to stick with current insurer or change.

DullGreyGuy

DjangoUnchained said:

DullGreyGuy said:

Bigphil1474 said:

That's really not what I said was it. Admiral Group are the biggest motor insurers in the UK and made £440m pre tax profit in 2023, up from 2022. The motor insurance industry is forecast overall to only pay out 93% of premiums this year as well.

My point stands that too many businesses are about profit maximisation - they set renewal prices artificially high hoping people won't question it. 

£0.44bn before tax off of £4.81bn revenue so less than 10% profit. Of that £0.44bn profit £0.11bn is investment not revenue and £0.08 is their co-insurance profit share from 2020. Looking purely at profits from this year from revenue and it's not really excessive is it? 

Look at the 2nd largest private motor insurer and it's a very different story. If you remove the £444m they received for selling one of their businesses then DL had £3.9bn of revenue and a £0.17bn loss 

They cannot set "renewal prices" artificially high as the regulations require renewing customers to be charged no more than new business customers and so to spike renewing customers you have to spike new business 

doesnt really explain why my reneal quote was £800+ but with a quick 5 minute chat they were able to slash £200 off it. I thought they were supposed to offer previous customers the same rate as new customers now, without having to ask for it but seems it isnt so.

They have to offer renewing customers a rate that is no worse than a new customer for the same product via the same channel. It doesn't have to be the same because it can be cheaper. 

So the two fundamental questions are:

1) How did you buy your policy last year? Over the phone?
2) Was your renewal quote on the same terms as they are selling to new customers? 

On the basis of how their policy book page on their website functions then answer to question 2 is almost certainly yes. 

The fact they discounted your renewal price is not evidence that a new customer would have been quoted lower. What I suspect is the case is that you bought over the phone last year so they only had to price compare to their telephone new business rate which is typically higher than online pricing so that is inline with the rules. When you phoned they simply adjusted it to the online price. Next year will be the same because again you bought over the phone this year. 

I'm impressed you got through to Admiral within 5 minutes though, their one major drawback to me has always been the long waiting times to get hold of them. 

DjangoUnchained

I bought my policy last year online via a comparaison site. Yes , my renwel was the same as offered to new customers, . It wasn't admiral, the five minute chat started after about 10 minutes going through the press 1 for this that and the other.

DullGreyGuy

DjangoUnchained said:

I bought my policy last year online via a comparaison site. Yes , my renwel was the same as offered to new customers, . 

So they fulfilled the requirement of quoting you a price no worse than a new customer.  The fact they decided to reduce your quote after you spoke to them isnt evidence of them breaching the requirements.

DjangoUnchained

DullGreyGuy said:

DjangoUnchained said:

I bought my policy last year online via a comparaison site. Yes , my renwel was the same as offered to new customers, . 

So they fulfilled the requirement of quoting you a price no worse than a new customer.  The fact they decided to reduce your quote after you spoke to them isnt evidence of them breaching the requirements.

maybe i didnt word it right. The reduced rate they offered me was what they offered to new customers, I checked this by doing a comparison site.