Two thirds of adults admit to letting their home insurance renew automatically
- More than a quarter do so without finding other quotes
- The main reason people let their policy roll is loyalty to their current provider
- 22% claim their insurer has always looked after them and 18% assume value for money based on last year’s quote
More than two thirds (67%) of householders in the UK admit to letting their home insurance renew automatically, according to GoCompare*.
Over a quarter (29%) leave their home insurance policy to renew without even checking for other quotes, and when asked why, 17% admitted that they don’t want the hassle of finding other renewal prices even if it means saving money.
The main reason people allow their existing policy to renew is through loyalty to their current provider, however, with 22% of those who automatically renew claiming their insurer has always looked after them and 18% assuming value for money on the basis the previous year’s quote was the cheapest.
Almost a third (29%) of those who did shop around for other deals did so because they found their renewal price had gone up, however, and 7% found their current provider no longer met their requirements.
Ryan Fulthorpe, of GoCompare home insurance, said of the findings: “Our home insurance is just one of many contracts and policies that the average householder today will have in place at any one time.
“It’s not difficult to see how allowing an existing policy to simply roll over and begin a new 12-monthly term is the preferred option for many trying to balance out the different demands on their time in the modern world.
“It can also be easy for people to assume their home insurance requirements are unlikely to have changed much within the space of a year, particularly if there has been little to no change regarding the place in which they live, or the people they live with, within that time,” Ryan continued.
“The remit provided for by home insurance is often much wider than many people realise, however, and even if your overall domestic set up hasn’t changed it’s highly likely specific items within your possession that are eligible for cover will have within the space of a year, for example.”
“There is a lot of work which has already been, and continues to be done, within the industry to make the process of switching from one provider to another as straight forward as possible, and also around the transparency of home insurer’s terms and conditions in making that change,” Ryan added.
“But this research shows us there is still more to be done in supporting the consumer when it comes to researching, maintaining and updating household policies which they rely on to protect them from disruption emotionally and financially too.
“For most people, our home is our most prized possession in life and the idea that any serious harm could come to it, or any of the contents contained within it, simply doesn’t bear thinking about,” Ryan said.
“This makes the insurance policy we put in place to protect these things an emotive purchase, much more so than other types of insurance, so it’s not just about getting the right price for homeowners, it’s also about ensuring a policy adequately meets our individual needs.”
For more information about home insurance and how to obtain a quote, please click here: https://www.gocompare.com/home-insurance/
For further information please contact:
*Between August 6th and August 9th 2021, an online survey of 2,034 randomly selected Great British adults was executed by Maru/Blue. For comparison purposes, a probability sample of this size has an estimated margin of error (which measures sampling variability) of +/- 2.1%. The results have been weighted by age, gender, region and social grade to match the population, according to Census data. This is to ensure the sample is representative of the entire adult population of Great Britain. Discrepancies in or between totals are due to rounding.
Notes to editors
GoCompare is a comparison website that enables people to compare the costs and features of a wide variety of insurance policies, financial products and energy tariffs.
It does not charge people to use its services and does not accept advertising or sponsored listings, so all product comparisons are unbiased. GoCompare makes its money through fees paid by the providers of products that appear on its various comparison services when a customer buys through the site.
When it launched in 2006, it was the first comparison site to focus on displaying policy details rather than just listing prices, with the aim of helping people to make better-informed decisions when buying their insurance. It is this approach to comparing products that secured the company an invitation to join the British Insurance Brokers’ Association (BIBA) in 2008, and it is still the only comparison site to be a member of this organisation.
GoCompare has remained dedicated to helping people choose the most appropriate products rather than just the cheapest and works with Defaqto, the independent financial researcher, to integrate additional policy information into a number of its insurance comparison services. This allows people to compare up to an extra 30 features of cover.
GoCompare is part of Future Plc and is authorised and regulated by the Financial Conduct Authority (FCA).