Insurance renewal date brought forward two weeks by Insurer on negotiating new quote.

dillie

I took Martyn’s advice on negotiating a better car insurance quote a couple of weeks before the renewal date - mine is the 26th September. I did just this today with Churchill. Their renewal quote had increased from last year’s £320+ to £356+ so I used Compare the Market to look for better prices, they showed me lots of quotes, two or three new companies offered prices from £276 to £280+ so I phoned Churchill to say I wouldn’t be renewing unless they could offer a better price. They asked me for details of the other quotes and then came back and offered to renew at £301.40 with no changes,  I was happy with that as it saved me £55. We went through my details and I gave them my new bank card number and all was ok.
Later today I noticed they’d taken the money straight away- two weeks before the renewal date.
I phoned them and asked them to put the money back and debit it on the correct date, 26th September. I hadn’t budgeted to pay £301.40 today and it caused problems.
Churchill claimed that by giving them a new bank card number they were entitled to take the money immediately.
I disagreed and made the point that the money I paid them in September 2024 covered me until 25th September 2025 and that they should not overlap the insurance.
They are proving very difficult and tried to give me the blame. They have raised a ‘complaint’ which will take 3 working days before they reply to me. 

Has anybody else experienced this?
They said that informing the company of a new bank card number means they have to take the money immediately. I’m sure this is wrong and I told them so. The confirmation email I received straight after shows the renewal date as 26th September, not today’s date of the 12th. They have never done this to me before and I’m shocked.

Mildly_Miffed

So the policy is still 26/9 - 25/9...?

It's just the payment date that's the issue here?

I'm not entirely surprised they debited it there and then, on being given new card details.

born_again

Why do you think it's wrong to payment at the time you made the new purchase? Had you just renewed without negotiating a new deal, then it would have been taken at renewal date.

You order goods from a retailer the vast majority take payment straight away.

sheramber

The price quoted would only apply at that date so is charged on that date.

Paying on 26 th would be at the renewal price already quoted. 

kimwp

Whenever I've taken out new insurance, I've paid at that point. (For cover to start at the end of the current contract). It only comes out on the renewal date if it's being renewed.

Ayr_Rage

Seems normal to me, you saved £55 and agreed to pay.

WellKnownSid

Yes it’s normal to pay immediately.

DrEskimo

I just renewed mine with admiral and like the OP after looking on comparison sites and haggling, I got a renewal that was a better price than originally offered so stayed with them. 

They didn’t take payment until the date of renewal though (2 weeks later). So perhaps it varies by provider?

HedgehogRulez

So the insurance renewal date has not been brought forward by 2 weeks? Loving the accurate title…

flaneurs_lobster

DrEskimo said:

I just renewed mine with admiral and like the OP after looking on comparison sites and haggling, I got a renewal that was a better price than originally offered so stayed with them. 

They didn’t take payment until the date of renewal though (2 weeks later). So perhaps it varies by provider?

Me too, with BofScot. Maybe the driver (!) for immediate payment is the use of a new card.

Grey_Critic

Question is have they actually taken the money or does it show pending on your bank account? My various insurances vary - some take payment straight away whilst other do not do so until the date the policy comes into account.

I can see problems where they do not take it straight away - try to take on the day policy starts and bank refusing due to lack of funds. Then of course what happens if the bank says no and you are then possibly driving without insurance?