Why is insurance going up.

mikey72

Mine hasn't, haven't seen it at all.

Just renewed

House.
£203 last year, I moved it to get a "better" policy, but with their cashback it's £243 -still £10 cheaper than my renewal offer (although the old company quoted me £173 online as a new customer) Then, hopefully another £50 cashback to come from topcashback as well, so maybe £193 this year in the end.

Another house.
£210 last year, near enough the same price this year within a pound or two.
(although I had to change in the end due to a change in circumstances, and the new policy cost £270 to cover increased risk)

Car
£198 last year, not a bad renewal offer, I would have took it but for the change to t&c's, moved for £186 to a similar policy to last year.

Motorhome

£335 last year, renewal at £340, negotiated it down to £284, as I like the policy and wanted to stay. Best other was £274.
(I moved the storage address last year, no charge for ammendment of the policy)

Business insurance

Same as last year again, I increased cover though, and paid £10 more in the end. Just over £100.


I'm average, admittedly not a great risk, and the biggest excitement is getting over the bridge into the village without the headless horseman getting you, but even so if the great rise isn't there for me at all, why is everyone else being stung? The insurers must still be making a profit on these premiums.

3 more cars to go this year, I wonder how they'll fair.

alistair.long

A lot of people would blame accident management companies etc..
It the SOLICITORS.

I blame the Insurance for not thinking logically.
Example.
I had someone hit my car, my witnesses said it happened, his witness said he was near me.
The car left damage and the engineers report showed the extent of the damage(minor).
His insurance could have paid, but said "no were not paying, do what you like".
I issued court proceedings in person (a solicitor would have made £3000 at least.
the insurance had a solicitor to defend it up until court and then paid me, I'm sure there solicitor made some money thats why they took it to court.

Example 2.
I had a accident 2007(cut long story short).
Insurance company not bothered, making escuses.
Sent a recorded delivery letter it was returned undelivered,
Issued court proceedings myself (solicitor could have made £5k easy),
other side has a bill of £3k.
Now before court I have been given a offer and they want me to take something, they cannot win, the defence said we admit the accident happened but dont know how much to pay.

If you admit the accident why wait till court.

Example 3.
Parked car was hit, their insurance came to look at my car and offered me some cash, a little while down the line made an escuse.
Long story short, I issued court proceedings, now Im waiting for a little before court so that they can say we want to pay you. Theyve admited fault but say its not my car.

Why wait when they say its not your car, and Iv given them all the proof.

Thats the reason why insurance is going up. They dont look at my evidence, CCTV (yes I have a camera in my car), recorded admission of liability, etc...
My solicitors are happy with me,

dunstonh

Since the credit crunch there has been an aversion to risk at corporate levels. Risk is now more expensive.

If you are not a high risk then your premiums are largely similar to previous. You know from my posts mikey that my premiums have barely moved for years. If you are higher risk (either yourself or area) then the premiums have significantly increased.

I know you don't like it when the comments are made but cross subsidy is one of the major reasons as well. Insurers invest the premiums. When investment returns vanished, someone has to fill that hole. Insurance was also probably a little too cheap before as well. At least at the higher risk end. The profits were good in the boom years and risk was underestimated (as we well know). That has gone now.

alistair.long

dunstonh wrote: »

... Insurance was also probably a little too cheap before as well. At least at the higher risk end....

I do think that for the price you pay get a huge amount of cover, the law says its £100k if memory serves me right.

So £100k for £1k insurance premium is a good offer in my opinion, and if you get insurance for 100 years you will get to the 100k (100 X 1000), everyone is bound to have a accident at some point just not as much as the whole £100k.

mikey72

alistair.long wrote: »

I do think that for the price you pay get a huge amount of cover, the law says its £100k if memory serves me right.

So £100k for £1k insurance premium is a good offer in my opinion, and if you get insurance for 100 years you will get to the 100k (100 X 1000), everyone is bound to have a accident at some point just not as much as the whole £100k.

It's only a good offer if you get paid £100K every time you have an accident, if they only need to pay £250 it's not as good.