CPA recurring payment

bigadaj

robatwork wrote: »

I think it's more of a moot point as to whether it's a scam, sharp practice, or just preying on the lazy punter.

IF the company send/email/text the policyholder and make it clear their insurance will be automatically renewed, I would say it's the opposite of a scam - it's ensuring your home/car/contents/phone remain insured.

I set a yearly calendar reminder on my phone 7 days before all my policies end.

These little doubt that the policy of auto renewing in general is there for teh companys benefit rather than the individual, it's just that the relative consequences need to be considered.

Your list obviously isn't comprehensive but isn't really ordered logically. Car insurance is a legal requirement, so as well as huge financial implications of not being covered it can also lead to prosecution.

Jumping down a level then home, presumably buildings, insurance isn't a legal requirement, but would have huge consequences, even more so if the house is mortgaged and uninsured when a fire occurs.

Then down a level to contents where there is less impact, and finally a phone which you'd hope people could replace or self insure, though even that appears to be a struggle for some.

TrickyDicky101

My opinion is that auto-renewal should be an option when you take the policy out - it should be the consumer's choice as to whether they take it or not. It shouldn't be buried in the T&Cs but should be in very plain and obvious sight and require actual intervention on the part of the policyholder.

Neil_Jones

My opinion is that auto-renewal should be an option when you take the policy out - it should be the consumer's choice as to whether they take it or not. It shouldn't be buried in the T&Cs but should be in very plain and obvious sight and require actual intervention on the part of the policyholder.

And let's flip the coin around - let's say if you had for argument's sake contents insurance, you didn't renew it for whatever reason and then your house burnt down two days later, would you then be arguing for automatic renewal?

TrickyDicky101

Neil_Jones wrote: »

And let's flip the coin around - let's say if you had for argument's sake contents insurance, you didn't renew it for whatever reason and then your house burnt down two days later, would you then be arguing for automatic renewal?

No I wouldn't - because I take responsibility for my actions/decisions. If we take your viewpoint to its logical conclusion, then we should make contents insurance (and everything else) compulsory - maybe make it a straightforward deduction from payroll akin to PAYE to make sure everyone pays for it?