The regulator has gone some way in clamping down on insurers,but if your premium has been going up every year you should shop aroundThe insurance industry works on the boiling frog analogy: if a frog is placed in boiling water it will jump out, but if it is placed in cold water that is gradually heated it will not perceive the danger and will be cooked to death. It may not actually be true about frogs, and but it holds water when it comes to home insurance.
Elderly homeowners in specific are slowly cooked by insurers. We were contacted by the daughter of a faithful policyholder with RSA who had had his home insurance with the company for an extraordinary 58 years. She was staggered that her dad was paying £648 a year to insure his two-bed bungalow in Derbyshire. She applied in his name as a unusual customer,and found that the premium fell to just £162. She estimates that over the years he had paid RSA around £3500 more than essential. In 58 years he had made just three claims, for tiny amounts – the final being £20. It’s tough not to conclude that the only real burglar he ever had was the insurance company.
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Source: theguardian.com