I've just received the renewal notice for my car insurance which again includes £20 renewal set up fee?

which considering all the insurers have to do is press a button and send out the paperwork, I find ridiculous.  Does YOUR insurance company charge the same.  UK.


Thanks GOCP - I did shop around and found one (a well-known insurer) that wasn't that much cheaper, but any little bit counts these days.   I may do the same next time - I'm not normally one who switches all the time but needs must these days!

4 Answers

  • Favorite Answer

    Shop around.  Insurance companies cash in on customer inertia.  Use a comparison website to get an idea of who's cheapest,  then go to the company website for a real quote.

  • 1 month ago

    It’s only justified if you allowed your insurance to expire, and even then most insurers would waive it just to persuade you to return to them. I have NEVER paid a “set up fee” and don’t recall ever seeing one.

    I’ve been driving since 1983. In all that time I have very rarely ever renewed with the same company because I have always found better deals (not necessarily just on pricing) by shopping around. 

    The few occasions where I have renewed are where I’ve got back in touch and said “this is what I’ve been offered; if you can beat that offer then I’ll renew”.

    BTW: Price comparison websites are OK but I often do better by phoning brokers directly. For anyone who is a young driver or high risk for any other reason, price comparison websites are almost useless.

  • 1 month ago

    No. It's a rip-off. Visit moneysupermarket.com (or other comparisom websites), enter your information and you will get immediate quotations. I saved nearly £200 by using it last year.

  • May
    Lv 6
    1 month ago

    That is a rip off.  I wouldn't do business with a company that charges a "renewal set up" fee.

    If many people would cancel their policy with such a company, that "fee" would disappear.

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