Insurance News
Tougher rules needed for comparison sites
Mar 27th
Consumer group Which? has called for tougher regulation to ensure that price comparison sites treat their customers fairly.
Which? tested 11 of the most popular online insurance sites and found that many of them used misleading, pre-selected assumptions in order to make prices appear cheaper. Besides being misleading, Which? points out that this can lead to a ‘one-size-fits-all’ approach to insurance policies that are unsuitable for individual needs.
The group also highlights low levels of customer satisfaction with comparison sites, falling from 46% to 42% over the last 12 months. The study found that none of the 11 sites covered by the survey actually covered more than one third of the market for home and travel insurance. This is despite their suggestion that customers have no need to look elsewhere for the best deal.
In summary, Richard Lloyd of Which? said, “Price comparison sites claim to do all of the work for you, but our research found if you want to get the best deal you still need to shop around or it could cost you hundreds of pounds.”
We couldn’t have said it better ourselves…
Academy Insurance Services Opens New Branch in Wokingham Town Centre
Mar 9th
Latest branch opening increases company’s high street presence in the south of England.
Pangbourne, UK, March 2012 – Academy Insurance Services Ltd (www.academyinsurance.co.uk), a leading independent insurance broker has opened its latest branch in the picturesque town centre of Wokingham Berkshire.
The opening of the new Wokingham branch further strengthens Academy’s high street presence in town centres across the M4 corridor and means that the company now has eleven offices serving the insurance needs of customers across the south of England.
An independent high street broker, Academy Insurance prides itself on its flexible and friendly approach to business, rejecting the use of call centres and using its growing branch network to look after its 60,000 strong customer base.
Kevin Munn, managing director of Academy Insurance, comments:
“We are very excited to be expanding the strong high street presence of Academy in such a prime area within Wokingham. Academy Insurance is one of the UK’s fastest growing high street insurance brokers and it is a name that our customers have come to trust for quality of service.
“The new, vibrant and busy central Wokingham location is perfectly placed to meet the increased volume of local demand that our branches have been experiencing and we are delighted to be expanding our footprint in an area of growth”
Rob Jarvis, manager of the new Wokingham branch, comments:
“This exciting branch opening is the latest in a series of strategic additions to a number of our regional networks. In the past couple of years we have extended our network coverage across the M4 corridor.
“Yes, far more enquiries are now received through our extensive online presence; however the results of our branches show that customers attach a great deal of importance to the fact that their agent has a local, physical presence.”
About Academy Insurance Services Ltd (www.academyinsurance.co.uk):
Academy Insurance Services Ltd is a leading independent insurance broker with a growing high street presence across the south of England.
Academy Insurance specialises in providing competitive insurance premiums across a range of different market sectors and niches and endeavours to provide an independent, approachable service to its customers.
Academy is the broker of choice for more than 60,000 customers across an expanding branch network in the south of England.
Academy Insurance Services Acquires Crown Insurance Consultants
Mar 5th
Acquisition increases Academy’s high street presence and provides access to exciting new markets.
Pangbourne, UK, March 2012 – Academy Insurance Services Ltd (www.academyinsurance.co.uk), a leading independent insurance broker has announced its acquisition of Crown Insurance Consultants. The acquisition brings together two trusted, long-established insurance brokers to further enhance Academy’s high street presence and provide access to competitively priced niche insurance products.
The purchase of Crown Insurance Consultants, based in Egham Middlesex, will enable Academy Insurance to expand their portfolio of specialist insurance services as well as add to their growing high street presence. “We are delighted with the acquisition as it will enable us to strengthen our range of insurance policies”, said Kevin Munn, Managing Director at Academy Insurance. “It will also allow us to strengthen our position in a number of key markets and provides Academy with the chance to expand into some brand new areas.”
“We’ve acquired an experienced and successful team at Crown Insurance and are looking forward to welcoming them to the Academy Insurance family”, Mr Munn added. “The integration of the companies will take place over the next few months and our clients will continue to receive the same high quality service that they have come to expect.”
About Academy Insurance Services Ltd (www.academyinsurance.co.uk):
Academy Insurance Services Ltd is a leading independent insurance broker with a growing high street presence across the south of England.
Academy Insurance specialises in providing competitive insurance premiums across a range of different market sectors and niches and endeavours to provide an independent, approachable service to its customers.
Academy is the broker of choice for more than 60,000 customers across an expanding branch network in the south of England.
New research shows UK’s burglary hotspots
Feb 7th
Recent research has revealed the UK’s most troublesome neighbourhoods for burglary. In an analysis of 3 million insurance quotes issued in 2011, industry figures reveal that London and West Yorkshire are the UK’s most burglarised postcodes.
The study analysed home insurance renewals looking for previous claims for burglary or theft from home or garden. Households in the N16 and BD10 postcodes declared 33.6 and 33.1 insurance claims per 1,000 quotes. More generally, London, Leeds and Bradford appear to be the burglar’s choice.
By contrast, postcodes in Eastbourne, Peterlee and Ryde came bottom of the list as the least burgled neighbourhoods in the UK. Here’s the full list:
Top 10 districts most likely to disclose a home insurance claim
1. N16 – Stoke Newington, London, 33.6 per 1,000 inquiries
2. BD10 – Apperley Bridge, Bradford, 31.7
3. B71 – West Bromwich, West Midlands, 31.7
4. N22 – Wood Green, London, 30.3
5. LS13 – Bramley, Rodley, Swinnow, Leeds, 30
6. LS15 – Austhorpe, Barwick-in-Elmet, Colton, Cross Gates, Halton, Halton Moor, Scholes, Whitkirk, Leeds, 28.
7. BD18 – Saltaire, Shipley, Windhill, Wrose, Bradford, 28.6
8. LS7 – Chapel Allerton, Chapeltown, Little London, Meanwood, Potternewton, Sheepscar, Leeds, 27.4
9. DN2 – Intake, Wheatley, Wheatley Hills, Doncaster, 27.3
10. SW16 – Streatham, London, 27.2
Have you been using a ghost broker?
Jan 24th
As many as 20,000 motorists could be unwittingly driving around with car insurance according to a recent report. The latest scam to hit the high streets is known as ‘ghost brokering’ and could result in tens of thousands of UK motorists driving illegally. Ghost brokers – as this new breed of fraudsters is known – typically trade via websites or newsagents windows, advertising market beating insurance rates. When a customer calls they are sold fictitious or worthless policies and often find that they’ve been a victim of identity theft or credit card fraud.
This is just the latest in a series of audacious insurance scams to hit the UK. It’s a mini crime wave that’s estimated to cost the insurance industry billions of pounds a year and has led to the formation of a specialist insurance fraud unit within the City of London police.
Malcolm Tarling, a spokesman for the Association of British Insurers, said: “If you are approached by someone offering cheap insurance or you see an offer that seems too good to be true, then it probably is. If you are unsure if an insurance intermediary is legitimate then check with the Financial Services Authority that they are authorised and registered with the FSA.”
Brokers positive about merger news but some have reservations
Nov 10th
Since the news broke earlier this month, there has been a general sense of optimism about the imminent merger of the two largest insurance broker trade bodies. The news that the Institute of Insurance Brokers (IIB) and the British Insurance Brokers’ Association (BIBA) are to join forces has been met with a largely positive response with most brokers keen to see the benefits that a unified industry voice could deliver.
However there are some concerns from some parts of the industry that the merger will mean that smaller brokers get less influence in the industry than before. Historically the IIB was seen as the voice of the smaller insurance broker, it forged a reputation for fighting for issues that affected the smaller broker and much of the IIB’s membership came from this section of the industry.
With the merger into BIBA, there is a fear among smaller insurance brokers that their influence may diminish and that their views may be “steamrollered” by the larger and more vocal companies. It’s an issue that BIBA are keen to address and explains the high profile they have given to former IIB chief Barbara Bradshaw in the new organisation.
BIBA and IIB merge to provide one trade association for #insurance brokers
Nov 8th
In an attempt to present a united front and to provide a single voice for insurance brokers the two largest trade bodies in insurance brokering will join forces. In an announcement that many people will see as overdue, the British Insurance Brokers Association (BIBA) and the Institute of Insurance Brokers will begin the process of merging their activities.
Many of the current IIB board directors will take up posts on the BIBA board as they begin the process of bringing the two bodies together. Some, such as IIB Chief Executive Barbara Bradshaw, will take up specific interim responsibilities to smooth the transition to a single association.
The reasoning behind the merge is simply to strengthen the lobbying position of the members. It is felt that a single unified voice would carry more influence than several competing groups. The transition will begin immediately, with both groups retaining their brands for the time being as IIB members are slowly brought into the BIBA group.
#Insurance referral fees to be banned
Sep 12th
The government has announced that it intends to ban insurance referral fees as it attempts to dismantle the “compensation culture” and clamp down on the rising cost of insurance fraud.
Referral fees is the name given to the cash that changes hands when an insurance company provides the details of accident victims to personal injury lawyers. It gives rise to a strange vicious circle where the insurer makes a few quid from the referral fee but then gets hit by a damages claim for a (usually spurious it seems) personal injury such as whiplash. In order to recover these costs the insurer then has to go on accepting referral fees and (you guessed it) hiking the costs of premiums.
So, led by Kenneth Clarke, the government has decided to do something about this and announced a complete ban on referral fees. The news has generally been welcomed, the Association of British Insurers (ABI) said;
“We are very pleased that the government has listened to the insurance industry’s campaign for a ban on referral fees. They add no value and encourage spurious and exaggerated personal injury claims.”
The news had a negative impact at Admiral who lost 5% of their share value on the announcement. Despite not selling customer data, Admiral report that about 6% of their UK car insurance profits come from fees.
Woman receives £53k car #insurance quote
Sep 1st
It seems that some parts of the UK are becoming insurance “no-go” areas. A Lib Dem MP from Bradford is claiming that some of his constituents are being quoted over £20,00 for simple third party car insurance.
David Ward claims that punitive pricing in some parts of the city are forcing many people to abandon their cars altogether. It’s a serious issue for many people who claim to have been told that “Bradford is blacklisted”.
Mr Ward is organising an online petition to call for cheaper insurance which so far has in the region of 600 supporters. This follows another recent story, this time from Huddersfield that certain postcodes are being denied insurance altogether. According to the Huddersfield Daily Examiner, the insurance company Esure has admitted that it simply won’t provide insurance to some people in the HD2 postcode.
#Insurance Fraud Bureau closes in on Cash for Crash
Aug 30th
The recently formed IFB has pinpointed a few northern cities as major centres of insurance fraud activity.
Using some clever software that identifies claimants by postcode, the IFB have been able to come up with a hot spot map of cash for crash fraudsters. So if you are living in Manchester, Sheffield or Birmingham it’s worth noting that you’re a lot more likely to become a victim of a staged accident.
Police are already beginning to target some of the hot spots, Luton for example where they recently convicted 33 fraudsters for more than £5m worth of insurance fraud. Fraud is a major problem for the insurance industry, ABI figures show that £840m of fraudulent claims were uncovered in 2009, the vast majority of which were motor insurance related.
The IFB is a recent partnership between the industry and the City of London police aimed at tackling the recent rise in fraudulent activity.