Automatic renewal mugging

dunstonh

. Autorenewing means you're giving money away.

No its not. The majority renew with the same provider. So, doing less work saves time and money for those people. If you dont want to renew, then auto renewal isnt going to stop you.

lisyloo

Have to say my folks are 81 and 82.
They can't easily shop around because they don't have internet, plus lots of companies won't accept drivers above a certain age.
They find paperwork very difficult at their age, because of sight issues (that don't affect driving) and just difficulty understanding it all.
I do keep an eye on their affairs (check they aren't overpaying) but it suits them great just to have it renewed.
I make sure they are with a decent company in the first place mind.

Despite being very forgetful, Mum is very good with money.
Old folks can be absolutely fine with familar tasks, but find change very difficult.
So it DOES suit some folks regarrdless of the morals or reasons from the insurers side.

Mr_K

dunstonh wrote: »

No its not. The majority renew with the same provider. So, doing less work saves time and money for those people. If you dont want to renew, then auto renewal isnt going to stop you.

Wrong Dunstonh old chap. I saved £90 by not autorenewing with the premium given. Took a 2 minute phone call. Unless you're on more than £45 a minute, its 2 minutes well spent. Point is, most don't realise they can get a lower premium by challenging the premium or changing provider. Autorenew is designed to make this less likely.

Mr_K

lisyloo wrote: »

Have to say my folks are 81 and 82.
They can't easily shop around because they don't have internet, plus lots of companies won't accept drivers above a certain age.
They find paperwork very difficult at their age, because of sight issues (that don't affect driving) and just difficulty understanding it all.
I do keep an eye on their affairs (check they aren't overpaying) but it suits them great just to have it renewed.
I make sure they are with a decent company in the first place mind.

Despite being very forgetful, Mum is very good with money.
Old folks can be absolutely fine with familar tasks, but find change very difficult.
So it DOES suit some folks regarrdless of the morals or reasons from the insurers side.

Thats absolutely fine if autorenew suits you, but you should have the option to opt out.

dacouch

If the majority of people did not just renew with the same Insurer tand shopped around then people who change each year would find their premiums increase...

lisyloo

Point is, most don't realise they can get a lower premium by challenging the premium or changing provider.

I agree but why would you expect a car insurer to make it easy?
If you went to a car dealer, they wouldn't tell you to get cheaper prices elsewhere would they?
Similarly if you went to a bank for a mortgage, they would not direct you elsewhere?
or a supermarket?
or any other business come to that.

Thats absolutely fine if autorenew suits you, but you should have the option to opt out.

Why do you think you have the right to dictate to private businesses how they run their admin? You simply don't (that's a fact and not my opinion of the way some imaginary utopian world should be).

I don't like the way RyanAir do things.
Charges for cards, charges for baggage, even suggestions of charges for the toilet.
I can't make demands.
I can only choose not to travel with them and give someone else my business.

Why don't you give your business to companies that don't do auto renew or make it easy for you to opt out?
Surely that's a decision of conscience and something you have to weigh up against your saving of £90.

If people in general felt that strongly then they wouldn't go with these companies and it would be stopped, but that hasn't happened has it?

DCFC79

Mr_K wrote: »

This forums getting a bit harsh. We're turning increasingly into Americans.

The main problem is that your renewal notice could get lost or not be sent. Or the the insurance company could deny you ever ringing up to cancel - either through admin error or deliberately. You could then be left with 2 policies and a charge/hassle for cancelling one. You could have moved, not have a car, you could have cancelled the card (but it can still be debited) and you might not know about it untli you've a black marker on your credit record.... Yes you should have informed the insurance company about any of these but many forget. If you renew each year this would be a reminder to update/review you details plus try and get a better quote.

If you want reassurance by all means use autornewal, but you should be able to opt out on the understanding that you're taking responsibilty for your cover. I'd guess they still remind you a few times if you were paying anew each year.

but you shouldnt be relying on the insurance company to send out a renewal, my ins co didnt send me a renewal but then ive made a mental of when my insurance or at least the month its up for renewal so i check my copy of the docs and take it frm there. Its very easy to write on a calender/diary when various insurance is up for renewal,

DCFC79

Mr_K wrote: »

Thats absolutely fine if autorenew suits you, but you should have the option to opt out.

you do have the option to opt, you just have to make a note of when its due for renewal OR you either write the letter as suggested by lisyloo to said ins co OR you remember to shop around when its due.
I actually dont agree with the auto renewal and how they "dont" send out an auto renewal as a reminder but as i make a note when its due i dont get caught out, it doesnt take more than 5 minutes to do a letter and print it off or use a diary/calender

lisyloo

Exactly.
You can acheive what you want with a very small amount of effort. It's really not worth making a fuss about.

It honestly amazes me that people expect businesses to act counter to their own interests.

Mr_K

lisyloo wrote: »

It honestly amazes me that people expect businesses to act counter to their own interests.

This website is supposed to be in the interests of the consumer but I guess you're coming at it from another angle. 'Consumer Revenge' it says at the top of the page. Autorenewal is 'Insurance company revenge' on those who don't run their lives by a diary. More fool them you may say but it's a designed to catch people out, which should be challenged.

I have to say I wasn't aware of cases where a renewal notices are not even sent out. This is even more shocking. Your premium could have been doubled and the first you'd know about it is when you get your credit card bill...