Direct Debit insurance 'con'
The average charge each year levied against Britons choosing to pay for home contents insurance via Direct Debit is £31, a new survey shows.Abbey Home Insurance estimates that British households are paying a total of £290 million per year simply for the convenience of paying their home contents insurance premiums by Direct Debit.An estimated 9.3 million people pay for home insurance by Direct Debit and many are not aware that they are often charged for doing so, with 44 per cent of the 215 home contents policies on the market levying a fee for Direct Debit customers.Average APR on charges for payment by Direct Debit is 19.16 per cent per home insurance policy, with the highest rate charged set at 34.9 per cent. This means that, with the average annual premium for contents insurance at £160 a year, customers are paying an average of £31 a year extra for Direct Debit transactions.Prasad Shastri, Abbey head of insurance marketing, said: "Using Direct Debit to buy home insurance is not a service you should be paying for. There is no point using a competitively priced insurer if they then go and add to your annual bill using back-door methods."A recent study by financial website MoneyExpert discovered that car insurance customers pay as much as £182 extra in fees when they opt to pay their premiums monthly by Direct Debit.Consumers are advised to check that they have the appropriate level of home contents cover and are not being charged high additional amounts to pay their premiums by Direct Debit in order to ensure they have the best rate for the level of cover they require.
New pensions secretary is a part of the family
Gordon Brown yesterday appointed Yvette Cooper as the new Secretary of State for Work and Pensions, replacing James Purnell who resigned from the Cabinet just days ago. Yvette Cooper is the wife of Childrens School Secretary Ed balls and said to be part of Gordon Brown's "inner circle". She becomes the ninth Secretary for Work and Pensions since Labour came to power in 1997. Is this position somet...Read More
When will UK savers be rewarded?
At a time when many in the UK are up to their eyeballs in debt it would seem that the government is unwilling to help with those who are saved for years in the hope of giving themselves a comfortable retirement. So how can it be those who have overextended their finances in the short term are the recipients of taxpayer funding while those who have reduced their dependence on the state continue to...Read More
UK property growth 'slowing down'
British house price growth slowed for a third consecutive month in May, according to the Halifax house price index.The bank saw monthly growth of just 0.3 per cent in May, down from 0.9 per cent in April, 1.2 per cent in March and 1.9 per cent in February. The standardised average house price in the UK now stands at £196,893.Strengthening evidence of moderation in housing market activity combined...Read More
Annual undetected fraudulent insurance claims said to top £1.9 billion
The Association of British Insurers (ABI) has today confirmed that in its opinion undetected fraudulent insurance claims are topping £1.9 billion year. As a consequence of the increase in fraudulent insurance claims the average policy in the UK is now £44 more expensive purely and simply to pay for these illegal activities. So how are detection rates faring in the UK insurance sector?
Rail travellers face 5.8% ticket hike
Rail travellers in the UK are now staring at a potential 5.8% ticket increase in January 2011 due to the current formula in place. Despite the fact that most focus over the last few days has been on the consumer price index, rail companies are indeed allowed to use the retail price index as the basis for any ticket increases and top this up with a one percentage point increase over and beyond the...Read More