Any benefit from loyalty to insurance provider?

VonLuck

I have been with the same insurance provider for the past 5 years, not out of loyalty, but purely because they gave the cheapest quote year after year. But now I've gotten a quote from another company that is slightly more expensive, but has more benefits.

If I do switch company, do I lose any benefits from being with the same company for a number of years in a row? Or are all quotes treated in isolation i.e. if I someone was to go to my current insurer with the exact same details, would they get the same quote?

I just wouldn't like to risk throwing away any benefits I've accrued over the years by switching to a relatively small insurer that may not be able to provide as good a quote next year.

Thanks.

nhunter100

VonLuck wrote:

I just wouldn't like to risk throwing away any benefits I've accrued over the years by switching to a relatively small insurer that may not be able to provide as good a quote next year.

What benefits are you referring to?

joseph brand

Insurers couldn't give a fiddlers about loyalty. Shop around every year. Do likewise for your electricity and gas.

joseph brand

Insurers couldn't give a fiddlers about loyalty. Shop around every year. Do likewise for your electricity and gas.

Sue Pa Key Pa

I wouldn't have any loyalty whatsoever to an Insurance Company, but if you find a good broker who genuinely covers the market on your behalf and knows their stuff, I'd stick with them

Liam McPoyle

VonLuck wrote: »

I have been with the same insurance provider for the past 5 years, not out of loyalty, but purely because they gave the cheapest quote year after year. But now I've gotten a quote from another company that is slightly more expensive, but has more benefits.

If I do switch company, do I lose any benefits from being with the same company for a number of years in a row? Or are all quotes treated in isolation i.e. if I someone was to go to my current insurer with the exact same details, would they get the same quote?

I just wouldn't like to risk throwing away any benefits I've accrued over the years by switching to a relatively small insurer that may not be able to provide as good a quote next year.

Thanks.

Insurers are aware of the fact that prices have and are rising and that they are losing business that they should be trying to retain.

Take my dad for example.

He drives a 2013 2l Avensis, is 63, retired but does a bit of part time farming, has about 40 years claims free driving, has only ever gotten two penalty points and has never made a claim for anything. Him and my mam on the policy.

He is the archetype of what would be considered good business.

His renewal with Aviva came out at around €475 in April or May which was up around €100 on 2015. Try as I might the best I could get elsewhere was over €500.

After playing hard to get with them, unprovoked, the agent that was ringing him offered €400 to renew which he was happy to accept.

The concept is known as cap and collar.

What it essentially means is that insurers look at their book of business and identify certain driver profiles and put a cap on their premium ie the price will never go over a predefined percentage.

Likewise for drivers that may be less desirable, the collar is put in place for them meaning their premiums will never go below a certain level.

There are advantages to staying with one company, saves you the hassle of having to send in new documents every year, chasing NCB letters, all that jazz. There are advantages to moving too eg the chance to get a better price.

Personally speaking I wouldn't move my insurer for less than €50 once I'm happy with their policy and customer service however some people are purely dictated by price.

I remember when I worked in sales people leaving for less than a tenner.

Makes no sense in my eyes but I guess it comes down to personal circumstances, that tenner would mean nothing to me but it could mean a lot to someone else.

VonLuck

nhunter100 wrote: »

What benefits are you referring to?

Really I just mean premium discounts.

Saul T Nutzz wrote: »

Insurers are aware of the fact that prices have and are rising and that they are losing business that they should be trying to retain.

Take my dad for example.

He drives a 2013 2l Avensis, is 63, retired but does a bit of part time farming, has about 40 years claims free driving, has only ever gotten two penalty points and has never made a claim for anything. Him and my mam on the policy.

He is the archetype of what would be considered good business.

His renewal with Aviva came out at around €475 in April or May which was up around €100 on 2015. Try as I might the best I could get elsewhere was over €500.

After playing hard to get with them, unprovoked, the agent that was ringing him offered €400 to renew which he was happy to accept.

The concept is known as cap and collar.

What it essentially means is that insurers look at their book of business and identify certain driver profiles and put a cap on their premium ie the price will never go over a predefined percentage.

Likewise for drivers that may be less desirable, the collar is put in place for them meaning their premiums will never go below a certain level.

There are advantages to staying with one company, saves you the hassle of having to send in new documents every year, chasing NCB letters, all that jazz. There are advantages to moving too eg the chance to get a better price.

Personally speaking I wouldn't move my insurer for less than €50 once I'm happy with their policy and customer service however some people are purely dictated by price.

I remember when I worked in sales people leaving for less than a tenner.

Makes no sense in my eyes but I guess it comes down to personal circumstances, that tenner would mean nothing to me but it could mean a lot to someone else.

I do see the value of staying with my current insurer as it is currently the cheaper option, but the other insurer is offering more benefits such as no claims bonus protection and step back bonus protection. In this sense, it seems like a better offer.

However, when I look at the majority of other insurers, the prices they quote are way above what I'm currently paying. That's why I figured I've been receiving some sort of discount for being an existing customer and if I was to join as a new customer, it would be an entirely different quote. So I guess I'm wrong in that assumption?

nhunter100

VonLuck wrote:

Really I just mean premium discounts.

So it would make sense to go with the lowest premium so, regardless of company.

biko

VonLuck wrote: »

If I do switch company, do I lose any benefits from being with the same company for a number of years in a row?

Nope, insurers seems to have zero interest in customer retention.
Jump ship every year, we all do.

Atlantic Dawn

VonLuck wrote: »

Really I just mean premium discounts.

Most insurers will actually quote less for a new customer coming to them than the price they offer an existing one. I've done this online with previous insurers and switched to someone else each time.

boardsuser1

I'm with AXA 9 years. And the only reason i stayed that long is that i couldn't get anyone to match the equivilant cover for less.

Yes i have had quotes much cheaper than AXA over those years but they weren't offering breakdown cover,glass cover or protected ncb.

When those were factored in the price was much higher.

Advice to anyone on this thread.

LISTEN TO SAUL T NUTZZ

He knows what he is talking about as he is/was in the insurance industry.

coylemj

I'm with Axa for >10 years and they definitely want to hang on to my business as they gave me fully comp. cover for driving other cars and NCB protection without me asking. Doesn't mean that I assume they're giving me the best price - I always shop around and beat them up every year on the renewal so they know I'm not a complete pushover but as Saul said above, you shouldn't really move for less than €50. It will probably take a while for your new insurer to start giving you free goodies as a loyal customer so you need to check what benefits you have accumulated with your existing policy and be aware that you will be walking away from them if you move for a lower premium.

boardsuser1

coylemj wrote: »

I'm with Axa for >10 years and they definitely want to hang on to my business as they gave me fully comp. cover for driving other cars and NCB protection without me asking. Doesn't mean that I assume they're giving me the best price - I always shop around and beat them up every year on the renewal so they know I'm not a complete pushover but as Saul said above, you shouldn't really move for less than €50. It will probably take a while for your new insurer to start giving you free goodies as a loyal customer so you need to check what benefits you have accumulated with your existing policy and be aware that you will be walking away from them if you move for a lower premium.

I got fully comp for other cars from them as well. The ncb protection i didn't. 10 years next year so who knows.

VonLuck

But surely it's worth jumping ship for the benefits of no claims bonus protection and step back protection, even if it's not at the €50 discount like Saul mentioned?

Steve

In the same boat, last year was €450, this year was quoted over €600.

Normally I ring them and get €50 off cos I've been with them so long 15 yrs, Allianz, and then renew, but this is taking the pi$$.

Any tips?

coylemj

VonLuck wrote: »

But surely it's worth jumping ship for the benefits of no claims bonus protection and step back protection, even if it's not at the €50 discount like Saul mentioned?

Personally I put very little value on NCB protection. If you have a claim then you cannot get a quote from any other insurer meaning that you are at the mercy of your own insurance company who can ramp up the premium by any amount they like, they can then apply your 'protected' no-claims bonus and whatever number they come up with, that's what you have to pay.

If I jumped ship and then had a claim in my first year with the new company, I would expect to get royally screwed on my next renewal regardless of any imaginary NCB protection.

Sue Pa Key Pa

VonLuck wrote: »

But surely it's worth jumping ship for the benefits of no claims bonus protection and step back protection, even if it's not at the €50 discount like Saul mentioned?

NCB without protection is a con. Insurers use it to deter you from making minor claims because of the effect it will have on your premium. You pay for Comp, but are wary of making a €2k claim.The NCB thing overall benefits the insurer, not the policyholder, but they make you think you are being 'rewarded'

Liam McPoyle

coylemj wrote: »

Personally I put very little value on NCB protection. If you have a claim then you cannot get a quote from any other insurer meaning that you are at the mercy of your own insurance company who can ramp up the premium by any amount they like, they can then apply your 'protected' no-claims bonus and whatever number they come up with, that's what you have to pay.

If I jumped ship and then had a claim in my first year with the new company, I would expect to get royally screwed on my next renewal regardless of any imaginary NCB protection.

The first part is incorrect.

Insurers have claims thresholds for new business, normally around €20k. They will decline for new business if you have had one claim exceeding that level or more than one claim for a combined amount more than the threshold.

Most companies will quote you if you have your full bonus and the claim is below their acceptable threshold.

If you make a claim and have full bonus protection you will not lose your bonus and are free to move insurer once the claim is settled and is below the acceptable threshold.

cplwhisper

coylemj wrote: »

I'm with Axa for >10 years and they definitely want to hang on to my business as they gave me fully comp. cover for driving other cars and NCB protection without me asking. Doesn't mean that I assume they're giving me the best price - I always shop around and beat them up every year on the renewal so they know I'm not a complete pushover but as Saul said above, you shouldn't really move for less than 50. It will probably take a while for your new insurer to start giving you free goodies as a loyal customer so you need to check what benefits you have accumulated with your existing policy and be aware that you will be walking away from them if you move for a lower premium.

Did you get awarded the loyalty Life-Time protected ncb with Axa yet.... If awarded, it's unlimited amount of claims opposed to 1 claim in a 3yrs period. !!!!

dingding

cplwhisper wrote: »

Did you get awarded the loyalty Life-Time protected ncb with Axa yet.... If awarded, it's unlimited amount of claims opposed to 1 claim in a 3yrs period. !!!!

I got that as well same as well. Did not think there was a cap

coylemj

coylemj wrote: »

Personally I put very little value on NCB protection. If you have a claim then you cannot get a quote from any other insurer meaning that you are at the mercy of your own insurance company who can ramp up the premium by any amount they like, they can then apply your 'protected' no-claims bonus and whatever number they come up with, that's what you have to pay.

Saul T Nutzz wrote: »

The first part is incorrect.

Insurers have claims thresholds for new business, normally around €20k. They will decline for new business if you have had one claim exceeding that level or more than one claim for a combined amount more than the threshold.

Most companies will quote you if you have your full bonus and the claim is below their acceptable threshold.

If you make a claim and have full bonus protection you will not lose your bonus and are free to move insurer once the claim is settled and is below the acceptable threshold.

Saul, what have you got to say to this poster? His experience doesn't tally with what you're claiming above. I have never heard of that 20K threshold.

This poster wasn't even at fault, his insurance company recouped all of the money yet he is persona non grata as far as the 'industry' you work in is concerned.......

homer90 wrote: »

Has any one ha have any issues in obtaining a quote after a non fault claim ??
My insurance at a time paid out for a RTA, and recouped the full amount from the third parties insurance company (After almost a year). Full no claims was reinstated.

But Im getting 'sorry unable to give you a quote' as claim has been made in thee last 5 years.:rolleyes::rolleyes:

So from what they are saying is, I'm stuck with my current insurer and have to swallow whatever they through at me and be thankful...

http://www.boards.ie/vbulletin/showthread.php?t=2057644870

cplwhisper

I understand the ' 20k threshold' noted above.

Axa can accepted upto 2 claims , 25k single claim cost limit, from your prior insurer ... 3 or more claims would be a decline to quote on new business terms.

Frequency of claims also red flags risks.
2+ claims in single year .

Scenario - every time client sells/buys a car he happens to need new glass repair-results in removal of glass option

Liam McPoyle

cplwhisper wrote: »

I understand the ' 20k threshold' noted above.

Axa can accepted upto 2 claims , 25k single claim cost limit, from your prior insurer ... 3 or more claims would be a decline to quote on new business terms.

Frequency of claims also red flags risks.
2+ claims in single year .

Scenario - every time client sells/buys a car he happens to need new glass repair-results in removal of glass option

Exactly.

Two claims of the same type in a 5 year period is also an issue for some insurers.

coylemj

Saul T Nutzz wrote: »

Exactly.

Two claims of the same type in a 5 year period is also an issue for some insurers.

Poster homer90 (quoted by me above in post #21) has effectively no claims, yet nobody will quote him. The suggestion that Axa or anyone else will quote you, even with two recent claims doesn't tally with the experience quoted by dozens of people who have posted in boards over the years which is this: Once you have had a claim, you are effectively locked into your own insurer because nobody else will quote you. This allows your own insurer to screw you by increasing the premium over the few years you are locked into them and by this strategy, they recoup the money they paid out in most small claims. In turn this discourages people from submitting claims below a certain threshold and the insurance companies make more money.

cplwhisper

For example, someone asks clerk in Axa for quote,

Clerk- "have you or any list drivers for this policy had a claim in the last 5yrs wither a at fault or not ?

Consumer- Yes, I was hit by TP and my insurer has recovered their full costs from TP and are issuing me with my 5yrs claim free non-fault no claim bonus, as claim settled now at xx amount.

Clerk- as the xx amount is within our acceptance rules and subject proof is provided, then I have no problem quoting subject there are no other issues.

Heard this conversation not a hour ago....

Liam McPoyle

coylemj wrote: »

Poster homer90 (quoted by me above in post #21) has effectively no claims, yet nobody will quote him. The suggestion that Axa or anyone else will quote you, even with two recent claims doesn't tally with the experience quoted by dozens of people who have posted in boards over the years which is this: Once you have had a claim, you are effectively locked into your own insurer because nobody else will quote you. This allows your own insurer to screw you by increasing the premium over the few years you are locked into them and by this strategy, they recoup the money they paid out in most small claims. In turn this discourages people from submitting claims below a certain threshold and the insurance companies make more money.

Well he said in a later post that it was Allianz that wouldn't quote him so for the lols, I just rang the Allianz call centre directly.

I outlined a scenario for my 27 year old "brother" who had a €25k claim last year that was fully settled through someone else's insurer. He has a 1.6 focus, full licence and full NCB (as the claim was through another's policy)

A gentleman by the name of Conor informed me that as the claim was fully paid through someone else's policy then they would be happy to quote.

The information the op has posted is only a tiny snapshot of the overall risk so if he is getting declined by Allianz, its not because of the claim, IF the claim scenario is exactly as he outlined.

Don't believe me, call them yourself on 01 4484848.

sky6

i was with the same company for 47 years accident free and was forced to move elsewhere this year.
Simply because of the ridiculous quote I received. The only thing that changed was I changed the Car a dif in value of about 8k.
They wanted nearly double the premium. I'm also retired and don't drive as much as before when working.
When i spoke to them about loyalty and circumstances they reduced it by 180e but this wasn't even near the quote I got from someone else. Outrageous behaviour and abuse of power.

coylemj

AA Ireland is an insurance broker for many years, today their spokesman Conor Faughnan stated this to an Oireachtas committee investigating the cost of motor insurance, emphasis (bold letters) is mine ......

Motorists who had made an insurance claim, or acquired penalty points, were unable to shop around and had to absorb whatever increases there were with their insurance company.

http://www.irishtimes.com/news/politics/insurers-in-retreat-over-lack-of-information-about-claim-costs-1.2784641

Liam McPoyle

coylemj wrote: »

AA Ireland is an insurance broker for many years, today their spokesman Conor Faughnan stated this to an Oireachtas committee investigating the cost of motor insurance, emphasis (bold letters) is mine ......

Motorists who had made an insurance claim, or acquired penalty points, were unable to shop around and had to absorb whatever increases there were with their insurance company.

http://www.irishtimes.com/news/politics/insurers-in-retreat-over-lack-of-information-about-claim-costs-1.2784641

That's not news and its not a new phenomenon.

Depending on the cost of the claim that goes through your own policy you may not be able to get quotes elsewhere, its been that way for as long as I've been working in the industry which is 7 years and its probably been like that for much longer.

Keep reaching though.

cplwhisper

Saul - It was the same 7 yrs ago , before u started ur 7 yrs... I should know.

Billy86

None at all unless you hold a whole bunch of policies. Both new business and renewals insurance salespeople laugh at the people who renew for a higher cost that the "shop around" quoted they get.

If you're with a broker or company like the AA or Chill though, the renewal being a lot more expensive isn't necessarily them ripping you off, call and they'll be more than happy to give you a better price.