 29th Aug 10, 4:36 PM
    I have 9 years nocd too but had a claim in Nov due to a driver hitting my stationary car outside my house. I got Protected no claims but I fear come renweal time my insurance will still go up
    • Banana-Man
    • By Banana-Man 13th Mar 12, 3:19 PM
    • 13 Posts
    • 5 Thanks
    Banana-Man
    • #6
    • 13th Mar 12, 3:19 PM
    No fault claim increases esure premium 10%
    • #6
    • 13th Mar 12, 3:19 PM
    Had a no fault accident in Sept 2011. The at fault driver's insurance, LV, sorted the repairs and provided a hire car. I also had to claim for around 350 of lost earnings etc but they finally covered it.

    I received renewal quote from esure this morning and it doesn't show the details of the accident. I called LV to see if I need to tell my insurer, esure. They said I should notify esure. I asked LV if they would cover any renewal premium increase. They said "No". I argued that as any premium renewal increase would be a direct loss to me as a direct result of their policy holder's actions, then LV would be liable. They said I could send them a letter....or better still write to the Ombudsman. I prefer more direct action.

    I contacted esure and "notified" them of ther accident. Kerching! 10% premium increase. OK, only about 25 but hey, why should I pay that.

    I've written to LV to see whether they are prepared to cover it or whether I need to pursure their policy holder directly. I'm thinking about doing both. The more people upset with LV for shirking their liability the better. I doubt their policy holder will renew with LV when he finds out they haven't fully settled the claim and he's got to waste time dealing with me.

    As for esure....well I guess everyone should note that non-fault claims will increase your premium by 10%. If you don't want that possibility then find an alternative insurer that doesn't penalise non-fault drivers.

    Does anyone have a list of insurers that don't load premiums for non-fault accidents?
    • starrystarry
    • By starrystarry 13th Mar 12, 6:40 PM
    • 2,343 Posts
    • 5,088 Thanks
    starrystarry
    • #7
    • 13th Mar 12, 6:40 PM
    • #7
    • 13th Mar 12, 6:40 PM
    I don't think you can state that eSure increase premiums by 10% for everyone who has a non-fault accident.

    I'm with eSure. I had a non-fault accident in Jan last year but my renewal in August went up by tuppence ha'penny. It was such a small increase I can't even remember how much. Certainly not 10% anyway.
    • vaio
    • By vaio 13th Mar 12, 7:05 PM
    • 11,909 Posts
    • 8,837 Thanks
    vaio
    • #8
    • 13th Mar 12, 7:05 PM
    • #8
    • 13th Mar 12, 7:05 PM
    and 10 ish years ago elephant loaded me for a non fault by about 50% (from memory 200 up to 300).

    I managed to recover it from the at fault party
  • mikey72
    • #9
    • 13th Mar 12, 8:48 PM
    • #9
    • 13th Mar 12, 8:48 PM
    I don't think you can state that eSure increase premiums by 10% for everyone who has a non-fault accident.

    I'm with eSure. I had a non-fault accident in Jan last year but my renewal in August went up by tuppence ha'penny. It was such a small increase I can't even remember how much. Certainly not 10% anyway.
    Originally posted by starrystarry
    But, it may have actually gone down if you hadn't had the accident, with your increase in ncd.
    • starrystarry
    • By starrystarry 13th Mar 12, 9:30 PM
    • 2,343 Posts
    • 5,088 Thanks
    starrystarry
    But, it may have actually gone down if you hadn't had the accident, with your increase in ncd.
    Originally posted by mikey72
    Nah, I've already got a gazillion years NCD anyway, another year wouldn't have made any difference.
  • LBradley1989
    The existence of any claim will increase the premium (albeit a non-fault considerable less than a fault claim).

    The reasoning behind this is that for better or worse insurance premiums are calculated via a risk assessment which relies on statistics. Basically they'll re-check all your details and see how much they've had to pay out on similar details across the board.

    Generally, those that have non-fault claims are more likely to claim themselves. Also bare in mind that if you have been involved in an incident then it could be seen that you're driving on 'risky' roads.

    Using a common sense approach it's unfair, but statistically it's sound. Unfortunately there's nothing you can do to prevent this sort of thing but certainly get on a price comparison and come back to your insurer with the lower price. The available discounts for retention aren't great, but sometimes they can help push it down that little bit extra.
  • the voice
    I have a more extreme example of being ripped off by an insurance company:

    I took out a policy with Sabre Insurance via online broker, bewiser.com. I was contacted a few days later and asked about a incident I had registered in March 2010 and not declared during the inception interview. I explained that it was purely a 'notificiation' to report that my unoccupied parked vehicle had been damaged (dented door) in a car park and that I had decided not to make a claim because CCTV had not identified the offender and the repair costs would have equated to the excess I would have paid. I argued that I had answered the questions asked during the inception honestly and accurately i.e. that I had not made any claims, had any accidents or been convicted in the last five years. Sabre decided that, despite being 30 miles away from my carefully parked car when it was damaged, my accident risk level had increased to such an extent that a 20% increase in my premium was warrranted!

    I entered into a lengthy and relatively bitter dispute with the insurance broker and put up such a forceful argument that they waived their administration fee and covered some of the increased premium.

    My advice would be to never notify your insurer of any 'incident' similar to mine unless you are sure there will be a related claim made. Also, please steer clear of Sabre Insurance - they don't deserve your custom.

    the voice
    • vaio
    • By vaio 23rd Mar 13, 11:21 PM
    • 11,909 Posts
    • 8,837 Thanks
    vaio
    what you showed them is that you are in the habit of parking where "hit & run" drivers play which makes you more of a risk and hence attracts higher premiums.

    Normally the proposal questions would have required to to tell them about the incident, sounds like there was some doubt about whether they were asked properly but I wouldn't rely on the same happening in future so you'll need to declare the incident to future insurers as you'll be on the CUE database
    • thenudeone
    • By thenudeone 25th Mar 13, 12:45 PM
    • 4,400 Posts
    • 1,905 Thanks
    thenudeone
    I've written to LV to see whether they are prepared to cover it or whether I need to pursure their policy holder directly. I'm thinking about doing both.
    Originally posted by Banana-Man
    I'm not sure why this old post has been resurrected but here goes-

    If you try to claim from the policyholder, the policyholder is contractually bound to let the insurer handle the matter and is prevented from trying to defend the matter themselves.
    If you were to take the policyholder to court and won, their insurer is legally bound to satisfy the judgement.
    The insurer knows that, but is just trying to put you off, because very few people try to claim for increased insurance costs following a non-fault accident.

    Do you have motor legal cover / Uninsured loss recovery cover? If so - get them to do the legwork.
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