Bankruptcy and Insurance

Heycock

I never encouraged anyone. They came to me. If they told me something I took it at face value. Just like a barrister or solicitor. And if I HAD then does the client bear no responsibility? If I encouraged you to steal a car and you did, would all the blame be mine or 50% yours for actually succumbing to temptation.
Sensible debate is going out of the window here.
I had no problem getting insurance post BR. If I can do it, anyone can. Why did I get it and not others? Different insurers use different criteria. You've just got to find the insurer that gives the best deal to the group you fall into.
That is how insurance has always worked. Insurance companies are in it to make money. Yes i know I'm supposed to hiss at this point. If they see you and think they can make a profit they will deal with you. They don't and never have, in consumer insurance, look at individuals...they leave that to specialist brokers. They will put you in a group and see if that group produces a profit. If it does they will offer terms. Every year they look at each group and ask their actuaries , is that group making profits. If the answer is no, then they either up premiums or withdraw from that market. It is based on results from THEIR experience. The insurance company down the road from them might have had a different experience and will continue offering. This is where comparison sites are invaluable.
Remember what I said..they are looking at a "group" of the population. If a group loses money they may drop the whole group. Home insurance is no different to car insurance in that respect.
One of the highest rated professions in insurance is acting. Not all actors are bad drivers. But enough are to make their group expensive to insure. A group of 100 actors statistically will have more accidents than a group of 100 nurses.
Collective responsibility isn't a pleasant term but that's how it operates. And has for 300 years.
When I rang LV= to check they'd take me because the comparison site had asked the question but the application had only asked about criminal convictions and not BR, the lady said they had no problem with bankruptcy, only with criminal bankruptcy which was covered by the conviction question.
Why? Because THEIR experience with ordinary bankrupts had been a good one so they continued to offer cover.
If your bankruptcy is a normal one, there is insurance out there. As I said I got it as soon as mine was due within 5 minutes of switching on the computer.
In all this you have to remember that Insurance companies are profit making organisations...If they see a profit then bingo but if there is a chance of loss, or the chance of loss in that particular group is greater than their model allows then it's sayonara.

I have a possible solution. Let me know what you think.

Instead of leaving it to risk based assessment by the private sector, could the government not set up a taxpayer funded scheme to give insurance cover to all the groups insurance companies can't make enough money on?
Let the taxpayer take the risk?

Sorry. Like it or not we are, for some (not all), considered a risk. Based on premiums in, claims out.

All through i have been accused of demonising BRs, betraying my fellow peers if you like. I haven't been...I've merely been explaining the rationale of a business I was glad to get out of. And yes it wasn't just because of the people employing me (not on bonus...commission only. If I didn't deal I didn't eat...try it before you condemn) it was also because of the greed and avarice of too many of the public coming through the door.

I'd guess the vast majority of folk on this forum are in no way culpable for what happened, or if they were at fault it was out of genuine desparation...I suspect they wouldn't come to a site like this if they'd become bankrupt as a result of being on the fiddle. We're on here because we care. I'm not condemning anyone. I'll leave that to some of the respondents on the benefits section.