Rip off insurance renewal!!

takethatfan1978

I received my insurance renewal through the post yesterday from Tesco and was horrified to see it had went up to £613!!

I have 2 years no claims and hunted online for a few quotes and the cheapest equivalent I could find was £389.

I then went onto Tesco site for a quote as a new customer and was quoted £341,what a difference!!

I phoned them up and explained what I had found and was told that they could see if they could match it and would phone me back.
I received a phonecall back and was told it would indeed be £341.

How on earth can they charge £247 more by renewing? I was so shocked and quite angry as I am sure there will be people that just accept the renewal without giving it another thought!!

DCFC79

Rip off is a no, its the customers option to either stick with current insurer or move to a new one or if they go to new insurer as a new customer.

Trebor16

One thing to remember about insurers is that very few of them seem bothered about loyalty. They will entice new customers with better rates but when you have taken a policy with them it is rare that you will get a decent renewal. So play them at their own game and shop around every year.

DCFC79

Trebor16 wrote: »

One thing to remember about insurers is that very few of them seem bothered about loyalty. They will entice new customers with better rates but when you have taken a policy with them it is rare that you will get a decent renewal. So play them at their own game and shop around every year.

exactly, loyalty means BA the (not sure if it ever did) insurers

ridethelightning

I imagine large proportion of people just accept the renewal. It seems that now you must go to a new provider or get a new quote from your current one (I'm sure I saw that they must accept the quote they give you as if you were a new customer, instead of the renewal price if you get a cheaper quote). I bet alot of people cant be bothered with the hassle of getting new quotes and stay with the same provider for years, this is how they make their money.

takethatfan1978

DCFC79 wrote: »

Rip off is a no, its the customers option to either stick with current insurer or move to a new one or if they go to new insurer as a new customer.

Sorry maybe I should not have said rip off,but I just assumed it would be a wee bit cheaper than the year before as I had gained another years no claims. Did not expect it to go up so much. It went up from £504-£613!

takethatfan1978

ridethelightning wrote: »

I imagine large proportion of people just accept the renewal. It seems that now you must go to a new provider or get a new quote from your current one (I'm sure I saw that they must accept the quote they give you as if you were a new customer, instead of the renewal price if you get a cheaper quote). I bet alot of people cant be bothered with the hassle of getting new quotes and stay with the same provider for years, this is how they make their money.

I agree,my husband has never looked for a new quote in the past 4 years and he is with Tesco. Maybe I should have a hunt however his is very cheap and it maybe can't be beaten. I'm sure there will be a lot of people that do not bother looking around,maybe because they can't be bothered or they just don't think about it.

takethatfan1978

Trebor16 wrote: »

One thing to remember about insurers is that very few of them seem bothered about loyalty. They will entice new customers with better rates but when you have taken a policy with them it is rare that you will get a decent renewal. So play them at their own game and shop around every year.

Yes I agree there,I always shop around for insurance,I just didn't expect my renewal to go up so much in a year!

spike7451

I was insured thru a broker with Axa,my last renewal quote from the broker was something like £460..I phoned Axa directly & am now insured with them,no broker involved,and it's cost me £320 (£28 a month) for exactly the same extras (protected no claim/Hire car ect) that I had before.