80% PREMIUM INCREASE WITH NO CLAIMS – HOW IS THIS JUSTIFIED?

80% PREMIUM INCREASE WITH NO CLAIMS – HOW IS THIS JUSTIFIED?

I am absolutely disgusted with the way my annual insurance review has been handled. My premium has increased by approximately 80% — despite the fact that I HAVE NOT HAD A CLAIM. The explanation I received? Apparently, the previous consultant gave me a discount.

Seriously?

Your consultant represents your company. Your company approved the premium. I accepted that premium in good faith and paid my premiums as required. Now, at renewal, I am effectively being told that because YOUR consultant gave me a discount, I must suddenly absorb the loss of that discount PLUS increased insurance rates.

How does that become the customer's problem?

An increase of around 80% for a claims-free client is outrageous and deserves a proper explanation — not an excuse blaming the previous consultant.

What concerns me even more is the cashback benefit attached to remaining claims-free. When a loyal, claims-free customer's premium is suddenly increased to this extent, it creates a very uncomfortable question:

Is the premium deliberately being pushed to a level where the customer is more likely to cancel before the insurer has to honour the cashback benefit?

If that is NOT the case, then I invite the insurer to explain publicly and transparently how an approximately 80% increase was calculated for a customer who has had NO CLAIMS.

I want a proper breakdown showing:

• My previous base premium and discount. • My new base premium and applicable increases. • Exactly what percentage relates to the removal of the previous discount. • Exactly what percentage relates to the annual premium/risk increase. • What has changed in my risk profile to justify such a massive increase. • Confirmation that my cashback benefit played absolutely no role in the renewal decision.

Please don't blame a previous consultant for a premium YOUR COMPANY approved.

Your consultant gave the discount. Your company accepted my premiums. I remained claims-free. Now I am expected to carry the financial consequences of your internal pricing decisions.

That is simply unacceptable.

I am giving the insurer the opportunity to review this premium and provide a proper written explanation. If the company believes an 80% increase for a claims-free customer is fair and reasonable, then please explain exactly how you arrived at it.

I look forward to the response — and not another generic "annual premiums are reviewed according to risk" answer.

An 80% increase deserves an 80%-worth explanation.