This automatic renewal scam is getting worse (rant)

Buzby

Ever thought about sending them a LETTER? I advised both my unacceptance of their auto-renewal policy, and my cancellation, with no problems.

TheAllanCadenhead

2cb wrote: »

Of course it's a scam. If it was for customers' benefit they would make it optional on application.

Oh, and this isn't about car insurance. They (Churchill) were fine about cancelling the auto renew. This is about home insurance, which wasn't a legal requirement last time I checked.

Automatic renewals are there for the benefit of the customer. If you can't simply remember when your renewal date is then that's your own fault. Be a bit more responsible and read the terms that state: "YOUR POLICY WILL AUTOMATICALLY RENEW IF YOU DON'T INFORM US OTHERWISE". Simple. Job done here.

It's not a scam and if it was a scam then why hasn't anyone done anything about it? Don't you think if this was a scam it would be ILLEGAL to automatically renew a policy?? Yes. But it's not a scan and it IS a renewal. This facility is for the marjority.

If the company is not informed that the vehicle has been SORN then they will auto ren it on the basis that it is ILLEGAL to not insure the car if it is not SORN.

However, for House Insurance it's abit different. It's not mandatory. Some insurers will accept a written letter from you stating "I, Mr Smith of X-address advise that nothing has happened to the proerty between x-date and x-date and no claims will be made. If anything has happened that I am unaware of I accept that I have not been covered since this date". But you will have to ask about this, as far as i'm aware.

2cb wrote: »

On the contrary. That was the most balanced and unbiased response on the thread.

I agree, this made me giggle :rotfl:

2cb wrote: »

But that's my point! I wasn't offered a choice, that's what makes it a scam.

.

You were offered a choice, you just didn't act upon it. However, there is always that teeny weeny little bit of a chance that the insurers truely have done you over and didn't sent renewal documents. In this case by all means you have a case but this happens very VERY rarely.

Hope this helps, and sorry if it seems a bit forward, sarcastic or patronising in my tone, it's not. So appologies in advance if it does seem so haha. :rotfl:

TheAllanCadenhead

Jonesy_McJones wrote: »

I personally would not recommend Esure. I took home insurance through them about two years ago, and it was only after I’d bought the policy that I realised that the only way to contact them is on a premium rate phone number (with a recorded message saying ‘phone calls will not be answered until they have dealt with all email enquiries) or via email, which they took several days to respond to (their service level agreement is within four hours). Obviously I should have checked about this beforehand but I’ll not be taking insurance from them again. They also didn’t enclose their complaints or cancellation procedures, despite the policy documents saying these were enclosed. I did eventually get a copy of their complaints procedure, although they didn’t keep to their service level agreement for this either.

E-sure, E-van, E-car are exactly that. ELECTRONIC. These are internet companies who only deal with matters electronically. Thery are not usually telephone based. That's the risk you take when you take out insurance with them. If you're not happy with the way they work then it's always a good idea to seek another insurer who offers better communication.

Quentin

TheAllanCadenhead wrote: »

Automatic renewals are there for the benefit of the customer...
If the company is not informed that the vehicle has been SORN then they will auto ren it on the basis that it is ILLEGAL to not insure the car if it is not SORN.

Looks like an insurance spokesman! Too cynical to claim ar is purely for the benefit of the customer alone, as witness all the posts from policyholders reporting how expensive their ar is, and how readily insurers reduce the ar premium.

And it's just poor advice and incorrect to tell us we need to inform our insurer when we sorn our car! And that won't stop them autorenewing.

The only way to stop that is to tell them you don't want it!

Jonesy_McJones

TheAllanCadenhead wrote: »

E-sure, E-van, E-car are exactly that. ELECTRONIC. These are internet companies who only deal with matters electronically. Thery are not usually telephone based. That's the risk you take when you take out insurance with them. If you're not happy with the way they work then it's always a good idea to seek another insurer who offers better communication.

That'll be why I wrote 'Obviously I should have checked about this beforehand'

rs65

Jonesy_McJones wrote: »

and it was only after I’d bought the policy that I realised that the only way to contact them is on a premium rate phone number (with a recorded message saying ‘phone calls will not be answered until they have dealt with all email enquiries) or via email, which they took several days to respond to (their service level agreement is within four hours).

Is this the same esure that list geographic numbers on their website? I've used them before and didn't have to try email first.

http://www.esure.com/faqs/#faq_7

dalesrider

TheAllanCadenhead wrote: »

If the company is not informed that the vehicle has been SORN then they will auto ren it on the basis that it is ILLEGAL to not insure the car if it is not SORN.

While it may be against the DVLA law :rotfl:

The Driver and Vehicle Licensing Agency (DVLA) carries out a computer check each month, as well as roadside checks to identify those vehicles without a valid tax disc. You could face an automatic penalty of £80 as well as a minimum fine of £1000. Your vehicle could be clamped, impounded or even crushed

Note the word penalty... Not taken to court and fined... Not Illegal.....

This does not give a insurance company the right to renew insurance because you have not told them its SORN....
Or ALL the ins co's that don't auto renew are breaking this so call law that some companies have dreamt up :mad:


In fact are not ins co failing in their duty of care when they then fail to update the database that is used by ANPR that you are insured.....

By the way I don't care one way or the other on auto renew. As I always read the letters and know to contact my old insurer if I'm not staying with them anyway.

Was does annoy me is companies dreaming up their own LAWS that have no legal standing just to cover themselves.

Parking_Trouble

Auto-renewal has something in it for both the insurer (an opportunity to hike up the premium and retain customers) and the customer (gets continuity of cover).

The "low end" insurers cut their throats to get the customers in - cheap price, not so good policy. Then if they are lucky enough they get extra money in year 2+ from the satisfied or lazy customers that don't shop around.

I have learnt that Insurance is a serious business that needs the consumer to spend some time looking at the contract they are entering into, comparing it with others and working out which gives best value.

If consumers took it seriously enough the auto-renewal becomes just a minor irritation.

The insurers use all sorts of pathetic advertising gimmicks to get your custom. Mostly aimed at the key thing that most consumers are concerned about - Price.

Whilst the majority have to be cost conscious the focus should be on value and service not just price.

alanfp

TheAllanCadenhead wrote: »

Automatic renewals are there for the benefit of the customer. If you can't simply remember when your renewal date is then that's your own fault. Be a bit more responsible and read the terms that state: "YOUR POLICY WILL AUTOMATICALLY RENEW IF YOU DON'T INFORM US OTHERWISE".

TheAllanCadenhead wrote: »

I understand your point, but IT ISN'T STATED IN CAPITALS, IS IT! It's generally in the small print, and with only ONE exception (credit where it's due, Churchill) I have never been informed at the time of agreeing to take out a policy, only AFTER I have rec'd the documents.

dunstonh

I understand your point, but IT ISN'T STATED IN CAPITALS, IS IT! It's generally in the small print, and with only ONE exception (credit where it's due, Churchill) I have never been informed at the time of agreeing to take out a policy, only AFTER I have rec'd the documents.

The renewal letter must state it clearly though and in the main part of the letter and explain what needs to be done next if you do or do not wish to renew. So, it is not hidden away on renewal. Although you are right that you do tend to find it is in the T&C sections on purchase.

That said, it is not a key issue. It is not important risk area. So, it isnt something that should really be in the key disclosures. The longer documentation gets pre-sale, the less likely it is that it will be read. The more that is said on the phone, the less likely it is that information will be remembered. They have to limit these things to key points/issues/risks. Auto renewal may be a minor irritation for some but it is not a key thing for disclosure.