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Admiral insurance - beware of new Contracts

I had this with Admiral insurance. I’ve always trusted them, (taken over by a European firm last few years)  but now they’ve written into their contract with you that they will automatically renew the policy where it ends. I didn’t notice this. And charge an admin fee and a weeks cover if you don’t progress with their cover.

Then within 2 weeks give your case to a debt collection company. And it may be a legal debt as you agreed to this a year before.

you need to click no to auto renewal when you start a policy…...

thankfully, I had emailed Admiral to inform them that I wasn’t renewing prior to renewal and was able to prove that to them. They claim they never got that email, but I had it in my sent inbox. 

it just seems like another moneymaking opportunity for insurance companies (and debt companies) to keep your business, and charge you if you go elsewhere. 

Shameful and underhand  imho……

Comments

  • huckster
    huckster Posts: 5,062 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    edited 23 April 2023 at 5:59PM
    Not really.  Quite a lot of Insurers have automatic auto renewal arrangements and people have to opt out if they don't want this.  

    I have been involved with insurance and consumer advice forums on this subject for a very long time.  Numerous times, I have read complaints from people who have had policies that have not auto renewed. They then have an accident and contact the Insurers to find out that they no longer have Insurance cover.  They then face having to repair their own vehicles at their cost and also face owing third parties a lot of money.  And could also have the Police after them for driving without Insurance.

    However well organised people are, if at the time of renewal there are distractions that make people forget to take out new Insurance, then the consequences could be life changing. 

    Because of the risks, auto renewal for most people is a safer option.
    The comments I post are personal opinion. Always refer to official information sources before relying on internet forums. If you have a problem with any organisation, enter into their official complaints process at the earliest opportunity, as sometimes complaints have to be started within a certain time frame.
  • user1977
    user1977 Posts: 16,686 Forumite
    10,000 Posts Sixth Anniversary Photogenic Name Dropper
    Which bit is new about this? Admiral were auto-renewing years ago. Presumably you only get charged anything if your policy has actually auto-renewed. In which case it sounds no different from their competitors. 
  • dunstonh
    dunstonh Posts: 118,551 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    but now they’ve written into their contract with you that they will automatically renew the policy where it ends. I didn’t notice this. And charge an admin fee and a weeks cover if you don’t progress with their cover.
    followed by:

    thankfully, I had emailed Admiral to inform them that I wasn’t renewing prior to renewal
    So, you didnt notice the "what to do next" section of the cover letter but you still emailed them anyway?

    So, really, auto-renewal was not a problem for you.


    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • DullGreyGuy
    DullGreyGuy Posts: 15,575 Forumite
    10,000 Posts Second Anniversary Name Dropper
    Last Admiral policy was a decade ago and they were using auto-renewal like the rest of the industry back then.
  • MidlandsGlory
    MidlandsGlory Posts: 1,720 Forumite
    Sixth Anniversary 1,000 Posts Name Dropper Photogenic

    I disagree strongly on auto renewal being a good thing. GDPR law was thankfully amended to prohibit auto sign ups of communications or subscriptions. I think this should be applied to auto renewals too as companies like Admiral sign you up for it by default, I strongly believe a law should be made to make it require an opt-in by default.

    It makes people lazy and they end up paying a lot more, to illustrate a point, we had our Admiral car insurance renewal this week and if just let it progress would have paid a lot more, just by telling them to cancel the renewal they dropped the price by £70 to keep us!

  • DullGreyGuy
    DullGreyGuy Posts: 15,575 Forumite
    10,000 Posts Second Anniversary Name Dropper

    So you will be happy when someone rear ends you car injuring you and your loved ones but you end up with a fault claim because they were also useless at remembering dates and had forgotten to renew their insurance?

    Keep wishing, auto-renewal has massively reduced the number of uninsured drivers and reduced premiums and is highly unlikely to be reversed

  • MidlandsGlory
    MidlandsGlory Posts: 1,720 Forumite
    Sixth Anniversary 1,000 Posts Name Dropper Photogenic

    Its not up to private companies to act as a nanny state and enforce the law. Its huge over reach. Its an abuse under a thin excuse.

  • DullGreyGuy
    DullGreyGuy Posts: 15,575 Forumite
    10,000 Posts Second Anniversary Name Dropper

    Its the FCA thats encouraged it… private companies havent acted as nanny state, they are fairly clear that it saves costs and increases retention and the reduction in uninsured drivers is a happy coincidence. Do you think the insurer of the person that rear ends you and injures you and your loved ones is happy they autorenewed their insured? They'd be much happier if they were uninsured and its just your problem

  • MidlandsGlory
    MidlandsGlory Posts: 1,720 Forumite
    Sixth Anniversary 1,000 Posts Name Dropper Photogenic

    I don't care if they are happy or not.
    I am an adult and want to decide myself what services I choose to purchase like any other purchase. Its up to the police to keep uninsured drivers off the road.

  • DullGreyGuy
    DullGreyGuy Posts: 15,575 Forumite
    10,000 Posts Second Anniversary Name Dropper

    You still get to choose with auto-renewal… you just contact them to tell them to lapse the policy. Its only if you forget that it auto-renews in which case its saved you from yourself.

    Police had since the 1930s to remove uninsured cars from the road but auto-renewal was proven more effective. Crime prevention is better than simply prosecuting criminals.

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