Churchill Motor Insurance Charge For Removing Auto Renewal From On Line Policy

MeteredOut

MyRealNameToo said:

Al_Ross said:

Auto Renewal is just another scam, to get you hooked in the following year at a greatly increased price. I have always either called the companies or in this case where it was an on line policy gone in and removed it myself. 

Wasn't expected they would try and scam me for the privilege of doing so though.

Renewing customers have to be offered the same or better prices than new customers since 1 Jan 2022. That isnt to say someone else won't be cheaper but its no longer possible for them to heavily discount new business and thus your premiums automatically go up at renewal as the new customer discount is unwound. 

Not sure how losing a new customer discount when you arent a new customer anymore was a "scam" but this forum has some very strange thinking sometimes. 

The problem with this is that the renewal price is what an equivalent customer would get going direct.

Put those exact renewal details into a comparison site will most likely result in a price cheaper than the renewal cost.

So, they insurer has not broken the regulations when they auto-renew at that price, but only those that go direct in the first place (and are willing to pay a higher premium for doing so) can really say they're getting the same or better price than a new customer.

MyRealNameToo

MeteredOut said:

MyRealNameToo said:

Al_Ross said:

Auto Renewal is just another scam, to get you hooked in the following year at a greatly increased price. I have always either called the companies or in this case where it was an on line policy gone in and removed it myself. 

Wasn't expected they would try and scam me for the privilege of doing so though.

Renewing customers have to be offered the same or better prices than new customers since 1 Jan 2022. That isnt to say someone else won't be cheaper but its no longer possible for them to heavily discount new business and thus your premiums automatically go up at renewal as the new customer discount is unwound. 

Not sure how losing a new customer discount when you arent a new customer anymore was a "scam" but this forum has some very strange thinking sometimes. 

The problem with this is that the renewal price is what an equivalent customer would get going direct.

Put those exact renewal details into a comparison site will most likely result in a price cheaper than the renewal cost.

So, they insurer has not broken the regulations when they auto-renew at that price, but only those that go direct in the first place (and are willing to pay a higher premium for doing so) can really say they're getting the same or better price than a new customer.

No, it has to match the channel the person bought from so phone, web or aggregator. 

Where people do have a problem is where they get the initial quote via an aggregator and then phone to negotiate the price. The sale is completed on the phone so the renewal quote must be the same or less than the phone new business rate. 

MeteredOut

MyRealNameToo said:

MeteredOut said:

MyRealNameToo said:

Al_Ross said:

Auto Renewal is just another scam, to get you hooked in the following year at a greatly increased price. I have always either called the companies or in this case where it was an on line policy gone in and removed it myself. 

Wasn't expected they would try and scam me for the privilege of doing so though.

Renewing customers have to be offered the same or better prices than new customers since 1 Jan 2022. That isnt to say someone else won't be cheaper but its no longer possible for them to heavily discount new business and thus your premiums automatically go up at renewal as the new customer discount is unwound. 

Not sure how losing a new customer discount when you arent a new customer anymore was a "scam" but this forum has some very strange thinking sometimes. 

The problem with this is that the renewal price is what an equivalent customer would get going direct.

Put those exact renewal details into a comparison site will most likely result in a price cheaper than the renewal cost.

So, they insurer has not broken the regulations when they auto-renew at that price, but only those that go direct in the first place (and are willing to pay a higher premium for doing so) can really say they're getting the same or better price than a new customer.

No, it has to match the channel the person bought from so phone, web or aggregator. 

Where people do have a problem is where they get the initial quote via an aggregator and then phone to negotiate the price. The sale is completed on the phone so the renewal quote must be the same or less than the phone new business rate. 

Ah, thats interesting - even through different aggregators can provide different prices - so they must store which aggregator you came via and then produce a renewal quote based on that?

But I've never once (pre and post regulation) not been able to beat the renewal price via an aggregator. I guess I just ended up with a different aggregator.

I've also never once been seen an aggregator to match a renewal price, but I've not made any concerted effort to track which one I previously used.

MyRealNameToo

MeteredOut said:

MyRealNameToo said:

MeteredOut said:

MyRealNameToo said:

Al_Ross said:

Auto Renewal is just another scam, to get you hooked in the following year at a greatly increased price. I have always either called the companies or in this case where it was an on line policy gone in and removed it myself. 

Wasn't expected they would try and scam me for the privilege of doing so though.

Renewing customers have to be offered the same or better prices than new customers since 1 Jan 2022. That isnt to say someone else won't be cheaper but its no longer possible for them to heavily discount new business and thus your premiums automatically go up at renewal as the new customer discount is unwound. 

Not sure how losing a new customer discount when you arent a new customer anymore was a "scam" but this forum has some very strange thinking sometimes. 

The problem with this is that the renewal price is what an equivalent customer would get going direct.

Put those exact renewal details into a comparison site will most likely result in a price cheaper than the renewal cost.

So, they insurer has not broken the regulations when they auto-renew at that price, but only those that go direct in the first place (and are willing to pay a higher premium for doing so) can really say they're getting the same or better price than a new customer.

No, it has to match the channel the person bought from so phone, web or aggregator. 

Where people do have a problem is where they get the initial quote via an aggregator and then phone to negotiate the price. The sale is completed on the phone so the renewal quote must be the same or less than the phone new business rate. 

Ah, thats interesting - even through different aggregators can provide different prices - so they must store which aggregator you came via and then produce a renewal quote based on that?

But I've never once (pre and post regulation) not been able to beat the renewal price via an aggregator. I guess I just ended up with a different aggregator.

I've also never once been seen an aggregator to match a renewal price, but I've not made any concerted effort to track which one I previously used.

As long as the insurance company is setting the price and selling the same product across all aggregators then the renewal price should be no more than it quotes from the aggregators as a collective. Now some do sell different products on certain aggregators and thats then a different story. 

They have to know where the sale came from so they can pay the aggregator their pound of flesh for having generated the lead. Similarly in mass market consumer you will be tracking what sells best where, who's responding to which ads etc to know where to budget should be spent. Many will track it all the way through so they can see if one aggregator is constantly giving them bad business then they may question if they want to continue to advertise on them or not. 

I dont fit the mould for aggregators on any of my classes of insurance but there are lots of threads these days of people saying their renewal quote is lower than what they are seeing online. 

UnsureAboutthis

Al_Ross said:

Auto Renewal is just another scam, to get you hooked in the following year at a greatly increased price. I have always either called the companies or in this case where it was an on line policy gone in and removed it myself. 

Wasn't expected they would try and scam me for the privilege of doing so though.

Absolutely, and a fundamentally sensible move.