INSURANCE: Are you paying too much?

We’ve seen this really eye-opening article in the Kirklees Older People’s Network newsletter. It’s well worth a read.

Loyalty Doesn’t Pay – Are you paying too much Home Insurance?

Almost certainly, if your premium has been going up every year, or you’re paying more than £300 for buildings and contents on an average home. There is no reason for home insurance rates to increase in recent years – overall, policies cost 18% less than they did five years ago (AA British Premium Index) and the number of home burglaries has been in decline for a long time.

It is really important to shop around for the best deal! Articles in the Guardian newspaper have recently exposed the home insurance industry for the callous way it treats its loyal customers, especially older people who have been with the same insurance company for years. Their trick is to start customers on a low rate per year and then increase it gradually over the years, whether this is justified or not.

This particularly penalises older people who are more likely to be loyal customers and less likely to have access to the internet to compare costs. One pensioner was paying £648 per year for a 2 bed bungalow. When his daughter applied on his behalf as a new customer, the premium for the same property fell to £162!

Visit the Kirklees Older People’s Network website for more info like this and to subscribe to their newsletter

 

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