Homeserve 50p a month offer

VirginedOut

So i received a letter from Severn Trent which had marketing information from Homeserve inside, attached to the letter was a card which states;

DON'T MISS OUT

Get cover for your home's plumbing and drainage, simply call HomeServe on ########

50p a month- offer ends 19th December 2018

Initially i thought this sounded fantastic £6 for the year, but than i remembered i rang Severn Trent in 2017 about an issue, after dealing with that the adviser started Homeserve are offering cover for 50p a month, am i interested? I declined.

Why are Homeserve labeling this offer as a "limited offer" when in fact they seem to regularly offer this offer?

What is in t for homeserve to constantly offer cover for 50p a month? Surely they won't be making money on this?

greyteam1959

No they will not be making money out of this offer but just you wait until after the offer period.
Probably goes up the £25 per month................
I would be reading the small print very very carefully before taking up their 'offer'

Head_The_Ball

VirginedOut wrote: »

....Why are Homeserve labeling this offer as a "limited offer" when in fact they seem to regularly offer this offer?...

It is a marketing ploy similar to the never ending DFS sale.

VirginedOut wrote: »

.....What is in t for homeserve to constantly offer cover for 50p a month? Surely they won't be making money on this?

Does the rate shoot up after X months or after the first year?

They trap you with a low initial price and hope that inertia keeps you paying even after a large price increase.

It is probably all just marketing tricks.

VirginedOut

greyteam1959 wrote: »

No they will not be making money out of this offer but just you wait until after the offer period.
Probably goes up the £25 per month................
I would be reading the small print very very carefully before taking up their 'offer'

From letter
...Next year you will receive a reminder before your renewal and if you choose to continue, you could still experience peace of mind for just £7.50 a month*

*providing no claims have been made

So basically they are saying we will insure you for a really low price unless you make a claim than we will charge a high price, which all sounds rather counter productive from a customers point of view.

diamond_dave

Have to say, I took up this offer last year and had the plumbers back 3 times to sort out a leak in the drive.Brilliant service. When renewal time came, I just rang and cancelled- at which time they offered me a discount. Easy.

ossie

Oh no! I got Special offer for first year £1. Now I am paying £1 a week. Never called them out so far. What a waste of money. Don't think I will renew.

nickcc

Took the offer up a few years ago, as stated price shot up after 12 months so I cancelled. Every two months I get another wonderful offer from South West Water advising me of the disastrous effects a leak from the meter to my property will mean.

daveyjp

I'd have to be paid a lot more than 50p a month to take out a Homeserve policy.

kkgree1

I've played this game with Homeserve for around the last 5 years. 50p-75p a month then cancel after the first year - you don't even need to phone, you can write or email to cancel. They do then send regular offers but I wait until the price drops back under £1 month before I take it up again. I have used them in the past for drains but am normally happy to self-insure - at these prices though it gives a little additional peace of mind.

VirginedOut

Thanks for the feedback people.

Decided to go for it, its only £6 for the year, so what could possibly go wrong...(famous last words)

jk0

VirginedOut wrote: »

Thanks for the feedback people.

Decided to go for it, its only £6 for the year, so what could possibly go wrong...(famous last words)

Ohh, they could show up without a stopcock key, and you still have to call out the water company?


Seems to be standard homeswerve practice not to carry them... What a joke, eh?