Motor vehicle owners currently searching for cheap online car insurance have recently been warned that they should carefully review any online car insurance quote to ensure the cover they are purchasing is suitable for their motoring needs, says one industry expert.
British Insurance Brokers’ Association head of corporate affairs Graeme Trudgill recently released a statement in which he cautioned against switching providers in a search for discount car insurance. While it is only natural to look for a better deal when a motorist’s renewal is up, choosing based on price alone could result in procuring insurance cover that could be insufficient in the case of a claim.
Mr Trudgill stated that by simply going with the cheapest car insurance quote they can possibly find, motorists run the risk of forgetting that many key coverage areas may have limited to no availability under their new, albeit cheaper, contract.
Moreover, motor vehicle operators that user a portion of their insurance cover for activities as foreign travel or getting behind the wheel of other cars could find that their new policy may not have sufficient cover for those kinds of requirements.
The remarks of Mr Trudgill were issued in response to a research study recently conducted by marketing firm J.D. Power and Associates in which it was revealed that 44 per cent of customers decided to switch from their current insurer to a new one over the last 12 months.
The study also found that while 56 per cent of customers do indeed continue to use their current provider, the rates of retention for companies varied as widely as 80 per cent for top firms to only 33 per cent for other firms.
The top five insurers that retained their customers as reported by the survey were RSA, LV=, Sheilas’ Wheels, Diamond, and Swiftcover.