LV quote lunacy
DavidH72
Posts: 20 Forumite
LV sent a car insurance renewal quote for £286 and, very sportingly, the advice that I may like to look around as they know it's a lot higher than the previous £227.
So I did - and who should come up top of the list?
LV - with a quote of £229!
They've switched it accordingly, and my excess even dropped by £50...
So, the initial renewal quote gets hiked up as they assume I'll stick with them, but they then suggest I try to search for a better deal. Counter-intuitive, perhaps? Only if they aren't top of the pile on a comparison site...
I'm trying to get my head around their quoting policy, but the more I think about it, the less sense it makes...
So I did - and who should come up top of the list?
LV - with a quote of £229!
They've switched it accordingly, and my excess even dropped by £50...
So, the initial renewal quote gets hiked up as they assume I'll stick with them, but they then suggest I try to search for a better deal. Counter-intuitive, perhaps? Only if they aren't top of the pile on a comparison site...
I'm trying to get my head around their quoting policy, but the more I think about it, the less sense it makes...
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Comments
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LV sent a car insurance renewal quote for £286 and, very sportingly, the advice that I may like to look around as they know it's a lot higher than the previous £227.
So I did - and who should come up top of the list?
LV - with a quote of £229!
They've switched it accordingly, and my excess even dropped by £50...
So, the initial renewal quote gets hiked up as they assume I'll stick with them, but they then suggest I try to search for a better deal. Counter-intuitive, perhaps? Only if they aren't top of the pile on a comparison site...
I'm trying to get my head around their quoting policy, but the more I think about it, the less sense it makes...
They don't make money from new customers, they make money from laziness at renewal.
they KNOW that saying "why not look around for a cheaper quote!" wont spur the lazy on to do it, price comparison sites are such common knowledge now that if you are going to do it, you will.
BUT they can claim corporate responsibility brownie points by writing that they advise people with large rises to look around.
as a question, if they HADN'T said to look around, would you have anyway?0 -
martinsurrey wrote: »They don't make money from new customers, they make money from laziness at renewal.
they KNOW that saying "why not look around for a cheaper quote!" wont spur the lazy on to do it, price comparison sites are such common knowledge now that if you are going to do it, you will.
BUT they can claim corporate responsibility brownie points by writing that they advise people with large rises to look around.
as a question, if they HADN'T said to look around, would you have anyway?
They put the text on there because the FCA has told them (and every other insurer and broker) to do so. Nothing to do with 'brownie points'0 -
Once I remembered what my original price was, yes - I always check if it's anything more than an inflationary rise!0
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paddyandstumpy wrote: »They put the text on there because the FCA has told them (and every other insurer and broker) to do so. Nothing to do with 'brownie points'
When did that happen? I know home and car insurers have to show last years price but when did insurers and brokers have to advise people with large increases to shop around? Got a link?0 -
Once I remembered what my original price was, yes - I always check if it's anything more than an inflationary rise!
People like you would still complain about an inflationary rise. From my ten years in insurance the main thing I've learned is that tight people think insurance should go down EVERY year.0 -
When did that happen? I know home and car insurers have to show last years price but when did insurers and brokers have to advise people with large increases to shop around? Got a link?It hasn't!
(Though there are a number of complaints about "last year's premium" being "inexplicably" overstated by certain unscrupulous household names!)
Same regs forcing last years price to be shown, says that if the client has been held for more than 4 years they need to also include the text stating the may get a better deal by shopping around.0 -
https://www.fca.org.uk/firms/transparency-insurance-renewals
As above. Last bullet point is what I'm talking about.0 -
So actually no statutory "shop around" advice till they have held them a minimum of 5 years!paddyandstumpy wrote: »Same regs forcing last years price to be shown, says that if the client has been held for more than 4 years they need to also include the text stating the may get a better deal by shopping around.0 -
paddyandstumpy wrote: »https://www.fca.org.uk/firms/transparency-insurance-renewals
As above. Last bullet point is what I'm talking about.
Thanks. So not as straightforward as I read your earlier post. Brownie points can still be earned as described by the OP.0
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