>> >> >>and thoroughly dishonest,
>> >>
>> >> How so?
>> >>
>>
>> Same product. Purchased over the phone for £276, purchased over the web £83. It might
>> not be illegal but its certainly sharp practice.
So, not actually dishonest at all.
>> And in comparison, our managers oblige us to tell customers the lowest cost method of
>> business transactions with us.
Out of the goodness of their hearts?
>> Same as getting the renewal quote for £400 but online the same insurance is £250
>> from the same company.
There's no dishonesty, just commercial decisions.
>> I know there is no customer loyalty in insurance but the market has brought that
>> on itself.
Quite the contrary.
When I was in claims account was taken of how long a customer had been a customer, the spirit and intention of the claim, the fairness of the circumstances etc. etc.. As a result companies like Sun Alliance, GAFLAC, GRE, Eagle Star, Cornhill and others paid out where strictly they didn't have to because that was their market segment - quality.
And then along came the Lloyds syndicates, primarily in private motor, driving down prices (a good thing) but changing behaviour. Instead of good service retaining a customer for years, customers began to move for pennies. Thus the composite insurers had to start cutting costs out of their business.
Bang when generous claim handling and in came more and more efforts to get as much revenue as possible while keep relevant premiums down. And by and large relevant premiums are the first ones, not renewal premiums.
Most people's objections to insurance companies come when the company sticks to the rules or follow their legally compelled behaviour of increasing revenue, profitability and market share.
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