£400 extra for paying monthly?!!?

mikey72

StephenMarsh wrote: »

I dont condone an increase of £400 for paying monthly im in total agreement its excessive to the point of rediculous for a premium of £700 I would expect to see around a £70 increase for monthly payments. So no it isnt fair !!

On the same token I dont condone attitudes of I wouldnt have insurance if I didnt have to, because there are too many out there that take this kind of attitude even when it is compulsary. Is it fair that uninsured drivers are costing the average moterist on there premiums ?

Is it fair that because it is compulsory an insurance company can charge any price they want to?
I can get insurance 60 times cheaper than a new driver. So in one year they pay more than I will in the rest of my life?

Andy_L

leftatthelights wrote: »

What the hell is going on?? How can they justify adding just over £400 for the "priviledge" of paying by direct debit??

Can anyone explain this to me or is this common practice? Needless to say, I very quickly told the salesperson where to go once I was told the new amount! I dont mind paying a little extra for monthly but not £400 extra!!:mad::mad:

I suspect Admiral don't want the hassle of dealing with monthly payments for some (high risk?) customers so levy a huge extra charge to encourage them to go elsewhere

StephenMarsh

mikey72 wrote: »

Is it fair that because it is compulsory an insurance company can charge any price they want to?
I can get insurance 60 times cheaper than a new driver. So in one year they pay more than I will in the rest of my life?

you think they just pluck figures from thin air ? its not a case of charging what they want to and if thats what you beleive you are either very short sighted or very naive

mikey72

StephenMarsh wrote: »

you think they just pluck figures from thin air ? its not a case of charging what they want to and if thats what you beleive you are either very short sighted or very naive

Oh, you must be right then, obviously they are our best friends, and not a company owned by shareholders with a board that has set targets to achieve bonuses. And there was me being naive and short sighted expecting them to want to make money.
I guess now as you've put us all right we can see that the ridiculously high premiums are justified, and the overcharging of a group that can't afford to find the money all in one go is entirely correct as well.

Quote

What's the alternative?

Duncombe

StephenMarsh wrote: »

you think they just pluck figures from thin air ? its not a case of charging what they want to and if thats what you beleive you are either very short sighted or very naive

Why are my renewal quotes cheaper when I put my accident claim in the calculations, than when I don't?

And why does it cost more to name my father on my policy (aged 60, driving 40 years, advanced driving instructor and examiner, never had any accidents) than my 17 year old brother?

You trying to tell me they dont pluck figures out of the air....

dwsjarcmcd

I think it is possible that Admiral have found some other factors that have infuenced the premium when they went through it with you on the phone, rather than the £400 being solely down to paying by installments.
There can be lots of things that influence the price, both +ve and -ve and I would be very surprised if the increase was solely down to your method of payment.

Ask them to send you a full quote, including the APR for installments.

ganonman

Just out of interest, are you sure you also didn't lose any sort of online discount by calling them to purchase the insurance? They wouldn't necessarily have advised you of this when you called.
For example, with a £679 quote, if this included a 20% online discount would be around £849 without discount, then if you added 29.9% for paying monthly it would be around £1103.
What I'm saying is you may be able to reduce it a little by doing the quote and purchase online, possibly through a cashback site too if that works for you.