Insurance Renewal - Non fault claim, why does this increase price?!

hanfrangipane

Hi all,

My car insurance is up for renewal and I got some quotes last week with the best one coming in at 450 for the level of cover that I want, 350 less than my renewal price - happy days I thought!

Just called my current insurer to cancel the renewal and whilst double checking details he reminded me of an accident that I had last year. I'd completely forgotten about it as it was entirely not my fault and the other party settled the entire claim.

The difference in quotes if I put this detail in is 100 pounds!! How can this be right?! A police van reversed into me and took out most of a wing, they admitted complete liability, their insurers settled it and the car was repaired. How come the victim in instances like this get penalised?! It's ridiculous!

I'm basically just ranting - if I have to declare it then I have to declare it, but it seems totally unfair. What's the point in no claims discount (Ihave 5 years) if you're penalised for other peoples mistakes?

Grrrrrrr!

F1F93

hanfrangipane wrote: »

Hi all,

My car insurance is up for renewal and I got some quotes last week with the best one coming in at 450 for the level of cover that I want, 350 less than my renewal price - happy days I thought!

Just called my current insurer to cancel the renewal and whilst double checking details he reminded me of an accident that I had last year. I'd completely forgotten about it as it was entirely not my fault and the other party settled the entire claim.

The difference in quotes if I put this detail in is 100 pounds!! How can this be right?! A police van reversed into me and took out most of a wing, they admitted complete liability, their insurers settled it and the car was repaired. How come the victim in instances like this get penalised?! It's ridiculous!

I'm basically just ranting - if I have to declare it then I have to declare it, but it seems totally unfair. What's the point in no claims discount (Ihave 5 years) if you're penalised for other peoples mistakes?

Grrrrrrr!

You are statistically more likely to be involved in another claim, afraid thats the only reason.

Let's put it this way. Who would you rather lend your car to?
Person A: 40 years old, clean license, no accidents ever, max NCB.
Person B: 40 years old, clean license, same postcode etc, max NCB (identical in every way except:) 4 accidents, none of which are his fault.

You'd be more inclined to lend to person A, simply because you instantly think that your car must be less likely to be involved in a crash.

I'm in the same boat as you tbh - I used to put my mum on my insurance as a ND when I was younger to decrease the premiums, but someone hit her (parked) car, which increased my premiums so much that it was cheaper to not have her as a ND.

Retrogamer

As above. Even if it's a non fault claim, your premium will rise as statistically you're a bigger risk regardless of fault.

Your total annual premium will rise, but your existing no claims bonus will still give you a discount on that increased premium.

Not all insurance companies will load the premium for a non fault claim though.

hanfrangipane

It's so frustrating! I see what you're saying, but I don't live at that postcode anymore either, I've moved over 100 miles away!

Just seems ridiculous - completely not my fault and in £120 worse off!

F1F93

hanfrangipane wrote: »

It's so frustrating! I see what you're saying, but I don't live at that postcode anymore either, I've moved over 100 miles away!

Just seems ridiculous - completely not my fault and in £120 worse off!

Yep, totally unfair, but that's how insurance companies work!

In order for them to stay in business, they have to charge more in premiums than they pay out in claims. The only way to avoid that £120 surcharge (and future surcharges for five years) is to invent a time machine, go back in time and drive as far away from that van as you can! :rotfl:

neilmcl

hanfrangipane wrote: »

It's so frustrating! I see what you're saying, but I don't live at that postcode anymore either, I've moved over 100 miles away!

Just seems ridiculous - completely not my fault and in £120 worse off!

It is totally unfair but as the poster above states that's just how insurance works. It's all about risk, risk, risk and unfortunately you now pose a higher risk, according to statistics.

macman

It's a no- claims bonus, not a no-blame bonus.

F1F93

neilmcl wrote: »

It is totally unfair but as the poster above states that's just how insurance works. It's all about risk, risk, risk and unfortunately you now pose a higher risk, according to statistics.

I know how you feel.
In the time I've been driving, my (older) brother (who has been driving longer) has had 3 crashes (that have gone through insurance, and several others that haven't). My mum has had 1. I have never been involved in any kind of accident (touch wood!), yet I have the highest premiums purely because I am the youngest which, according to insurers, means I am a bad driver.

arcon5

macman wrote: »

It's a no- claims bonus, not a no-blame bonus.

Ops no claims bonus remain unaffected, thus irrelevant to ops rant. It's the base premium op doesn't like

dld2s

yea, same thing happened to my daughter, she wasn't even in the car it was parked when it was hit, I suppose there statistics are right though, 3 years later she was clipped on a bend by another car meaning another no fault claim

arcon5

Isn't there also a statistic that a driver in an accident is significantly likely to be involved in another accident within 2 years