Car insurance rocketing

[MickiQ]

It can be cheaper to have a named driver on your insurance. It has been every time I've had a quote.

I have Mrs Q on mine, I put Son Q on it when he returned in 2015 with no job, no flat and no car. It cost a fairly modest sum at the time and I've queried a couple of times since and they told me it wasn't costing anything so I just left it. He moved out a couple of years back to live with his now fiance but I just never bothered to take him off until I replaced the Audi but they said it would make no difference either way.
Mrs has me as a named driver on hers but she added Youngest Q last year when she passed her test (almost a year ago now) as a named driver and it shot up from under £300 to almost £1000, Hers is due to renew about now so I will have to ask her if it has gone down or up.

 

[Elpenor]

Good idea, will ask mates if they mind being on my insurance

 

[Saul Goodman]

I have Mrs Q on mine, I put Son Q on it when he returned in 2015 with no job, no flat and no car. It cost a fairly modest sum at the time and I've queried a couple of times since and they told me it wasn't costing anything so I just left it. He moved out a couple of years back to live with his now fiance but I just never bothered to take him off until I replaced the Audi but they said it would make no difference either way.
Mrs has me as a named driver on hers but she added Youngest Q last year when she passed her test (almost a year ago now) as a named driver and it shot up from under £300 to almost £1000, Hers is due to renew about now so I will have to ask her if it has gone down or up.

They just pull figures out of their arses, and hope you'll pay.
I got a renewal quote for my bikes a while back, and it was near double what I was already paying, so I phoned them and questioned it, and got the usual "it's the best we can do" BS, so I phoned around and got it for slightly less than I'd paid the previous year. I called my insurance company back, and told them the quote I'd received, and that I was going to move to that company. "One second, sir. Let me just check with my manager"... "OK, seeing as you're a valued customer, we can match that quote"... "Oh you can?" Says I, "so you lied to me this morning when you quoted me double that and said it was the best you could do?"... No answer. "Well I'd rather not give you my money this year, but maybe I'll be back to you next year, when this other company pulls the same stunt"
They make my piss boil.

 

[UnderOpenSky]

Good idea, will ask mates if they mind being on my insurance

When I was younger and more social, I used to do this as a matter of course. Meant they had fully comp on my car which could be useful, even if hardly used.

 

[Elpenor]

When I was younger and more social, I used to do this as a matter of course. Meant they had fully comp on my car which could be useful, even if hardly used.

Not sure if it would be an issue with work, need to find out. Cant ask my dad as he has points for speeding.

 

[hash tag]

I'm in one of the highest risk areas in the UK and at the end of last year I got my renewal down by £61.42. as mentioned on other threads little tweaks can make a little difference like job title and marital status.
I don't have any discounts due to membership of car clubs or IAM.

 

[UnderOpenSky]

Not sure if it would be an issue with work, need to find out. Cant ask my dad as he has points for speeding.

Why would it be an issue, assuming you're keeping yourself as the main driver?

 

[RubyToogood]

I was expecting the worst after all this but my motorbike insurance auto quote has only gone up £22.65 this year

 

[Voley]

Just done mine. Yeah, it's jumping up alright. I've only got an old Mini Cooper so my insurance is really cheap, just £20 a month, and I did add a bit of extra mileage and had a lower excess this year. £20 up from £12.50 last year is quite a % jump though. Quite glad I've got a banger tbh.

 

[weltweit]

Got charged an extra £60 IIRC for changing cars when I wasn't in a position to argue and couldn't be bothered. I am expecting them to start from that elevated base when proposing next years policy. We will see what transpires, I am a long time customer with a large NCD so far they have usually agreed to the previous years value.

 

[Winot]

UK car insurance cost up by third but just 2% in France

Disparity, along with lower increases for car cover in rest of Europe raises questions about motor insurance in Britain

www.theguardian.com

 

[mx wcfc]

Just had my renewal quote. Up 27%. Bit of a blow, but affordable. I was braced for worse having seen the media reports, this thread and similar comments on FB campervan groups.

I tried reducing the value of the van (the second hand value of tatty old campervans has fallen off a cliff), and reducing my mileage, but that had no effect. I guess there's a minimum, and it's based on the cost if you crash and kill someone.

 

[Elpenor]

What’s the reasoning? Uninsured drivers on the roads more or just rampant profiteering?

 

[Silas Loom]

What’s the reasoning? Uninsured drivers on the roads more or just rampant profiteering?

It’s because you voted for Brexit and the labour costs of repairs became much more expensive.

 

[mx wcfc]

What’s the reasoning? Uninsured drivers on the roads more or just rampant profiteering?

Rampant profiteering.

 

[Elpenor]

It’s because you voted for Brexit and the labour costs of repairs became much more expensive.

This isn’t P&P, this is transport. Less of the cross thread beef ta; discredits your argument

 

[Silas Loom]

This isn’t P&P, this is transport. Less of the cross thread beef ta; discredits your argument

It’s still the right answer, unfortunately. Cost of labour, rather than profiteering. Not really an industry where profiteering is that easy.

 

[Elpenor]

9% profit made by my insurer last year, they seem to be doing ok

 

[geminisnake]

No, I’m 59. I don’t think any of my circumstances have changed. But Martin Lewis says:

“Insurance is up more than 50% on last year – with the average premium now costing over £1,000 a year. Insurers say rises are down to rising car repair costs, the effect of inflation and, as the value of used cars increases, more being paid out when cars are written-off.”

but NONE of this is my fault so why the fuck should I pay for it? Why can't the shareholders take a fucking hit? Insurance has become a thieving scam imo. Not having a go at you danny, just really pissed off at the level this island has sunk to.

 

[BoatieBird]

If you're shopping around for quotes, beware of excessive excesses!

Insurers accused of using ‘excessive excesses’ to disguise car cover costs

As premiums rocket, and motorists look for a better quote, the headline price can be deceptive. And, the bill for a claim, can also be unaffordable

www.theguardian.com

 

[salem]

Another big increase this year here. Usually I do a few quotes call them up and get them down to close enough to the cheapest to not change, not this year though.

conventional wisdom is it's cheaper to go 'fire, theft + third party' but it can actually be cheaper to go comprehensive - apparently people who opt for FTTP are seen as higher risk.

This year Third Party Fire & Theft was actually the cheapest option and my cars a bit of a shitbox so not worth the extra for comprehensive.

It’s because you voted for Brexit and the labour costs of repairs became much more expensive.

Annoyingly in the end I held my nose and went with one A***n B***s companies. To my shame my morals have a price and in this case it was a smidge below what the saving was. I'll try and hunt down a Bugatti to crash into just before renewal time to make up for it.

 

[kabbes]

Motor insurance as a whole had claims and expenses that amounted to £115 for every £100 of premium they took in 2023

UK motor insurers expect 2023 to be worst performing year since 2010

EY’s UK Motor Insurance Results reveals a net combined ratio (NCR) of 114.6% is now forecast for motor insurers in 2023 – up from 108.5% forecast in June.

www.ey.com

That’s in spite of motor premiums rising by 25% during 2023

Even with the price rises we’re seeing, the industry is projected to do slightly worse than break-even in 2024

Martina Neary, UK Insurance Leader at EY, comments: “The last two years have been amongst the most difficult the motor insurance sector has faced in recent times. The culmination of high inflation, growing material and labour costs, supply chain issues, pricing reforms, and changing driving habits post-pandemic has resulted in the sector recording consecutive years of losses – with 2023 recording the highest loss in over a decade.

“While economic challenges are expected to ease in 2024, headwinds for both insurers and consumers will remain. This means 2024 will be a balancing act for UK insurers. However, the sector remains focused on doing the right thing, and will continue to support consumers while managing costs carefully. In addition, insurers should continue pursuing tech and sustainability transformation, and keeping pace with regulatory change – with IFRS17 and Consumer Duty being particular focuses into next year.”

 

[Elpenor]

I tried a quote from my union via LV yesterday which came out fairly high. I was going to try adding my dad on to it next week.

However Aviva have sent me my renewal today, which is £20 less than last year and back under £300 which is a right touch

 

[Spymaster]

Motor insurance as a whole had claims and expenses that amounted to £115 for every £100 of premium they took in 2023

UK motor insurers expect 2023 to be worst performing year since 2010

EY’s UK Motor Insurance Results reveals a net combined ratio (NCR) of 114.6% is now forecast for motor insurers in 2023 – up from 108.5% forecast in June.

www.ey.com

That’s in spite of motor premiums rising by 25% during 2023

Even with the price rises we’re seeing, the industry is projected to do slightly worse than break-even in 2024

When this happens do the insurers put prices up for everyone to share the losses, or will they pile it onto certain sectors? As mentioned, my premiums did go down with the same insurer at last renewal.

 

[kabbes]

When this happens do the insurers put prices up for everyone to share the losses, or will they pile it onto certain sectors? As mentioned, my premiums did go down with the same insurer at last renewal.

Fundamentally, insurers are always trying to start from their most accurate possible assessment of risk. Then they layer on factors specific to their own particular risk profile — maybe they want to expand or contract in a market segment in order to achieve better diversification, or maybe they have a particular reinsurance treaty that cheaply eliminates risk in your geographical region. Then they layer on expenses — different insurers will be running different expense ratios depending on the efficiency of their systems, but it may also be that they are more efficient in particular market segments (for instance, having lower acquisition costs for young males in London). Then they layer on return on capital targets, including debt financing — over the market cycle, they are normal targeting normally about 10% RoC. Capital employed depends on their overall book of business (including non-motor), the jurisdiction they are operating in and the efficiency of their capital model. It also needs to account for debt in the company. Then they layer on things like your propensity to change insurers and other price discrimination factors. This is where you get the constant A/B testing — you might get a different price offer than an identical person down the road just because they’re testing who is willing to pay what. They’ll also be looking at your lifetime value as a customer, including whether they have products they can cross-sell you, that might make it worth giving you motor insurance as a loss-leader.

So, in short, it’s complicated.

 

[Elpenor]

I tried a quote from my union via LV yesterday which came out fairly high. I was going to try adding my dad on to it next week.

However Aviva have sent me my renewal today, which is £20 less than last year and back under £300 which is a right touch

Digging into the premium, £238 for 6k annual miles, car is worth v little now as 15 years old, parked on a driveway day and night, £0 excess, everything included (courtesy car, legal, windscreen, hire car, personal accident).

I am not protecting NCB discount as I have 14 or 15 years and a claim would only impact the discount by a few %, realistically a claim would write the car off too.

Reading kabbes post I do have a few other products with Aviva including a former work pension and home insurance

 

[Silas Loom]

Aviva seems to be very loosely federated as far as their customer service and information management goes, as with many acquisitive businesses, so I bet they are rubbish at cross selling.

 

[weltweit]

Got charged an extra £60 IIRC for changing cars when I wasn't in a position to argue and couldn't be bothered. I am expecting them to start from that elevated base when proposing next years policy. We will see what transpires, I am a long time customer with a large NCD so far they have usually agreed to the previous years value.

Hmm, renewal states, last year £303.93 quote for next year is £405.32

I don't even think last years cost is right, think it was less than that.

Anyhow, that increase is crazy, another year's no claims etc .. and they do this!

Confused.com shows Churchill and The AA at about £280.00

I won't be paying £400, that is for sure.

 

[MBV]

I'm expecting a circa £100-£150 increase taking it to around £650 . Not until July though.

 

[Looby]

My car insurance is about £120 a month now which is fucking stupid money. Partly because I had 3 claims in 3 years but not entirely.

This is part of the reason I’m going to be leasing for a bit. I can get a new electric car with all costs excluding electric and insurance excess included so at least I know exactly what I’m paying for the next 3 years.