UK Wasting Milllions on Expensive Insurance

People who do not shop around when their insurance renewals are due are losing out on substantial savings, Your Money are reporting.  Clients who imagine that their present insurer is still likely to be the most competitive for them on average would save £180, according to research conducted by The Daily Telegraph.

Shopping around for cover also makes people think about their cover too.  In many cases clients that review their cover realise they are under-insured or do not need cover for items they were previously paying for.

Research conducted by Mintel contributed to the analysis demonstrating that 70% of the near twelve million home insurance clients did not shop around when the renewal notice came through the letterbox.  This apathy to potential savings stacks up across the UK to a half billion pound over expense.

However, it is worth considering that insurers and brokers would not be able to discount rates for new business clients as much as they do if everyone routinely checked the market at renewal.  It could be said that insurers and brokers are relying on the loyalty / apathy of clients to enable the special offers they can provide new clients.