Boiler repair cover - switching

dfrith123

Hi,

Boiler repair & service cover etc is one of those things you sometimes wonder why you get, but bought at the right price it can give some peace of mind.

At between £10 to £30 per month depending on what scope you want I guess most of us don't switch very often, if at all.

Most of the products are now insurance based, and are subject to the same upwards drift of most such products on renewal. Switching though reveals an industry sector which is somewhat anti-competitive and is in need of fixing. I received a renewal quote from my exiting provider today, 1st march for renewal on 15th march. As the price had gone up by over 10% i thought it would look at offers and maybe switch.

I found a new provider at less cost than I am currently paying, and with broader scope and completed the on-line application, but paused at the payment page as I hadn't been asked what date i wanted cover to start from. In fact the website doesn't offer that choice. I rang up and was told that cover is not available for the first 30 days anyway (ostensibly to avoid taking on a boiler already broken .. which seems a bit weak). So I either continue with my old, more expensive quote, or lose continuity of cover and take the risk of a fault in the last two weeks of March. the agent said that no cover for the first 30 days was industry standard, as was issuing reminders two weeks before.

These guys need to raise their game. Car insurance can be taken out to start immediately ... and of course you might crash in the first 30 days! Risk of a boiler breaking down in the two weeks uncovered is probably small, but still a risk, The easiest fix would be for the industry to issue renewals 45 days or more before the renewal date. Then the customer can have two weeks to shop around and switch and not lose continuity of cover.

Has anyone else been caught out in this trap?

Maybe this is one for MSE to tackle, as it is an industry wide issue, not something that can be resolved by complaining to one individual company.

The regulator for these guys is the FCA ... but they don't seem too interested in picking up the baton, based on a call I made.. The implication was that it might need a change in law! That is a bit OTT. Surely there are some standards which they are supposed to adhere to, like treating customers fairly, and having regard for the reasonable needs of consumers. The example I give seems to break both of those principles.

csgohan4

You don't buy something important without looking at the T+C's, if you don't like it either go elsewhere or go without.

You can't force insurers to cover you

Why not consider self funding, that way you always got cover, by yourself and choose the contractor you trust

tacpot12

+1 for self-insuring.

DCFC79

I agree, nothing wrong with the current system, it works for me.

dfrith123

Thanks - I understand the self funding option. Perhaps I wasn't clear enough that my issue is solely to do with switching, which isn't handled properly in my view.

cdturri

I think the 30 days are there to prevent people back claiming for broken boilers. Car insurance can be immediately since it's a lot difficult to back claim if you had an accident, usually there will be some evidence on when the accident happened, other cars etc. If you boiler breaks you could just get boiler breakdown coverage the next day and back claim. Having said that people are unlikely to want to live without heating or hot water for 30 days. Yes it might be a bit dodgy that the letter comes 2 weeks before renewal but you only got yourself to blame there. Set a reminder and buy a month in advance and you won't have any cover gaps.