House Insurance, big rises for last two years, just me?

Rhino666

I usually use topcashback compare and Quidco compare to  get some really great prices for my house and contents insurance. I have lived in the same property for over 12 years now, so general price rises aside, nothing else has changed.
Last year my usual topcashback/Quidco compare quotes were rather high and a lot higher than the renewal quote from Policy Expert. I did something I don't normally do and renewed with them after some negotiation.
This year the cashback comparison quotes start at around 25% higher than the already inflated prices of last year and Policy Experts renewal price, whilst being about 40% higher than last year is still cheaper. This is all rather unsatisfactory and just wondering if anyone else had the same treatment and possibly found a way around it?        

TheBanker

Rhino666 said:

I usually use topcashback compare and Quidco compare to  get some really great prices for my house and contents insurance. I have lived in the same property for over 12 years now, so general price rises aside, nothing else has changed.
Last year my usual topcashback/Quidco compare quotes were rather high and a lot higher than the renewal quote from Policy Expert. I did something I don't normally do and renewed with them after some negotiation.
This year the cashback comparison quotes start at around 25% higher than the already inflated prices of last year and Policy Experts renewal price, whilst being about 40% higher than last year is still cheaper. This is all rather unsatisfactory and just wondering if anyone else had the same treatment and possibly found a way around it?        

I am in a very similar position. I moved from Hastings to Policy Expert last year as it was slightly cheaper. This year's renewal from Policy Expert is 40% higher than I paid last year, however the best price on the comparison sites is around 70% higher (and I have made sure I'm comparing like for like in terms of values and 'extras').

The same happened with my car insurance this year - the premium went up, but my existing insurer's renewal quote was better than anything I could find on the comparison sites.

Even factoring in any rewards/cashback for taking out a new policy did not result in a saving.

I know the FCA changed the rules to stop existing customers being ripped off by inflated renewal quotes - perhaps we are seeing the result of that? Perhaps the days of shopping around for quotes every year are over? I think over the years I've saved thousands of pounds through this. 

DullGreyGuy

TheBanker said:
I know the FCA changed the rules to stop existing customers being ripped off by inflated renewal quotes - perhaps we are seeing the result of that? Perhaps the days of shopping around for quotes every year are over? I think over the years I've saved thousands of pounds through this. 

Its partially that but also a few years of horrendous underwriting results... weather claims were up 35% last year and for every £1 premium received the home insurance industry as an average was paying out £1.22 in claims and operating costs. 

Floss

I've just received my renewal quote, and it is up 126% Now bearing in mind there was a claim last year,  I had expected around 40-50% increase, but certainly not that much!

Rhino666

Thanks for the responses and I am sorry to hear that this does not appear to be my problem only.
I have to say that my car/motorbike insurances have not been affected in the same way. There is always an insurance  company that wants my business, usually through Topcashback compare and great prices for a motorbike, classic car and standard car with cashback.
I believe that the problem with house insurance is a very small number of cheap insurers  who competed against each other for new business. They are probably fed up with stitching each other up every year and based on address, name or email have agreed not to?
I will try a quote using my partners details and a similar but different property to try and prove this theory.          

DullGreyGuy

Rhino666 said:

I believe that the problem with house insurance is a very small number of cheap insurers  who competed against each other for new business. They are probably fed up with stitching each other up every year and based on address, name or email have agreed not to?       

The problem with that was that the law was changed a couple of years ago for Home and Motor that you cannot offer new customers cheaper prices than your existing customers so now if you want to slash prices to attract new customers you also have to slash existing customer's prices rather than cross funding the discounts with higher renewal rates. 

No doubt we will continue to see times where someone makes a market share grab and cuts prices but they'll need much deeper pockets than they used to to do it and you aren't going to see people doing that when underwriting results are almost across the board losses before discounts are applied. 

Rhino666

I never got a chance to try my other property with other owner(other half) test to see if this was personal/property related as Policy Expert called me today.
I was about to sweep my chimney and that was a nightmare as it happened but they called before the problems at just the right time and with my current home insurance expiring tomorrow at midnight.
Asked what they could do to get me to renew and I was honest and explained that the premium rises of the last 2 years were of serious concern.
I was told that they are no longer able to offer new insurance discount online but would see what could be done for me with a re-quote - 30%+ off their initial renewal quote and a little over 10% more than last year; I can definitely live with that so paid straight away.
Message to others, stick it out and you will get a reasonable deal.