Sunday Mirror (Northern Ireland)
£15 TO RING CALL CENTRE
Watchdogs blast insurance firm fees for using phone
INSURANCE giants are charging customers up to an extra £15 to buy or renew policies over the phone rather than online.
1st Central Car Insurance and Autonet Insurance both charge £15 for the privilege of doing business through a call centre.
Hastings Direct has a £12.50 call centre arrangement fee, which is in addition to other levies, including £5 for sending documents by post.
Watchdogs and customers blasted the fees, which come on top of spiralling car insurance bills that have soared by a fifth in the past year – from an average £577.22 to £690.35.
The extra charges have come to light since an industry requirement for greater transparency was introduced.
Caroline Abrahams, of Age UK, said: “This is undoubtedly rough on the millions of older people who are not internet users, many of whom can ill afford to pay a surcharge.”
Complaint handling group resolver.co.uk said it had received around 1,000 complaints about insurance in the past six months – with around a quarter relating to admin fees. Spokesman Martyn James said: “It’s absolutely astounding that a business would charge people for speaking to a customer service adviser.”
Hastings Direct said: “We never charge anyone making a general inquiry or existing customers to phone us. Hastings Direct is largely an online insurance broker. A very small number of new customers want to complete the full buying process on the phone.”
1st Central said: “Most insurers charge adjustment fees. We maintain clear communication with our customers to ensure they are aware of this.” An Autonet spokesman added: “All our fees are fully disclosed.”