Changing Address Increasing Car Insurance Price

Eatscake

So basically a few months ago I got my first car insurance in Nottingham which cost me £950 a year with a black box on a multicar scheme with my parents. I then moved to Swindon for 3 months and the price increased to about £1700! I've now moved back to the same address I already signed up with and the price is remaining at the £1700 mark and Im also being charged an admin fee to change the address... To me this seems ridiculous? How can the price not decrease at least near to the original value? Im currently awaiting a call from a manager at admiral but what do you guys suggest? Do you think theres a chance of me being able to reduce the price? Thanks for your help,

Chris

GingerBob_3

Eatscake wrote: »

So basically a few months ago I got my first car insurance in Nottingham which cost me £950 a year with a black box on a multicar scheme with my parents. I then moved to Swindon for 3 months and the price increased to about £1700! I've now moved back to the same address I already signed up with and the price is remaining at the £1700 mark and Im also being charged an admin fee to change the address... To me this seems ridiculous? How can the price not decrease at least near to the original value? Im currently awaiting a call from a manager at admiral but what do you guys suggest? Do you think theres a chance of me being able to reduce the price? Thanks for your help,

Chris

It doesn't make sense, but this type of scam is par for the course, unfortunately. I'm sure if you persist they'll throw some bogus (high level) stats at you that apparently show what they're doing is justified.


Move to a different company next year, and if they ask why you're doing so (they probably won't give a monkeys) just tell them you don't do business with scammers.

paddyandstumpy

GingerBob has succintly summed it up. Said no person ever!
Ignoring the conspiracy waffle he comes out with, I agree it doesn't seem fair.

However perhaps since inception of your policy they have reviewed their area rating and decided that in effect you had underpaid at new business; and now you've initiated a change the updated rating is coming into effect?

Perhaps ask them to explain using the numbers in your OP, that you were expecting the premium to return to the level it was initially and ask them why it hasn't?

gsf600y

I think these insurance companies are using all sorts of "logic" to bump prices up.

I moved about 1 mile away, to a far more affluent area. Bigger houses, nicer cars, but I believe lower crime rate.
So, suddenly our car insurance prices have gone up by 50%. Same cars, although now parked on private driveway, instead of road.

I personally believe they know full well that the more affluent the area, the more affordable these higher prices are.

rudekid48

gsf600y wrote: »

I think these insurance companies are using all sorts of "logic" to bump prices up.

I moved about 1 mile away, to a far more affluent area. Bigger houses, nicer cars, but I believe lower crime rate.
So, suddenly our car insurance prices have gone up by 50%. Same cars, although now parked on private driveway, instead of road.

I personally believe they know full well that the more affluent the area, the more affordable these higher prices are.

Car parked on street - thief doesn't know which house to steal keys from.

Car parked on driveway.....

Just one example of why risks can be perceived to be higher....

gsf600y

True, but that risk far outweighed by lower risk of damage compared to a car parked on the street.

dacouch

gsf600y wrote: »

True, but that risk far outweighed by lower risk of damage compared to a car parked on the street.

Professional thieves eg those who steal the car with the keys or by overiding the vehicles computer tend to target affluent areas due to the types of cars they want eg executive vehicles being freely available. Rather than a cheaper area that will have fewer executive cars.

Add the above to Rudekid's answer for why many Insurers rate more affluent areas as being more expensive to insure than neighbooring areas with cheaper housing stock

GingerBob_3

rudekid48 wrote: »

Car parked on street - thief doesn't know which house to steal keys from.

Car parked on driveway.....

Just one example of why risks can be perceived to be higher....

Perceived is the key word here. The statistics to back this up would be interesting, if they existed, which they almost certainly don't.

dunstonh

gsf600y wrote: »

True, but that risk far outweighed by lower risk of damage compared to a car parked on the street.

Car scratched on street. Person either leaves it or gets it repaired themselves. Even if insurance used, its relatively low cost to sort out. Car stolen = claim of much higher value.