Watchdog warns on car insurance fees

Drivers are being warned by the Which? consumer watchdog that many motorists are being stung by a range of extra fees on their car insurance policy.

The magazine looked at the charges levied by 37 car insurers and found some take advantage of long-term customers by stealthily adding a number of tariffs on to their premiums.

For example, Hastings Direct charges policyholders £20 just to renew their insurance, while 50Plus Insurance Services will also penalise those wishing to rollover their contract by charging them £10.

Duplication of documentation can also incur hefty fees. AA, Endsleigh, RAC, Zurich, Esure and Sheila’s Wheels customers all have to pay £25 or more for this relatively simple service.

However, some providers have been highlighted for being slightly better about not charging clients. Age UK and Aviva don’t penalise policyholders for renewals or duplication.

Which? executive director Richard Lloyd said: “We’ve found that drivers are being stung with a range of additional fees when they come to renew their car insurance or even just update their details on their policy.”

Related Articles