Potentially unnecessary pipe insurance is being promoted by a number of the UK’s largest water companies, new research has found.
According to a Which? survey, ten of the biggest firms in the nation are trying to sell expensive cover even though they also offer their own free pipe repair schemes.
As a result, millions of individuals could be purchasing protection they do not require and will never make a claim on – costing consumers more than £100 million every year.
Richard Lloyd, executive director at Which?, said: “It’s totally unacceptable that water companies are pushing potentially unnecessary water supply pipe insurance from third-party private companies.”
Mr Lloyd added many organisations neglect to tell people that their home buildings insurance might overlap some of the main benefits of their protection.
He urged all water providers to make use of the same free pipe repair scheme in order to clear up the matter for customers who may be confused about what they are and are not covered for, while also calling on the government and Ofwat to move against firms suggesting consumers opt for third-party deals under their own name.
