Charge for change to motor insurance because of employment status.

Have_Faith_2

I have been sorting motor insurance renewal after my current insurers increased the premium by £50. On telephoning my current insurers (Marks and Spencer Money) to tell them I would not be renewing, they checked my details and asked if I was still an Account Manager. I told them I was now on Household Duties and that I had an extended summer leave when my last job finished in July. I am still looking for another position as Account Manager, and the operator then suggested that I am technically unemployed. The operator informed me that this change to my policy (which incidentally only has 15 days to run) will cost me 6p PLUS a fee to make the amendment of a whopping £25. I am now very happy that I am no longer going to be insured with them and have cancelled my credit card and vow never to bother with M&S again. I should be crying but I am rolling around laughing at the state of this world. Beware.

Anihilator

What are we to beware of sorry?

advent1122

You are not technically unemployed - you ARE unemployed.

Mark_Hewitt

advent1122 wrote: »

You are not technically unemployed - you ARE unemployed.

I'd go with technically. The usual government definition of unemployed is "out of work and claiming benefit", if he is not claiming benefits then he doesn't fit the government definition of unemployed; even if he does fit the dictionary one.

Hintza

Why did you authorise it OP? I think I would have just cancelled the policy and started the new one early.

I would also have spoken to someone further up the chain!

Have_Faith_2

M&S Policy stated: 'We may charge an administration fee of £25 for certain services, for example, if you make changes to your policy after the first 14 days'.

Thus the change to my policy is the change in my employment status, but it could also have been job role. So be(a)ware Anihilator, if you have M&S motor insurance you too could get stung for a £25 admin charge if you change your job. You are obliged to tell them of changes to your policy otherwise it may be invalidated!

Unfortunately I arranged my new cover to start when M&S cover ended and then phoned M&S to tell them I was not renewing. I have sharpened my quill, Hintza, to protest about £25 being an excessive charge for pressing a button.

Being 'unemployed' is only costing 6p and I am not objecting to that, just the excessiveness of the £25 charge. I hope this clarifies it for those who missed the point.

fastbargins

I got your point HF! My insurance with More Than was going to increase by £80 when i moved house because I was moving into an area with a higher rate of crime than where I was living before. The problem was though that I was actually moving FROM one of the worst areas in NE Scotland to a small village with next to no crime at all! When I pointed this out to More Than, they simply said, it's not our fault, it's your postcode. So, I cancelled and went to Tesco - £100 cheaper than More than + £50 in coupons for joining - Cashback!!

Rallydriver

That really is profiteering. Now an admin charge for changing vehicles, address, gender reassignment or something that requires the paperwork to be re-issued or changes the risk factor drastically I can understand, but minor stuff that requires no more than a few seconds of data entry.....

I wonder if that could be deemed a penalty charge as it isn't proportionate to the work done.

Markyt

When the banks are sorted, this area will be the next one looked at. There will be a lot of interest in whether the fees charged justify the work done and whether these admin charges are legal or not.

Anihilator

Markyt wrote: »

When the banks are sorted, this area will be the next one looked at. There will be a lot of interest in whether the fees charged justify the work done and whether these admin charges are legal or not.

Utter !!!!