Car Insurance: re-apply as new customer.

Sponge

I'm currently insured with First Direct. The policy is up for renewal in 3 weeks and I've had my renewal quote - it's very good, almost £200 cheaper than any new quotes I can get. However, a quick blast on FD's website results in a quote about £40 cheaper. So it got me thinking. How difficult is it, i.e. are there any T&Cs that should prevent me from, not renewing but closing, then taking out a new policy with them?

I can't find anything in their T&Cs, but wondered if anybody knows of any clause that states I won't qualify as a new customer and/or have to leave x months inbetween cancellation/renewal?

Shimrod

I don't know about first direct, but I've had no problems doing this with several insurance companies - in fact I've jsut done it this week with LV - they even carried over the full 9 years no claims discount. Morethan have also done this for me in the past.
You could always phone them up and see if they will give you the renewal for the same price as the webquote - it saves a bit of hassle if they agree.

Thomas_Crown

When I was a Saga motor insurance policy holder, I tried to reapply as a new customer just before renewal but their computer system wouldn't allow it.

*MF*

@OP

Be aware:

Extract from FD website:

It does not apply to first direct Car Insurance policies underwritten by Equity Red Star which are due for renewal

From here:

http://www2.banking.firstdirect.com/1/2/insurance/car-insurance

Sorry if that sounds negative - if it applies to you - but as Shimrod has said, a phone call to see if you can get a better deal anyway is maybe the better way to go?

Sponge

Thank you for the replies.

*MF* - what would you say to interpreting that clause thus?

When I first joined FD I availed myself of their 'We guarantee to beat...' promise and had to provide written evidence of my renewal quote. I was coming over from a different insurance provider and FDs quote was higher than my renewal, so I used their offer to beat it.

However, I'm not using that guarantee this time. I've just obtained a quote online and it happens to already be lower than my renewal. But they don't know that. I'm not lowering their quote using their guarantee - if you see what I mean?

:money:

glider3560

Give them a ring and simply ask outright if they can match their own online price (quite a few insurers will do this). The most they can do is say no, in which case you reject the renewal and buy a new policy online (nothing wrong with doing that).