British Gas raising boiler insurance cost again. Options?

1404

Hi all,

I live in a 22 year old townhouse with the original boiler and a hot water tank on the top floor. Been here 7 years. The boiler has always worked fine but I've been insuring it with British Gas for years and it's currently £29 per month. But they have now quoted £35. They say it's on the "limited parts list".

Should I seek cheaper insurance cover (if so, any recommendations?)?

Stop paying the insurance and attempt to find someone who can fix it as and when?

Or get a new boiler (obviously I'd get quotes from local tradesmen on CheckATrade and MyBuilder etc)?

giraffe69

If you can find a local reliable plumber then save the money and put it away for a service or any problems.

Albermarle

It is usually recommended not to get a new boiler until the old one is economically unviable to repair.
Although a new boiler will be more efficient, the savings will be small compared to the outlay for a new boiler.

Kiran

£35/month put away in a rainy day fund gives you £420 a year if you have a breakdown and need it repairing. Also a good chunk of money towards a new boiler if that becomes necessary. Lots of these insurance/breakdown covers will essentially fix it until they can't get the parts. Then they'll offer you a "deal" on a new boiler.  

vacheron

I would personally always go for option B as I'm a massive advocate of self insurance. 

We inherited our potterton system boiler when we moved into this house in 2010. In the last 14 years the sum total of faults has been:

2 x blown fuses (£0.08 each)
1 x faulty extractor fan (fitted my own refurbished unit for £48).

Total cost (self insurance) £48.16

Total cost of insuring with BG at the new price if £35 per month over 14 years ......: £5,880.00!      

FreeBear

vacheron said:

I would personally always go for option B as I'm a massive advocate of self insurance. 

We inherited our potterton system boiler when we moved into this house in 2010. In the last 14 years the sum total of faults has been:

2 x blown fuses (£0.08 each)
1 x faulty extractor fan (fitted my own refurbished unit for £48).

Baxi back boiler installed in 1988/9. Faults -

Circulation pump - Replaced myself for ~£50.

Timer - Replaced myself for ~£40.

Thermocouple - £10.

Back boiler was still working when I replaced it last year. Found it increasingly difficult to find a Gas Safe engineer that would issue a safety certificate (had one fail the boiler on a spurious excuse).

New boiler has a 10 year warranty, and I only need to pay for an annual service. The company that did the install keeps trying to push their "service plan" on me for only £8.99 per month. For that, I get a service each year, and maybe free repairs once I've paid a call out fee.

 If a fault develops, Viessmann will be getting a call.

1404

For the £29 per MONTH (currently the British Gas insurance fee) I also get an annual service and landlord gas safety certificate (I have a lodger). So I do get something else out of it.

FreeBear

1404 said:

For the £29 per year (currently the British Gas insurance fee) I also get an annual service and landlord gas safety certificate (I have a lodger). So I do get something else out of it.

£29 per year is a pretty good deal. But if it is per month, get a local Gas Safe engineer to do the annual service and issue a GS certificate. Depending on where you are in the country, it would probably cost £80-120.

1404

FreeBear said:

1404 said:

For the £29 per year (currently the British Gas insurance fee) I also get an annual service and landlord gas safety certificate (I have a lodger). So I do get something else out of it.

£29 per year is a pretty good deal. But if it is per month, get a local Gas Safe engineer to do the annual service and issue a GS certificate. Depending on where you are in the country, it would probably cost £80-120.

That does make sense to do. It's sods law there'll be an expensive breakdown shortly thereafter though! 

TELLIT01

Going the 'self-insurance' route with an older boiler is higher risk, as it is more likely to break down.  I've certainly paid in far more than I've had out from my BG contract but the biggest potential bill I had was in the region of £1k according to the engineer who finally fixed it.  It was one of these problems where one issue is found and fixed only for it to reveal another.  There were numerous parts replaced over several visits.

housebuyer143

1404 said:

FreeBear said:

1404 said:

For the £29 per year (currently the British Gas insurance fee) I also get an annual service and landlord gas safety certificate (I have a lodger). So I do get something else out of it.

£29 per year is a pretty good deal. But if it is per month, get a local Gas Safe engineer to do the annual service and issue a GS certificate. Depending on where you are in the country, it would probably cost £80-120.

That does make sense to do. It's sods law there'll be an expensive breakdown shortly thereafter though! 

Do they service your water tank though? I don't think its included and that is something you should be servicing as they are extremely dangerous if left with a fault. 
Personally, I would save your money and call an engineer if it breaks and pay for the repair.