Customer Loyalty?

[MMUK]

So, just had my car insurance renewal through from Direct Line along with some bumph saying how they like to reward loyal customers with discounts for this and that (nothing relevant to my tastes though). I looks for the price - £424 :shock: That's £60 MORE than last year and I have another year NCB :? :? :?

So, as with last year I did a new customer quote - £327. Hmmmmmmm :!: Last year I didn't bother looking elsewhere as I quite like DL and their service. However, just to see if they were still taking the yellow water I got a quote from Aviva and eSure. Now it gets interesting and confusing. I spoke to Aviva after their quote and they told me I can have a 15% discount if I register my van policy online and quote through the "My Aviva" site, so I did.

Here's the results:

DL Renweal = £424
DL New Cust = £327
1st Aviva = £308
Discounted Aviva = £308 :? :? :? :?

eSure = £267 including roadside/recovery RAC and 30 days EU breakdown cover.



So boys and girls, shop around. I'm off to claim my Baby Olaf Meerkat.......

 

[RossJarvis]

Like most of us you might be making the mistake that if you give someone money, they will be offering you a service. The flaw in this argument is that actually most "services" just want your money. I think the concept that we have an obligation to others and should try hard to help them, has gone the same way as the Dodo. If I buy a product or procure a service and get anything near good, helpful and courteous service these days I am usually flabbergasted, surprised and immensely pleased.

Generally my position in society seems to be that of supplying income to every other b****r in the world who appear to resent giving anything of value back.........Or am I just a grumpy old git?

 

[gregmcateer]

Nicely put, RJ. I often feel like that, though it must show, as my sister in law just gave me a key fob with a picture of a certain dwarf on it and the words; "Grumpy by Choice"
I think she likes me really!

MMUK, I had v similar experience and they all say how much better they are if you have to claim, but in the VERY unlikely event that you have to claim, you will usually find they have plenty of wriggle room in their contract - and PS NEVER and I mean NEVER accept their first offer - either on renewal or if you claim - they always have room to maneuvre.

Just my tuppence worth.

Let us know what you finally get it for.

Greg

 

[MMUK]

I've gone for the eSure policy Greg. Meerkat is on the way :lol:

 

[Mark A]

We've had similar experiences with insurance renewals.

Here's something else to consider; recently I heard that shopping around for insurance can have a detrimental effect on credit ratings as the insurers perform credit checks, so trying to save a few quid per month on pet insurance for example could potentially damage your chance to take out a loan or mortgage. It's worrying if it's true.

Mark

 

[carlb40]

We've had similar experiences with insurance renewals.

Here's something else to consider; recently I heard that shopping around for insurance can have a detrimental effect on credit ratings as the insurers perform credit checks, so trying to save a few quid per month on pet insurance for example could potentially damage your chance to take out a loan or mortgage. It's worrying if it's true.

Mark

I think that only applies when you go with the insurer and pay monthly rather than in a lump sum. After all if you pay it as a lump sum, there is no credit agreement, so no need to run a credit check as they have your money already.

 

[Mark A]

I was under the impression they performed credit checks whether the policy is to be paid monthly or in one lump? Why, I don't know.

 

[Random Orbital Bob]

As a rule now and for the past at least 6 years I always use an insurance search engine for all insurance business, generally moneysupermarket. That goes for buildings and contents, car, boiler. I also do the same with energy suppliers every single time I come off their 12 month tarrif.

The fact of modern insurance is that apart from the anomalies like Direct Line, most insurance business is done online and therefore they're all competing for new customers, that's why existing customers subsidise the 1st year premiums for new customers. They know that enough customers at the end of year 1 will just renew because they cant be fagged to go through the search process again. If you do, you will save a couple to five hundred pounds every year.

My Mother in law was paying Saga £400 per year for buildings and contents, I got it for £99 with a better policy just by using a search provider. The difference really is that stark so take my advice and always always do a fresh search at every single policy renewal. This notion of supporting/showing loyalty to existing customers is pure unadulterated lies. Personally I think its white collar crime, its that blatant and one of the watch dogs or regulators should fine the shisters for taking the mickey. I'm not worried about me, I'm from the internet generation, its the old folk that (particularly Saga) they're absolutely robbing blind.

 

[Spindle]

Hi

Customer loyalty is something that is fostered between consumer and supplier - for me that constitutes providing a good product and delivering on time.

Insurance is a legal necessity, in most cases, for which I pay in the hope of never using. I will always search for the best deal and to date have never been inspired to be loyal to a provider. They are all in my opinion, too keen to exploit the unwary.

Regards Mick

 

[Hemsby]

We've had similar experiences with insurance renewals.

Here's something else to consider; recently I heard that shopping around for insurance can have a detrimental effect on credit ratings as the insurers perform credit checks, so trying to save a few quid per month on pet insurance for example could potentially damage your chance to take out a loan or mortgage. It's worrying if it's true.

Mark

Certainly true with bank accounts. Every time you move or open a bank account, it may only be to get better interest, but these are logged on your credit report but without the details why.

Regarding Insurance I am a believer of the good old fashioned Insurance Broker, a good one is worth his weight in gold not only can he get you good cover at a good price but if things go wrong he is the one talking to somebody in a far off land.

Just had my renewal for my 3ltr Jaguar full comp, Protected NCD @ £315 with a large Insurance company .

 

[GrahamH]

All insurers rely on customer loyalty, it's where they make most of their profit. If you've not claimed, they'll have some wiggle room to try and retain your custom, but sometimes not as much as if you were a new customer.

With regards to credit checking, most insurers now use this as a rating factor, nothing to do with a credit agreement. If you've a low score they'll raise your premium as your more likely to claim.

regards

Graham

 

[JustBen]

I had the same issues with my renewals.
They were more expensive than last year and massively over priced £850 & £350 iirc.
Managed to get them for £230 each elsewhere.
When I told Swinton I didn't want to renew, they magically changed the figure and came back with £690
"so would you like to renew this one sir?"
"No, £690 is not better than £230 is it...."
"No, suppose not sir"
Idiots.


Also, I've been told that the credit checks they do expire after 3 months providing that no credit has been given.

 

[RobinBHM]

I have had my car insurance from direct line for 15 years plus -and stupidly never bothered to shop around. 2 years back I did an online quote on their website and obtained a quote well over £100 cheaper, I phoned them up and they said they would match the price if I could tell them the exact price quoted, l did and accepted.

It does make me angry to think loyalty is penalised rather than rewarded, but Ive stayed with DL as I cant be bothered to keep changing, esp as there's a risk of issues with no claims proof when changing. I just accept that each year Ive got to
get a re-quote instead of just renewing.

Last year, my wife and I put each other on our policies as named drivers, and we were surprised to find that we both got lower premiums as a result -apparently this is common.

My brother-in-law had his car vandalised by by some teenagers, the insurers assessed the dents and agreed to the repair so they took the car. A few days later the insurers rang to say the car had further scratches than noticed by the assessor and this meant the car would be written off. My brother-in-law called them back a day later to say he would collect the car since it perfectly usable, just a bit untidy due to some dents in the bonnet and keyed scratches elsewhere.........and he was told 'sorry we've scrapped the car already, and had it de-registered'!

 

[Woodchips2]

I've gone for the eSure policy Greg. Meerkat is on the way :lol:

Last year a lady bumped into my car in a car park when we were house hunting in Devon. She was very apologetic and her insurance was with e-Sure. By the time I got home e-Sure had left a message on my answerphone accepting liability, offering me a hire car whilst my car would be collected and repaired. Now I put e-Sure on my list when I go for quotes for motor and household insurance because of their excellent service =D>
Regards Keith

 

[RogerS]

I've never ever found Direct Line to be anywhere near to being competitive....to the extent that I am surprised they are still in business ! Maybe it is the cars that we want to insure and DL cherry-pick..whatever...I never bother going there.

We've been with LV and Hastings for several years now and each year the renewal is almost the same as for the previous year. Neither can I see any 'sweeteners' for new customers. These companies, to my mind, play 'fair'. Claim handling with Hastings was dealt with quickly and fairly so no cause for complaint there either. These two companies remain competitive and give excellent service.

Which is more than can be said for those cowboys at Churchill. Useless. :evil:

Customer loyalty can work. I have been with Orange for a long long time and the other day my phone developed a fault requiring a replacement handset. As it is well outside the initial six month warranty period, the standard replacement strategy is that I would have to drive into the nearest Orange shop...20 miles away....leave my phone and have it sent off to Samsung for repair while I might be given a loan phone. Then assuming it got fixed drive all the way back to collect it. But because I have been a loyal customer, a man with a van brought a brand new handset for me at home =D>

 

[Mark A]

Customer loyalty can work. I have been with Orange for a long long time and the other day my phone developed a fault requiring a replacement handset. As it is well outside the initial six month warranty period, the standard replacement strategy is that I would have to drive into the nearest Orange shop...20 miles away....leave my phone and have it sent off to Samsung for repair while I might be given a loan phone. Then assuming it got fixed drive all the way back to collect it. But because I have been a loyal customer, a man with a van brought a brand new handset for me at home =D>

The same can't be said for O2. For many years we had a number of handsets on a business contract with them, yet when the 2 year conrtact ended back in September I decided to shop around and see what other firms would do. O2 weren't interested in even matching Vodafone's quote, which was cheaper and included considerably better phones on a larger data plan. I find Vodafone are a lot more helpful than 02, too.

Mark

 

[MMUK]

Funny that. I've found Vodafone to be the most expensive.

I left Orange/EE after being a customer since I was 18 (a loooonnnnnnggggg time!) Since the merge with T-Mobile, customer service and coverage has gone rapidly down hill. They made it as difficult as possible for me to leave and I ended up having to get a solicitor friend to send them some strongly worded letters to get a PUK code out of them.

I'm now with O2 and they've been brilliant so far. They even gave me a free (as in no extra cost but no doubt it was built in anyway) upgrade to 4G. I found the handset I wanted and O2 were by far the cheapest.

What does royally pineapple me off though is that you can't get any tarrifs WITHOUT a data allowance. I don't use mobile internet so I'm paying for something I have no use for (which also means 4G is pointless apart from photo messages being sent milliseconds faster). You should be able to build a tarrif to suit your own needs.

 

[John Brown]

Wow. Reading this prompted me to go online and take a look, as my car insurance will be up for renewal in a month. Last year I paid £369.94 to Direct Line with a £275 excess. Looks like I can get the same cover, but with courtesy car and £100 excess for almost exactly half price from Admiral.
What's the deal? Are Admiral rubbish or are Direct Line overpriced?

 

[RogerS]

Direct Line are over-priced. Which is why they won't let price comparison sites access them. They also cherry pick.

 

[Hemsby]

"THE DEVIL IS ALWAYS IN THE DETAIL"