Automatic insurance renewal - anyone work for a car insurer?
Discussion
For the last few years most policies I’ve taken out have contained within the small print “automatic renewal” without the option to opt out of this nonsense.
it has caused me no end of grief once with a house insurance policy for a relative who moved into a care home mid policy. Wasn’t clear there was an automatic renewal on it and when the payment didn’t go through it took an age to get them to cancel the debt recovery (the policy got opened for another year even though they had tried to bill the policy holders card, which had been cancelled. They then wouldn’t take my Power of Attorney docs as proof to cancel the policy.) Since I’ve been very wary of it.
Renewal comes through for car insurance (albeit this insurer at least provided a clear the disclaimer on the renewal notice) with the notice that unless I contact them I will automatically consent to a new policy; quote has gone up a few quid than the year before, so I shop around and get a better deal. I have to waste 20 min trying to turn off the renewal.
On paying for said new policy (different company) in the small print is again something along the line of “terms and conditions include consenting to automatic renewal and the bank details will be used blah blah.”
However, when entering my card details it gives me the option to ‘save card details for this site” so I click “No”. I still have to provide bank details to set up the DD.
I appreciate there is a subtle difference between card details (deposit) and bank details (direct debit) but it doesn’t seem ethical to ask them not to retain my information and they choose to ignore it and not provide the option to opt out of the automatic renewal?
Be interesting to hear an industry viewpoint on this if they view bank details and card details as two separate entities?
it has caused me no end of grief once with a house insurance policy for a relative who moved into a care home mid policy. Wasn’t clear there was an automatic renewal on it and when the payment didn’t go through it took an age to get them to cancel the debt recovery (the policy got opened for another year even though they had tried to bill the policy holders card, which had been cancelled. They then wouldn’t take my Power of Attorney docs as proof to cancel the policy.) Since I’ve been very wary of it.
Renewal comes through for car insurance (albeit this insurer at least provided a clear the disclaimer on the renewal notice) with the notice that unless I contact them I will automatically consent to a new policy; quote has gone up a few quid than the year before, so I shop around and get a better deal. I have to waste 20 min trying to turn off the renewal.
On paying for said new policy (different company) in the small print is again something along the line of “terms and conditions include consenting to automatic renewal and the bank details will be used blah blah.”
However, when entering my card details it gives me the option to ‘save card details for this site” so I click “No”. I still have to provide bank details to set up the DD.
I appreciate there is a subtle difference between card details (deposit) and bank details (direct debit) but it doesn’t seem ethical to ask them not to retain my information and they choose to ignore it and not provide the option to opt out of the automatic renewal?
Be interesting to hear an industry viewpoint on this if they view bank details and card details as two separate entities?
Gmlgml said:
I appreciate there is a subtle difference between card details (deposit) and bank details (direct debit) but it doesn’t seem ethical to ask them not to retain my information and they choose to ignore it and not provide the option to opt out of the automatic renewal?
Why exactly? I never give details that will work for renewal, because every provider jacks the premium up until you do another search!spookly said:
If you'd paid in full on the card, and not allowed them to retain the card details, then they would not be able to automatically renew.
This isn't true.About 5 years ago now I paid for my Dad's car insurance, as I was working and he was recovering from cancer so wasn't working. This was with Tesco Insurance.
One morning a year later I wake up to see £600 taken out of my account by Tesco. Now around this time my Dad had been taken in to hospital as he was having trouble walking and not falling over. So I go in to see him as I always do and I ask him about it, but he wasn't really in a talkative mood for me. Whatever, I go home and I ask my mom about it and she pulls out a renewal letter from Tesco. Apparently Dad had seen it but thought it was just a quote and not an actual renewal. In fairness it did read more like a renewal quote than a warning that the policy would be renewed.
The next day I get a call saying Dad had a stroke and was unresponsive, ultimately it was a waiting game for him to die at that point as the doctors couldn't do anything. During this time while I kept vigil at his side, thinking about the funeral etc I rang up Tesco Insurance to cancel the policy as it shouldn't have been renewed. They wouldn't cancel it unless they spoke to Dad, I told them he was in a coma and not responsive and is about to die. They still needed to speak to him to confirm. I think you'll understand me when I say I went nuclear on the prick who was on the phone.
It was only when he did die, and I told Tesco that he had, they accepted it and refunded the policy. I didn't provide a death certificate although I had it read to send.
But all of this started through an automatic renewal he wasn't aware of (neither was I actually) and the fact Tesco held my card details and charged me for the renewal.
Not my experience.
2 years ago I put house insurance with Tesco. It was auto renewal but I hadn't noticed that.
13 months or so later, I woke up one morning wondering about house insurance. Checked policy had expired, took another out with M and S.
I had no recollection of any notification or renewal from Tesco.
Come another year gone, I get a renewal notice from Tesco and realise it's on auto. Checked my CC from a year ago and sure enough they'd billed me so had double cover for 11 months.
Rang Tesco and explained. Told to write in and enclose proof of duplicate cover and they'd look at it
Two weeks later 11 months cover refunded.
2 years ago I put house insurance with Tesco. It was auto renewal but I hadn't noticed that.
13 months or so later, I woke up one morning wondering about house insurance. Checked policy had expired, took another out with M and S.
I had no recollection of any notification or renewal from Tesco.
Come another year gone, I get a renewal notice from Tesco and realise it's on auto. Checked my CC from a year ago and sure enough they'd billed me so had double cover for 11 months.
Rang Tesco and explained. Told to write in and enclose proof of duplicate cover and they'd look at it
Two weeks later 11 months cover refunded.
I spent a couple of hours on the phone to them and had to send documents multiple times (for example I sent a photocopy of the POA so the original didn’t go missing, but they insisted on the original- other companies had taken the photocopy, no issues.)
I guess with a lot of these things it all depends on who you actually get through to with regards to how helpful or jobsworth like they are.
Auto renewal does still seem like a bit of a swizz, as you cannot avoid paying by card or bank details, and they seem to retain both with no option of opting out that guarantees they won’t.
I guess with a lot of these things it all depends on who you actually get through to with regards to how helpful or jobsworth like they are.
Auto renewal does still seem like a bit of a swizz, as you cannot avoid paying by card or bank details, and they seem to retain both with no option of opting out that guarantees they won’t.
Gassing Station | Speed, Plod & the Law | Top of Page | What's New | My Stuff