Industry experts say that the results of a new survey indicate that UK consumers’ obsession with discount car insurance has gone too far, as it exposes too many people with improper cover.
One latest independent research study discovered that in a bid to find the cheapest car insurance quote they can find, three out of every four UK consumers will choose a motor car insurance deal based solely on affordability. Despite this, two out of every three are dissatisfied with either the claims process or payout size according to the survey.
Insurance expert John Evans commented on the poll results, stating that the cheapest option turns out quite often to be not the best choice for your value. This is because many people simply do not concern themselves in regards to policy details, he added.
Other survey results included that 22 per cent of claimants were discouraged due to the excess on their motor car insurance policy. An additional 14 per cent chose not to claim at all in the event of damage because they felt that the entire process was too much of a hassle.
One of the more common methods for choosing good insurance products has traditionally been through word of mouth. However the survey found that only 7.4 per cent of respondents made their purchasing decisions because of a personal recommendation, while only four per cent stated that a broker’s advice had any influence on their decisions.
Mr Evans remarked that price is of course important, but only taking price into account is a false economy if the cover you get is insufficient. The insurance expert recommended shopping for insurance through a broker to make sure consumers get a policy that fits all of their needs, and not just the cheapest one to come along.