Can a company insist you take their insurance to get a discount?

GentleGiant_2

PGL say that their discount offers can only be taken if you buy their insurance.

Is this legal?

'Terms and conditions - All passengers must take PGL insurance to qualify for offers - see prices below. Insurance must be paid for at the time of booking.'

I always thought insurance was optional.

dunstonh

Insurance is optional. However, if they choose to discount for those buying it then they can.

alistair.long

what discount offers ?
is the discount for insurance and associated policy, or are the discounts not related to insurance ?

GentleGiant_2

Thanks for the reply. .

Rather makes it compulsory as only a fool would say 'I want to pay more for my holiday'.

I guess in order to cancel the insurance which is allowed I believe, you have to pay a premium (or the full price)

Seem to me like a get around the law.

Old price on a TV £900. New price £1,000. But get a £100 off if you by insurance at £25. Everyone is going to buy the optional insurance.

Guess I was hoping for a different answer LOL

GentleGiant_2

alistair.long wrote: »

what discount offers ?
is the discount for insurance and associated policy, or are the discounts not related to insurance ?

No the discount if available say if you have 2 children on the holiday or take an offer for a particular week.

i.e. all discounts / offers are only valid if you buy the insurance with PGL you have to pay regular price if you decline their insurance, even if you already have your own.

dunstonh

I guess in order to cancel the insurance which is allowed I believe, you have to pay a premium (or the full price)

I believe travel insurance doesnt have cancellation rights.

magpiecottage

dunstonh wrote: »

I believe travel insurance doesnt have cancellation rights.

In theory it does but in practice most policies come into force immediately, even if only for cancellation cover.

Furthermore, if the discount only applied if you took the cover, it seems unlikely that you could get all the premium back as you would no longer receive the discount and the extra would, presumably, be withheld.

So it would only make sense if the saving on the insurance outweighed the saving on the actual travel - or the cover in the package did not meet your requirements.

lisyloo

Rather makes it compulsory as only a fool would say 'I want to pay more for my holiday'.

If the insurance is less that the discount they are giving you then in practice - yes.
But I don't think it's unlwaful.

alistair.long

something doesnt seem right. I can relate to this with legal expense insurance, most car insurance companies will say that you have to use their solicitor, but the fact is that you can use any of your own.

So will need some looking into.

lisyloo

They are NOT saying you have to take their insurance though.

Everyone is going to buy the optional insurance.

If the discount is greater than the insurance then yes of course you would CHOOSE to take the insurance.
But they are not forcing you.

I do understand what you are saying but in law you are not being forced.
If it's not a good deal with the extra £25 then don't take it. It's fairly simple.