home insurance by monthly direct debit

katejo

Do any insurers still allow the above without adding to the price of the policy? I am sure that I was able to pay for it in my previous flat without being charged extra for the privilege. I have just done my renewal for buildings and contents but had to pay it in a lump sum. I can't stand the idea of paying extra but it would be much more convenient to pay monthly.
I will try to transfer the required monthly amount to a savings account during the year but don't like doing it this way.

rs65

Who insured your previous flat - do they still offer interest free?

*Scarlett

Some insurers do offer monthly DD at no extra cost eg

https://lloydstsb.generalinsurance-system.co.uk/ECommerce/Views/Welcome/Welcome.aspx

I'm sure there are others but this was the 1st I thought of.

Whilst an APR interest rate might be unpalatable, you need to look at the overall cost as a policy with no charge for paying monthly might still be more expensive.

InsideInsurance

How many banks do you know that give interest free loans?

Most general insurance is payable in full up front. If you want to spread the cost then you are given a loan to do so either they themselves or through a third party finance company. Like all loans there is a cost to the company to provide it, enforce it and inevitably some people default against it. Therefore short of promotions then an APR is charged.

Of cause just as some furniture shops offer 0% APR etc then in these cases they've just inflated their initial price so everyone pays the loading irrespective of if they take the credit or not