Car insurence cancellation fee poll

Legacy_user

Hello, I would really appreciate it if you would vote in my poll regarding cars insurance cancellation fees. It would help be tremendously. It is a simple 1 question poll. I will keep you updated on the outcome and will provide you will all the details when the poll is closed. I just dont want to bias the poll in anyway.


Thanks very much

Quentin

Please tell where we can get car insurance for under a fiver.

Obviously if true it's worth the possibility of having to pay under £80 if cancellation is needed.

This is your second thread regarding this "strange" poll. Is there something you are up to you aren't telling us?

agrinnall

Why would anybody want to respond to a poll regarding a completely nonsensical proposition? I suggest you either give up whatever you're attempting to do or provide a lot more information up front.

dunstonh

a fixed fee is a fixed fee whether you pay £5, £500 or £5000 as a premium. That is how fixed fees work.

kingstreet

Fixed fees are charged because the regulator believes it is fairer for those who create the work to pay for it.

Therefore, the old practice of such cost being included in the rates everyone pays has largely stopped; assisted by the growth of comparison sites and the rush to get to the top of the premium charts.

I compare it to the mortgage products I select for clients. Some have higher rates and lower fees. Others have lower rates and higher fees. It takes research and analysis to ensure the correct product is selected which meets the customer's current and future needs.

Unfortunately, insurance purchasers seem to think they can have the lowest possible rates, then avoid paying for the after-sales services they require.

In addition, there is no connection between the fee and the premium as the cost of the work involved in cancelling a contract is the same regardless of what was paid in the first place.

If you conducted a poll asking whether a £75 fee properly reflects the cost of cancellation, or if there is an element of penalty involved, that would be a worthwhile debate.

InsideInsurance

If you bought that policy via an aggregator like Confused.com then the insurer has had to pay them ~£60 irrespective of if your policy cost £5, £500 or £5,000

The average cost of AdWords to get a sale is well over £60, whilst there may be some grounds for getting the aggregator fees back if the cancellation is within the first month or so of the policy these costs are sunk and apply even if the policy is cancelled on the day its bought.

It was a few years ago now but I saw a piece of work calculating the total cost of a new policy and when you factor in marketing costs, operational costs, fees etc the total cost was well north of £100. The average cancellation happens in the earlier months of the policy so you'd expect the around 75% of this to be unearned and thus legitimately chargeable as a fee.

System

agrinnall wrote: »

Why would anybody want to respond to a poll regarding a completely nonsensical proposition? I suggest you either give up whatever you're attempting to do or provide a lot more information up front.

far to many long words in there to have any idea what on earth your going on about!!

typo in original poll. will close this one and open another one

Spiderham

michael0fowler wrote: »

far to many long words in there to have any idea what on earth your going on about!!

typo in original poll. will close this one and open another one

So which part of that simple statement doesn't make sense?

Do you have a point or are you just having a meaningless rant?

What has led to you asking this question?

If you are going to put a poll up which seems like a nonsense question it would be a good idea to answer people's queries on it.