Same customer, new policy

Horizon81

I'm with LV insurance and every year I get a renewal, and every year I log onto their website, re-enter my details as if I was a new customer, and it comes back £20 or so cheaper. Normally they match their own price, but this year they are insistent they cannot match it.

So, is there any problem in me taking out a new policy as if I were a new customer, and simply letting my old policy lapse? I fear this may cause problems on their computer system - at the very least it could be confusing should I need to claim. I'm not interested in switching insurance providers as the 'new customer price' from LV is competitive, and I like their UK call centres and clear website. I just wish they'd offer me one price regardless of whether i'm a new customer or renewing!

Quentin

If they offer you a new policy online, then there will be no problem or confusion if you need to claim (as long as you don't cause them yourself by using your old policy number!)

They pay cashback (around £20) via the usual cashback sites which may bring the new policy price down further.

InsideInsurance

Horizon81 wrote: »

I just wish they'd offer me one price regardless of whether i'm a new customer or renewing!

And those with better websites often do, just the higher price of cause.

Remember to actually tell them to allow the old policy to lapse. There is no issues with you buying back as a new customer. You will be a new customer however for any claims made but at worst that generally only means it may trigger the counter fraud investigations and if you are honest it will all go through.

Cashback via quidco etc may not be honoured but at the end of the day cashback via these sites should always be seen as a bonus rather than relied on.

Horizon81

Thanks, I'm not fussed about quidco. You're right, if they just showed me one price I wouldn't have cause to come back as a new customer. I'd either take it or leave it. They said they could drop my renewal price by a tenner but it works out £30 cheaper to come back as a new customer, so I'd effectively be chucking £20 awayby going down the renewal route. Nevertleless, I did want to check if it was ok practice as I don't want any repercussions!

Im sure direct line's website is smarter and if you enter the same details as an existing customer they won't quote for it as they know what you're up to.

InsideInsurance

Horizon81 wrote: »

Nevertleless, I did want to check if it was ok practice as I don't want any repercussions!

To be absolutely safe, check the terms & conditions/ assumptions that they ask you to agree to - I am sure you will anyway. As long as there is nothing there about returning customers then you are safe.

Horizon81 wrote: »

Im sure direct line's website is smarter and if you enter the same details as an existing customer they won't quote for it as they know what you're up to.

Havent checked in recent years but certainly not that long ago it wasnt.

There are certain issues in it all due to the advertising of online discounts etc. Insurers have to strike the balance between weakening marketing message (eg Up to x% discount), falling foul of the watchdogs (ASA or FOS etc) and operational costs against impact on retention rates and average premiums

Lime2014

Horizon81 wrote: »

I'm with LV insurance and every year I get a renewal, and every year I log onto their website, re-enter my details as if I was a new customer, and it comes back £20 or so cheaper.

Did you have to send off your documents again ? - and presumably if you did, you had to send them your NCD which they provided in the first place ? :huh: