Car insurance renewal up by 260%?!?!

JeremyKitten

Hey guys,

I insure my car with Churchill, and have found them usually to be the best of a bad bunch.

My policy is due for renewal, and they've put it up from £670 to £1760... Obviously I phoned and queried, and apparantly it's because I have a claim outstanding. It's a no fault one (car on my drive, me not in it, reversed into by Bulgarian lorry) but because their insurance hasn't got back to them, I'm being penalised.

I've just written the stroppiest letter ever, and am awaiting a response. My basic argument was that it cannot conceivably cost them £1200 for an open claim, nor should I be penalised twice (excess + renewal cost) for the other company malingering. Especially as, had it not been renewal time, it wouldn't have cost me a penny.

Fingers crossed... anyone had any luck with this sort of thing before?

dunstonh

Obviously I phoned and queried, and apparantly it's because I have a claim outstanding. It's a no fault one (car on my drive, me not in it, reversed into by Bulgarian lorry) but because their insurance hasn't got back to them, I'm being penalised.

You are not being penalised. Its just bad timing.

I've just written the stroppiest letter ever, and am awaiting a response. My basic argument was that it cannot conceivably cost them £1200 for an open claim, nor should I be penalised twice (excess + renewal cost) for the other company malingering. Especially as, had it not been renewal time, it wouldn't have cost me a penny.

I would expect the response to be a polite "tough luck" and confirmation that your premium will be reduced and a refund issued along with you getting your excess back via your legal team once the claim is settled.

Quentin

Your insurer dealt with your claim, and as a result of them not yet receiving full reimbursement of their costs they have (correctly) reduced your NCD as well as loaded your premium.

Your excess you have paid isn't a "penalty", but an uninsured sum which you will have agreed to pay in the event of you making a claim when taking the policy. You can pursue the third party to reimburse you for this together with any other uninsured losses you have incurred.

Your letter is unlikely to result in an immediate change of heart, but there is no reason why you cannot shop around for cheaper deals elsewhere.

JeremyKitten

I'm aware that my excess isn't a penalty per se, I used the term to describe how I'm feeling!! (i.e. about to be ridiculously out of pocket because of bad timing).

I've found it tricky to shop around as companies don't seem prepared to listen when you have an open claim.

My concern is the ridiculous amount they've reduced my NCB by (about 5 years if calcs are correct) and the fact that was I not due for renewal, it wouldn't cost me anything. This is what I meant by penalised.

I'm guessing then I have no hope of getting them to reduce it, or be a bit more flexible? I simply cannot afford to pay £167 a month (or whatever it'll be) whilst this gets sorted.

I accept they'll pay it back, but knowing Churchill, they're not exactly rapid with their settlements...

Quentin

Your NCD should only have been affected by a slide down the scale of 2 years (from what you had at the start of the year, and none will have been awarded for the year).

Also included in your increased premium will be the general increase (much discussed here).

Shopping round with unresolved claims is normally possible (and usually shopping round is worthwhile). Make sure that any insurer you choose will amend your premium should your NCD be reinstated.

jhe

having the same problem with churchill upping a policy from £1200 last year to £4600 this year because of an open claim,can anyone recommend an insurer that might be willing to give a more reasonable quote,with an open claim outstanding?

lisyloo

Jeremy - Have you tried shopping around?

JeremyKitten

Endsleigh are being the best so far - £1300 with the 1 year NCB, then when it gets settled it'll drop to £600. Which is better than Churchill's £1700 now and £890 when it's settled! Although they're also bloody ridiculous with the fee for monthly DD (30%!). Might be time to put it on the interest free credit card... then pay it off in the amount i'd usually have to pay each month. ugh.

hcb42

as soon as ncb is reinstated to 5yrs - get it protected

JeremyKitten

hcb42 wrote: »

as soon as ncb is reinstated to 5yrs - get it protected

:rotfl:

good point, well made!

ILW

Are you certain the Bulgarian lorry was insured?