Which? responds to new industry proposals to crack down on loyal customers potentially paying excessively more on renewal than new customers.
Gareth Shaw, Which? Money Expert, said:
“A review of the unfair practice that sees existing customers charged excessively steeper premiums than new customers is long overdue. We regularly hear from consumers who are paying hundreds of pounds more a year than new customers because they’ve automatically renewed their cover.
“Insurers must now act with urgency and implement much-needed changes to ensure their customers aren’t excessively penalised simply for their loyalty.”