I have been mulling this one over in my head for a while. I had been with Ducati Insurance for eight years and most times, when they offered up my renewal premium every year, it was pegged at pretty much the lowest I could find amongst the reputable insurance companies. Give or take a few quid. If ever the quote strayed too high, I was able to have a conversation with Ducati Insurance and obtain a satisfactory quote. Nearly two years ago, my bike insurance was up for renewal and the premium was quoted as £100 more than the previous year. Shurely shome mishtake, I said to myself. I rang Ducati Insurance and queried the quote - they agreed to see what they could do, and then proceeded to quote me a premium that was £110 more than the previous year. I said, "You've just raised the premium again, don't you want my business?". The guy I spoke to said, "Apparently not" which I thought was pretty bloody honest of him. So I went elsewhere and found a reasonable quote. Now, I've not long ago completed some courses at work that relate to Anti-Trust and Non-Competitive Practices Law. The issues of Price Fixing and Market Allocations have been highlighted, where "competitors" agree prices for commodities and services in order to apportion sections of the market amongst themselves in contravention of the law that governs competition and fair business practice. This is illegal. It isn't a huge leap of imagination that the various insurance brokers agree amongst themselves to "redistribute" customers in order to obtain "new business", with whatever financial benefits that result, paid for by the insurance underwriters and, indirectly, the customers. There's a lot less money to be had from "loyal customers" compared to "new customers" in the commission-based financial world. Feel free to discuss this illegal (alleged) activity. TL;DR Version Insurance brokers are cunts.
I can't wait to find out that my suspicions have been misplaced and I may once again have full confidence in the system.
So............Insurance companies do not operate within a cartel like many other industries apparently do?? .........and Elvis is alive and well, working in a chip shop in Leytonstone.....?
Anti-trust laws are just for show. It's not like companies would ever act in that way ... especially those in an industry that is known for "playing fair".
