Why Do They Do It?

[epervier]

Insurance renewal time for the wife's coupé, the current insurers sent a renewal with a 25% increase on last years price, so I look on line for a better deal, found Lloyds will do the insurance for the same price as last years premium, phoned the current insurers to say goodbye, immediately the lady knocked the 25% off.

Why on earth do they do it? why not give their existing customers their best price in the first place?

 

[drmw]

Because they are immoral. That's the insurance industry.

You'll find loads of their customers assume they'll be on a good price as they've had no claims, so just let the renewal roll over.

 

[stwat]

Yup, the vast majority io people simply let it roll over without checking. The companies know this so load up the policy price and get away with it.

The last two years my renewals went up stupidly, so online I went to get prices, the very same company came up with the cheapest price ! Over £100 cheaper. Rang them up and they instantly brought the price down to the quoted price.

Scamsters the lot of em.

 

[KennyN]

My insurance renewal for my first full year with the CLS came in at £470 FC , which I thought wasn't too bad but I called them anyway to see if it could be reduced in any way as I was a customer for the last eight years.

"Yes sir , we can do it for £370 - how does that sound"

Pretty good , so I just renewed it straight away.

2 mins on the phone saved me £100, well that was until I told the wife who said that's good as she can now buy MORE shoes. I wasn't aware I married a centipede. .

Kenny

 

[jberks]

Insurance prices have no real basis. So they can charge anything they want within reason. It's all made up.
But, there is competition and of course they need a certain amount in, in order to make a profit. So they set a price, then offer 'discounts' to new customers. Of course you only get that discount the first time so your premium jumps next year unless you take a new customer discount elsewhere. So if pushed they may as well give it to you again rather than lose you, but they can't afford to do it for everyone.
In their defence, stuck between a rock etc.
still, we all know so some of us check and renegotiate each year. Just glad everyone doesn't !

 

[nick7nick7]

whenever you renew, always always check out topcashback/quidco, the money they give you is always good, i managed to get 80 pounds back, just for a couple of clicks.