Insurance companies being investigated for rip-off renewals

July 6, 2013

The Financial Conduct Authority (FCA) has launched an investigation into insurance companies for overcharging customers when they renew their home insurance policy.

“It doesn’t make sense that insurers punish loyalty rather rewarding it.” said Paula Higgins, Chief Executive of the HomeOwners Alliance, an organisation which warns homeowners of this unfair practise in it’s free online advice.

“Many companies will only offer you a cheaper rate when you tell them you are leaving. Those who change provider regularly tend to get great deals paid by those who stay put. So shop around to ensure you’re getting the right coverage for the best price possible.”

For more read our guide How should I insure my home?