Car Insurance – 5 Major Issues with Price Comparison Websiteson
For many people the most expensive purchase they make, after their home, is their car(s). So if something goes wrong, you want to ensure you have had the right advice and are correctly covered by your insurance.
Many people choose to insure directly with the cheapest insurer on comparison websites, but this is not always the best choice.
Below are the top 5 issues with insuring on price comparison websites – and why it is often MUCH WISER to use an independent insurance broker:
- Advice – Direct insurers work on a “non-advice” basis, meaning they can tell you facts about their own products, but they are not allowed to give you any advice on whether a policy is right for you and your circumstances. An independent insurance broker can provide expert advice, offer you a range of products and explain the differences between them all.
- Claims Service – An insurance policy is only of any worth if you need to make a claim, and then the policy needs to respond effectively. Many direct insurers have a bad reputation for claims service – you may be dealing with an overseas call centre and be passed around before you can speak to the right person, and then they may try to find any way they can to wriggle out of settling a claim in full (or at all).
- Vehicle Repairs – Most direct insurers will try to force you to use their own approved repairer, meaning you may not be able to use the repairer of your choice, in the event of a claim. This can mean having to use a garage that is not local to you, and perhaps not even approved by the vehicle manufacturer. If the insurer is committed to focussed on reducing costs, they will often allow the use of “green” (second-hand) parts when your vehicle is being repaired.
- Renewals & Amendments – The direct insurers are notorious for “buying in” policies, which means they will be very cheap initially, but your premium will increase hugely at renewal – forcing you to shop around and go through the whole process in full, year-on-year. These insurers also charge admin fees for everything from adding a driver to the policy, processing your renewal, and even just sending a copy of your documentation.
- Your (Client) Profile – For certain occupations, for example if you are in the public eye or the sports and entertainment industry, many insurers will refuse to insure you. Specialist insurance brokers can deal with clients of this type on a daily basis and have access to insurers who are happy to insure high profile clients.
It can be a false economy insuring in this way, and it can be much more beneficial obtaining advice and guidance from an expert, independent insurance broker.
Please contact us today for a complimentary review of your covers.
To read more articles from Matt Rawsthorne, Private Clients Account Development Executive, please visit: