Today the Financial Conduct Authority has announced new regulations to prevent firms from over-charging loyal customers at renewal. The new rules affect general insurance – so home, car, pet, and travel insurance.
However, there will be no impact on you, our payingtoomuch customers. As an online and on-phone insurance broker, we’re different to other comparison websites. We act as your broker, searching the market to provide you with the best options we can find.
When it comes to renewal, payingtoomuch will not automatically renew your policy. Instead, we'll go back to the market to find the best insurer for you on the day you need cover and present you with the options.
Often, this will mean changing provider – but that's no problem. We'll handle everything and get your new policy set up swiftly and smoothly with no interruption in the cover.
By continuously exploring the market every twelve months, we save our customers thousands of pounds annually. We take the guesswork out of insurance comparison.
How common is so-called "price walking", where the insurance cost increases at each renewal? Well, widespread, it seems.
Ben, who works here at payingtoomuch, was recently quoted a car insurance renewal cost of £255 direct from the insurer. This was a 15% increase in the previous year. Upon contacting the insurer and declining the renewal quote, the renewal price was immediately lowered to £215 – cheaper than the last year!
At each renewal, do your research. Or even better, let us do it for you!
Making it easier to decline a renewal
Insurance firms can make it challenging to stop automatic renewal. Making customers call, wait in a long queue and spend precious time you often don't have.
The new FCA regulations will force firms to make it easier for customers to stop automatic renewal. This is long overdue. Customers from any firm should be able to easily and quickly stop the renewal of their insurance.
At payingtoomuch, when your insurance policy ends, so does your cover. There's no automatic renewal. No hard sell. No price-walking. Just honest, competitive insurance.
So, if you’ve been with the same home or car insurance provider for the last few years, it’s time for you to check if you’re paying too much. Get a quote online or call our team on 01243 784000.
If you quote voucher code VCH50 we’ll even give you £50 off your new car and home insurance!