Consumers warned about insurance policy administration fees

A survey by the Which? magazine has today highlighted administration fees being charged by some car insurance and home insurance companies which can be as high as £55 for relatively minor alterations. The report suggests that while some alterations to insurance policies, or insurance records, may see insurance underwriters themselves passing on small fees, this is not always the case.

The advice from the report is to ask your insurance agent exactly what the fee relates to and which party is actually making the charge. When you consider the ever growing cost of insurance in the UK a £55 charge on top of your premiums is the last thing you want. As we have covered in previous articles, there are also other ways and means of reducing your car insurance and house insurance premiums which need to be considered if you are struggling.

Something as simple as having an alarm fitted in your home or even parking your car in driveway can result in small yet helpful reductions in your insurance premiums. You can also reduce the costs further by agreeing to drive a limited number of miles per year and other similar concessions. Many people are unaware of the fact they may well be "paying too much" for their insurance and the options to reduce the cost have been there for many years.