Car Insurance - charges for changes

neilmanc

Hi Folks

apologies if this issue has already been raised but I've just joined the forums and can't find any answers in the posts so far ...

I'm planning to change my car later this year and when I phoned my current insurer (Sainsbury (who are esure I think), they told me there was an "admin charge" for them to change the details of my car. I had a huge row with them on the phone and told them that, since it is a legal obligation for me to insure my car, then I didn't see how they could charge for this. They refused to accept this arguement and said it was in the "terms and conditions" and basically I had no option.

This must be illegal - I've emailed my local police force to ask their advice but haven't had a response. Has anyone challenged these "charges" ? (they also said they charged for changes in address, and even for surname changes if you got married - that must be discrimination)

Is this widespread ? Are there any companies out there who do not rip off customers by charging for things which they are legally obliged to do ?

My insurance is up for renewal in August and I am getting the new car in September so if Sainsbury refuse to back down at least I can vote with my feet

Ta in advance

Neil

silvercar

I had to do a change of address with them on my car insurance.

They told me that there would be a charge so I told them that I didn't want to change the address on the policy but I was just keeping to my legal obligation to notify them of my change of address. I was greeted by silence followed by "well we'd have to change it on your policy". To which I replied, "That really is upto you, but I don't require you to change it on my policy, I am just notifying you as required in law."

Result, change of address and no charge. I guess I was just lucky and got either a call centre bod in a good mood or one to thick to argue.

DaisyFlower

Haha best post ive read today. Ringing the police over an admin charge :rotfl:

You'll be hard pressed to find a company who doesnt charge an admin fee for changes, after all it involves staff, paper etc. They are a business not a charity. Insurance being a legal requirement makes no difference whatsoever.

shelly

I think you will find its pretty standard.
Also your ins co was right, its in the T&C's that you agreed to when taking out the policy.

Also as well as an admin charge there might be an increase in premium so bear that in mind too.
We recently changed cars and paid an extra (IIRC) £52. Some of that was admin, some was premium.

IIRC I've read on here than an admin charge of up to £50 is acceptable.

qazitory

Duplicate

qazitory

I have to pay £25 everytime I changed my car - been the same for me for the last four years. Also they usually charge you if there is a difference in premiums.

I don't think there is a insurance company that will do it for free? Although I would like to be proved wrong!!!

raskazz

I will respond despite having quite serious reservations about whether it is a genuine post.

neilmanc wrote: »

Hi Folks

apologies if this issue has already been raised but I've just joined the forums and can't find any answers in the posts so far ...

This has been raised at least a couple of times a week on average and a search for "insurance admin fees" throws up quite a few hits.

neilmanc wrote: »

I'm planning to change my car later this year and when I phoned my current insurer (Sainsbury (who are esure I think), they told me there was an "admin charge" for them to change the details of my car. I had a huge row with them on the phone and told them that, since it is a legal obligation for me to insure my car, then I didn't see how they could charge for this. They refused to accept this arguement and said it was in the "terms and conditions" and basically I had no option.

Yes it is a legal obligation for you to insure your car. This doesn't mean that Sainsbury's cannot charge you for providing a service.

If you don't like the charge then you should cancel your policy with Sainsbury's and take a new one up elsewhere, although this will also cost you due to the cancellation terms of the policy.

neilmanc wrote: »

This must be illegal - I've emailed my local police force to ask their advice but haven't had a response. Has anyone challenged these "charges" ? (they also said they charged for changes in address, and even for surname changes if you got married - that must be discrimination)

On what principle of law would they be 'illegal'? They are perfectly legal, this is a well-established fact and the Financial Ombudsman Service have made their position on this very clear. Why would it be 'discriminatory' to charge for a change that someone requests?

neilmanc wrote: »

Is this widespread ? Are there any companies out there who do not rip off customers by charging for things which they are legally obliged to do ?

They are not 'legally obliged' to do anything other than what they promised when you set up the policy - ie. to cover your car that you were quoted for for 1 year, subject to the terms of the policy. Those terms, by the way, will clearly state that fees are applicable for mid-term changes to the policy.

Just to add, I cannot believe that you have wasted the police's time like this. Ridiculous.

Ialwaysgetdone

I am not aware of any who don't charge these days.

When I was with CIS and I changed my car they said there would be a charge for doing so. I said if you charge me I will not continue with any of my insurances with CIS when the time comes to renewal and I have been with you over 30 years. They said that is up to you sir :mad:

They charged me but I no longer have any policies with them. Loyalty counts for nothing these days, you only need to look at how banks behave.

Edit>>> my son changed his car and was charged £52 by Mint for doing so, I think it was 10% of his insurance

iNath

Sainsburys will charge £17.50 to amend the policy plus/minus any change in premium due to insurance group of new car.

Please see my thread here.

_Andy_

Probably a troll, esp with the comment about contacting the police.

SPANIEL36

i'm with diamond and sold my car a couple of weeks ago, they allowed me to suspend my poilcy making no further payments until i got a new car. I bought a new car and was not charged for the change of vehicle. When i re-instated my policy i got the suspension lifted and just carried on with the reduced payments