Direct Line, usual renewal scam...

dacouch

headcase wrote: »

I was paying £50 per month to Direct line for B& C. Got my renewal through and they wanted £80 per month or so, and if I canceled charge me £25pm. I went online and got quoted £50 pm by hiscox. i ring DL up and quoted the hiscox cover. I said I was leaving and was not prepared to pay the £25 leaving charge as an unfair contract. The person on the phone offered me the prices that new customers would get etc etc. After that, she quoted £46 pm for the same policy and I accpeted. All in 5 minutes.

You really should have taken the Hiscox Policy as the claims and cover are far far far superior to DL and in fact arguably all other Insurers

Insurance_Man

Isofa - If you want to make a complaint, write to the Chief Executive. The address will be on the website that you say you used.

negg

DirectLine offered my car renewal at an expensive rate. I went onto their own website and got a quote which was around £100 cheaper than the renewal quote. When I phoned them up, they wouldn't even match their own website but I did get about £70 knocked off.

So that is a different price for the same car at the same address for the same person. I agree it doesn't seem right.

As such, I renewed because the cover was still better than the competition but they will be losing my business for the house insurance because of the above and I can get much cheaper cover elsewhere.

Next time I will cancel the renewal policy and then take out a new policy through their website!

Quentin

negg wrote: »

Next time I will cancel the renewal policy and then take out a new policy through their website!

Why didn't you follow that advice this time?

olly300

isofa wrote: »

It's not dishonest? Perhaps you'd like to define honesty to me.

So you are happy that it's not dishonest to offer the identical product to 2 different customers at a £300 price differential? The product is essential doubling in price, it's not £5, £10 or even £20, it's hundreds. Perspective is required.

In my world it is grossly dishonest.

Then I'm surprised you have lasted so long in business as all big businesses act like them.

isofa wrote: »

I have no problem with small discounts for new customers in theory. £300 is not small, and the on-line offer isn't just open to new customers, it's open to anyone (I used my original login details from which I track all my current polices on their site), so effectively I'm still an "existing" customer.

I'm looking for a senior manager to report to at the company, if you read my OP.

The trick is to follow the complaints process and write "Formal Complaint" on your letter and then inform them you will be reporting them to the regulator. Then once you get their waffly reply you report them to the regulator anyway.

Worked a treat when I reported an insurance company for not being clear on their auto-renewal policy.

isofa wrote: »

I was aware this is a forum for consumer affairs, and championing the consumer against being ripped off; some of the retorts point otherwise

Why because they don't agree with you?

isofa wrote: »

Well so be it, still off-topic as before.

I was replying to your post which stated examples and I was pointing out that there are well known exceptions to the examples you gave.

isofa wrote: »

Indeed, to make a profit, but not rip people off, nor profiteer. I would not allow any staff member, to ever quote such a variance in price, as to me as an educated and experienced member of society, I deem it dishonest. We trade on our reputation and recommendation. And I'm lucky to say we are very successful.

Your business model is different from their business model.

And companies are allowed to profiteer - look at Tescos - it's up to the government and regulators to ensure they don't harm consumers when they do it.

isofa wrote: »

Neatly summed up in one line. They are relying on people not realising and forgetting, and then getting stung by the huge increase in premium, this surely by it's very nature is wrong and... to bore you again... dishonest. It's an appalling way to do business.

In the past 10 years DL have made over £10K out of my household with zero claims. And it's fair to overcharge £300 to this loyal customer? Utter nonsense! This cheating behaviour is endemic in society (hang on I've got an expense claim to submit...), what a sad place to be a customer.

You still don't get it do you.

Large companies don't work on customer loyalty they work on branding. If people think their brand is good then people will buy and continue to buy their product or service. Only when it gets publicised that their product/service is not any good will they do something about it i.e. Carphoneware house.

There as small companies tend to only operate in one area so if there products/services weren't any good and their customers deserted them they would go out of business.

DL will not care if you never deal with them again. However they will care if you get a regulator involved regardless of what you decide to do afterwards.

Anyway I don't know why you have all your insurance with DL there are better and/or cheaper insurers out there.

dacouch

DL will have made more like £700 out of your £10000 in premiums over the last ten years

converse

I'm with the original poster on this one. You shouldn't have to faff around, cancel and re-start to avoid being conned/ripped off/scammed, whatever terminology you choose. Poor customer service is treating current customers with contempt by deliberately fleecing them, not looking after repeat customers etc. etc.

Hiscox haven't put one of our business insurances up for the past 5 years, no scams there, renewal same price as usual, quality service.

esuhl

isofa wrote: »

Well firstly I'm surprised that many of you are on the side of the insurance company... interesting moonlighting at your desks are you?!

I believe it is totally dishonest to offer a product to a loyal customer for £300 more than that of a customer checking the price on the website - this is deliberate set to catch people out without the time, or knowledge to check up themselves. Just ringing up to query gets £200 off straight away.

It's not that I'm taking sides, as such - I agree that it's completely unfair and infuriating, and as a customer I would take a dim view of these practices... but there's no law that says that just because I offer something to person X for £10, I can't offer person Y the same type of thing for £310. The law says "take it or leave it!"

You are verring off-topic, 0% deals for credit cards is standard, and people know this when they take them out, after 12 or 18 months this deal will expire and they'll be subject to the standard interest rate. This is fair and up front.

Sure, people know this when they take out a new credit card... but you know about the £300 extra before you renew your insurance! Why, having never had a 0% offer with a particular card company should I, as an existing customer, be prevented from taking advantage of the 0% rate that new customers are offered? Why can a book shop have a half-price sale, and not refund me the 50% that I "overpaid" when I bought a book last week? Because we operate in a (relatively) free market.

Although I wouldn't like to see the practice legislated against, I would like customers to be aware of the devious tricks that companies use... and have customers either voting with their feet or playing them at their own game. If EVERY existing customer cancelled their insurance, then created a new account, the administrative overheads for the company would be huge. They may reconsider such practices.

The best thing about MSE.com is that it helps consumers to become more aware of the ways that companies operate, and with your helpful post warning people about Direct Line, hopefully you've convinced a few people to research their purchases more carefully and to remember that companies are not benevolent, scrupulous organisations.

lisyloo

I usually take a pragmatic approach to life.
I do try and change things where I think something is wrong and I can have influence but where there is no chance of changing things you are expending emotional effort for no reason.

The fact is that if everyone pushed for minimum prices and shopped around, then prices would inevitably have to rise.
The fact that the majority don't is subsiding those that do.
So whilst some of you may genuinely want fairness, then be aware that it will cost you, because these prices can only be offered at others expense.

The fact is that insurers aren't making massive profits, and need to make SOME profit to invest and cover their costs.
So we wouldn't all save money if everyone shopped around, it would mean that there would be winners and losers.
Those who shop around avidly now would be losers and those that don't bother would be winners.
So jsut be careful what you wish for.
There isnt't a pot of money there to be handed round, it would simply be robbing peter to pay paul.
Doesn't mean it's right, I'm just pointing out that changing the system would not be FREE and some of you would be negatively affected,