The great big insurance rip off

[Severnless]

Sorry about not Being on here for a while, but I really need to rant a bit!

Back story

My Partner bought her ZS back in 2020 when they were offering some serious discounts that couldn’t be ignored, she purchased using PCP which neither of us have ever done, but thinking long term it would be better for her to do this, so she could change cars every 4 years.
we were so impressed with the ZS, that when our life situation changed, i decided to replace my Mercedes E320 estate with a MG5, mainly for the warranty and lack of things to go wrong, plus it was my first ever brand new car!

With insurance for the 5, it was a little more than I used to pay for the Merc but I managed to get to below £400 for the first year.

Cue renewals they wanted £7-800, so onto Martin Lewis site and got it back below £400. ( this was even after 2 claims, one for windscreen and the other for passenger side wipe out!)
my partner was the same but with her car now being 3 years old the renewal’s around £3-400.

Now with only with a few months left on PCP on the ZS, we have taken the decision to start looking for another car for her to get ahead of the supply problems.

We both had a day off yesterday, booked an hours test drive for her to look at the Tesla MY, she thought she wouldn’t like it, but even though it’s a FUGLY car, the driving and passenger experience is in another league compared to the ZS and the 5 ( I’m not dissing MG by the way!)
Anyway she really liked the MY and we start looking at the different models and get pricing for the two that we might go for ( rear wheel drive, short range and the dual motor, long range)

I thought when we got home that I’d look at insurance as I know it’s in the news with the price hike, but OMFG what is going on!!

We are both in our young 50’s, she’s a NHS employe, I’m self employed, live in a nice area, large detached house with double garage, low crime rate, both have protected no claims
MY RWD SR £1400
MY DM LR £1600!!
Sorry but that’s just RIDICULOUS!! so thought I would check for my 5 to see if it’s gone up, but no it’s ONLY £320! Which has gone down since I renewed in June.

how the funk do peeps, driving round in a Tesla justify that! They are crazy, it just beggars belief! They must have some serious debt or getting serious salaries! to write that kind of money off every year!

needless to say, we‘ve decided yep very nice but for the moment, that’s nocked it off the list!

next the MG4, hopefully the Volvo XC30, kia ev6 and maybe the Hyundai
anyone suggest anything else? She’s happy with the ZS size of car

one really positive thing from the test drive of the MY, we both noticed (also after sitting in an ‘S’ and a M3) the MG5 has a lot of cabin space and height compared to the 3 and S, also the rear door access to the seats is way better in the 5 than the MY which really surprised me! Good on you MG.
it made me appreciate the 5 a lot more.
sorry for the long post, just wanted to get it off my chest a bit…..

 

[Harry 17]

just had my MG4 for a year now (first service today). So obviously, it’s insurance renewal time.

I originally went through Admiral for the sum of £450 (ish pounds). Come renewal they wanted £1045!!!! So after I told them to stick it….they came back with £945.00.

Again, told them to stick it, got it insured with Churchill for £419.00 (with all the same cover, voluntary excess etc).

Unfortunately, I am expecting to do the same Insurance Top-Trumps, this time next year.

 

[Ruislip Resident]

Mine (ZS LRTC 1 year old ) went up about 30%, £430 to £560 on renewal. I couldn't find anything significantly less when looking on search sites, so let it auto renew. I also did a separate GAP insurance for about £100, that would get me back to about £25.5k if it was written off in the last two years of the PCP deal ( its a three year PCP).

 

[DBedford]

Sorry about not Being on here for a while, but I really need to rant a bit!

Back story

My Partner bought her ZS back in 2020 when they were offering some serious discounts that couldn’t be ignored, she purchased using PCP which neither of us have ever done, but thinking long term it would be better for her to do this, so she could change cars every 4 years.
we were so impressed with the ZS, that when our life situation changed, i decided to replace my Mercedes E320 estate with a MG5, mainly for the warranty and lack of things to go wrong, plus it was my first ever brand new car!

With insurance for the 5, it was a little more than I used to pay for the Merc but I managed to get to below £400 for the first year.

Cue renewals they wanted £7-800, so onto Martin Lewis site and got it back below £400. ( this was even after 2 claims, one for windscreen and the other for passenger side wipe out!)
my partner was the same but with her car now being 3 years old the renewal’s around £3-400.

Now with only with a few months left on PCP on the ZS, we have taken the decision to start looking for another car for her to get ahead of the supply problems.

We both had a day off yesterday, booked an hours test drive for her to look at the Tesla MY, she thought she wouldn’t like it, but even though it’s a FUGLY car, the driving and passenger experience is in another league compared to the ZS and the 5 ( I’m not dissing MG by the way!)
Anyway she really liked the MY and we start looking at the different models and get pricing for the two that we might go for ( rear wheel drive, short range and the dual motor, long range)

I thought when we got home that I’d look at insurance as I know it’s in the news with the price hike, but OMFG what is going on!!

We are both in our young 50’s, she’s a NHS employe, I’m self employed, live in a nice area, large detached house with double garage, low crime rate, both have protected no claims
MY RWD SR £1400
MY DM LR £1600!!
Sorry but that’s just RIDICULOUS!! so thought I would check for my 5 to see if it’s gone up, but no it’s ONLY £320! Which has gone down since I renewed in June.

how the funk do peeps, driving round in a Tesla justify that! They are crazy, it just beggars belief! They must have some serious debt or getting serious salaries! to write that kind of money off every year!

needless to say, we‘ve decided yep very nice but for the moment, that’s nocked it off the list!

next the MG4, hopefully the Volvo XC30, kia ev6 and maybe the Hyundai
anyone suggest anything else? She’s happy with the ZS size of car

one really positive thing from the test drive of the MY, we both noticed (also after sitting in an ‘S’ and a M3) the MG5 has a lot of cabin space and height compared to the 3 and S, also the rear door access to the seats is way better in the 5 than the MY which really surprised me! Good on you MG.
it made me appreciate the 5 a lot more.
sorry for the long post, just wanted to get it off my chest a bit…..

Why, oh why, do we constantly get comparisons Teslas with MG?

Tesla , world’s most popular car brand
MG , an also ran from China.

You can not compare the two, it’s like saying products from Aldi are not as good Waitrose, we all know that, chalk and cheese!!
Rant over.

 

[Ruislip Resident]

Why, oh why, do we constantly get comparisons Teslas with MG?

Tesla , world’s most popular car brand
MG , an also ran from China.

You can not compare the two, it’s like saying products from Aldi are not as good Waitrose, we all know that, chalk and cheese!!
Rant over.

Because they do the same function.

 

[Harry 17]

Why, oh why, do we constantly get comparisons Teslas with MG?

Tesla , world’s most popular car brand
MG , an also ran from China.

You can not compare the two, it’s like saying products from Aldi are not as good Waitrose, we all know that, chalk and cheese!!
Rant over.

Some products from Aldi are as good as Waitrose (I shop in both) and I am not sure I understand you correctly. Both sell food stuffs and I would suggest Chalk and erm…Chalk…..Chalk and cheese, in my mind, would be comparing Waitrose with Halfords.

MG is no longer an “also ran” either. From watching the most recent Podcast, the MG4 is the UK’s 2nd best selling EV car. I would imagine that it will be number one this time next year (unless ~Musk Trousers~ reduces the cost of his china manufactured vehicles again )

 

[johnb80]

I've just insured our MG5 Trophy (collecting on Friday) with Direct Line, £279. DL seem to be really good and haven't been beaten over the last few years except with a 4.4 TDV8 Range Rover which they wouldn't insure without a tracker.

 

[Les burrows]

Hi all all these comments and rants are very valid but, the truth is insurance cost are rising look at the headline from the Martin Lewis web site yesterday.

The other thing we all need to remember is every quote is different for many reasons you can take the exact same vehicle and get a dozen or more quotes and all will be different the major contributors being,
Post code,
Mileage,
Driving record
Valuation
Age of named driver drivers.
And that’s just a few it makes no difference what make or model you compare the quotes will all be different depending on the factors above plus others I’m sure.
Les

 

[Severnless]

Why, oh why, do we constantly get comparisons Teslas with MG?

Tesla , world’s most popular car brand
MG , an also ran from China.

You can not compare the two, it’s like saying products from Aldi are not as good Waitrose, we all know that, chalk and cheese!!
Rant over.

Why o why o why o why?
well I must apologise if you feel so offended (to post such a reply) that was not my intention.

what Im trying to get across in my Rant, is the cost of insurance for a Tesla MY.
im not trying to compare Tesla to MG, it’s like me comparing my E class to an MG, 2 totally different cars, and I understand this.

back on topic…..

a chap across the road from me, his son has a performance M3, he is in his 30’s and ended up haveing the car through the business fleet insurance to get the insurance price down..

what Im trying to understand is, think of the amount of teslas you see every day on the road and the amount those drivers are paying for insurance (in my opinion ) is madness, all it’s going to do is encourage drivers to risk driving with no insurance…
I seem to remember for no insurance it’s 3 points and a £400 fine (along with a criminal record) worth the risk??

just for a laugh, (if you have five minutes free) get a quote for a Tesla MY dual motor long range and report back.
let’s just see weather it’s my situation or insurance companies worrying about there share holders dividend portfolios (i don’t believe the parts shortage excuse!)
cheers

 

[JimD]

...............what Im trying to understand is, think of the amount of teslas you see every day on the road and the amount those drivers are paying for insurance (in my opinion ) is madness, all it’s going to do is encourage drivers to risk driving with no insurance…
I seem to remember for no insurance it’s 3 points and a £400 fine (along with a criminal record) worth the risk??
..........

The police can also seize your vehicle - Being stopped by the police while driving

 

[Severnless]

Woops forgot about that bit!

 

[johnb80]

what Im trying to understand is, think of the amount of teslas you see every day on the road and the amount those drivers are paying for insurance (in my opinion ) is madness, all it’s going to do is encourage drivers to risk driving with no insurance…

I'm not convinced thats the right viewpoint, surely it's going to encourage drivers NOT to buy a Tesla?

I seem to remember for no insurance it’s 3 points and a £400 fine (along with a criminal record) worth the risk??

Plus losing your car and more in the event of an accident

 

[Severnless]

I'm not convinced thats the right viewpoint, surely it's going to encourage drivers NOT to buy a Tesla?

That’s what I was thinking, even though we can afford to buy one, we can’t justify that much to pay out every renewal, so unless things change for the better we won’t be signing up for a MY, even though my partner loved the drive and space of the car.

but whilst we were at the showroom in Birmingham there was plenty of customers who looked as though they were signing up for a car, so i seems as though the high insurance premiums aren’t putting customers off!

 

[johnb80]

but whilst we were at the showroom in Birmingham there was plenty of customers who looked as though they were signing up for a car, so i seems as though the high insurance premiums aren’t putting customers off!

Maybe if this is the problem that you suggest, Tesla may be able to reduce the performance to a more normal repmobile type performance with a reduced insurance group? Theres no doubt all Tesla cars are very high performance motors and will command high performance insurance prices.

 

[Gomev]

That’s what I was thinking, even though we can afford to buy one, we can’t justify that much to pay out every renewal, so unless things change for the better we won’t be signing up for a MY, even though my partner loved the drive and space of the car.

but whilst we were at the showroom in Birmingham there was plenty of customers who looked as though they were signing up for a car, so i seems as though the high insurance premiums aren’t putting customers off!

It's amazing how many people buy a car/pay deposit etc. and think about the cost of insuring it later.
Up until now I have never checked the cost of insurance before buying a vehicle I wanted, that was just part of the cost of buying it, a bit like oh I'd better spend a grand on a 7kW wallbox too after buying my first EV.
However, it may be factor now and going forward.

 

[Lguk]

It's amazing how many people buy a car/pay deposit etc. and think about the cost of insuring it later.
Up until now I have never checked the cost of insurance before buying a vehicle I wanted, that was just part of the cost of buying it, a bit like oh I'd better spend a grand on a 7kW wallbox too after buying my first EV.
However, it may be factor now and going forward.

Exactly.. I spotted a nice Bentley GT continental for 15k that would be a lovely weekend car. However the road tax, insurance, 15mpg, and cost of servicing mean that it's not really viable on my disposable income with other weekend cars.

 

[Cocijo]

I know that this has probably been talked to death but what is the number 1 cause of these ridiculously high insurance premium increases?
Is it a coincidence that earlier legislation had been introduced, that meant insurers could no longer provide renewal quotes at inflated figures hoping that customers just renewed - were customers who just renewed at higher prices subsidising lower premiums for those that shopped around?

 

[tsedge]

I know that this has probably been talked to death but what is the number 1 cause of these ridiculously high insurance premium increases?

Inflation taking a long time to work through the system

Is it a coincidence that earlier legislation had been introduced, that meant insurers could no longer provide renewal quotes at inflated figures hoping that customers just renewed - were customers who just renewed at higher prices subsidising lower premiums for those that shopped around?

This is coincidental but obviously also has an effect.

 

[Cocijo]

This is what LV have to say on the subject (1 and 3 are essentially the same thing).

Why is the cost of insurance rising?

It’s no secret that insurers are dealing with an increase in claims and growing costs. So, let’s look at some of the reasons behind these challenges and explain what we’re doing about it. Challenges faced by the car insurance industry: Cost of vehicle repairs – up 46% since last year. Reflecting rising costs, energy inflation and more expensive repairs. (Source: Data from ABI). Vehicle theft – up 20.8% last year compared to the previous year, leading to increased claims. (Source: Data from ONS). Labour costs for repairs – up 50% since 2019, due to inflation, shortage of skilled workers and the energy crisis. (Source: Data from Auto Body Professionals).

 

[Lovemyev]

Over the last 12 months I have been following a number of you tube channels of people who are buying slightly damaged cars from the likes of CoPart.
Example :- These are cars that may require a front wing and a head light / bumper cover repair.
These cars find their way to the new buyers and are repaired in only a couple of days and then sold on and back on the road.
The insurance companies blame long wait times on parts and high labour rates.
Cars are written off and customers paid out a little too easily IMO.
Any money lost on the sale then means that the insurance companies increase other people’s premiums to cover any losses.
CoPart are increasing size at a huge rate !.
I am not shocked by this TBH.