UK - Insurance giants will be forced to explain rate increases
Sunday, 07 12 2015, Category: Insurance and Reinsurance, Country: United Kingdom
Insurers will be told to print an ‘honesty box’ highlighting why a customer’s car or home cover premium has been raised, it has been revealed.
In a victory for the Mail, the Chancellor has asked the City watchdog to probe ways of ensuring customers are not ripped off when they renew their car and home insurance.
Currently, customers who stay loyal to their insurer are being fleeced out of more than £1billion a year because they do not realise that the cost of their annual cover has been increased.
Now insurers have been told that they should print an honesty box on renewal letters to customers. This would contain details of why cover may have gone up.