Paymentshield announces price freeze on B&C premiums
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Paymentshield is freezing its core buildings and contents Insurance premiums from 1 January 2010.
This means that 95% of policyholders will continue to pay the same premium as they did in 2009 at the policy anniversary date.
Tim Johnson, CEO at Paymentshield, says: “We recognise that customer churn, driven in many cases by price comparison websites, is a major concern for insurance intermediaries. By freezing core premiums we are confident that customers will be less inclined to shop around for a perceived better deal.
“Holding premium rates and maintaining our excellent levels of cover will also help intermediaries retain business at a time when people are more cost conscious than ever.”
Paymentshield has recently invested heavily in developing a retention team dedicated to keeping customers that might otherwise cancel their policy.
Johnson adds: “The retention team has a range of tools around both cover and price that help retain customers who call to cancel. Often when the team explains the levels of cover offered by Paymentshield products, and compare it to the customers other quotes, they realise the value of their existing cover and elect to stay with us. That is good news for the customer, Paymentshield and of course the mortgage intermediary.
“Price Freeze and our enhanced retention tools are yet more examples of Paymentshield developing innovative ideas to help our intermediaries in these difficult times.”
Readers' comments (2)
Anonymous | 10 Dec 2009 12:24 pm
They should have done this 12 months ago. Having lured in brokers with the "double bubble" offer (2 years commission up front) they then increased premiums this year substantially, as a result of which customers are now shopping around and moving to other providers. I am now seeing regular clawbacks of commission. Not what I need with income at an all time low!
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Amanda Scott-Johnson | 30 Jan 2010 11:10 am
Dear Sirs,
On the 2nd October 2009 I went into hospital to have a knee cap operation, during the operation it was discovered that my knee was badly effected with arthritus and the surgeon took the decision to give me a total knee replacement. On the 30th October 2009 I was made redundant. I had been suffering from stress at work for a couple of months prior to my redundancy which I tried to fight as I was the only person made redundant.
On the 1st December 2009 I rang up payment shield to advice them I had been made redundant, as I had 6 weeks in lieu and a small settlement I did not want to claim until I ran out of funds. I was sent a form and heard nothing until the 14th December. I was asked to fill in a couple more forms about my redundancy. I got the information from my previous employer and took the information to the company in southport my hand on the 3rd January 2010. I heard nothing back until I rang them on or about the 19th January to be told that I needed to get my doctor to fill in the form that they could not process the claim without it. My GP filled in the on 23rd January and I emailed them on the 25th January. I sent 56 emails and got no response. I phoned again on the 28th and was told that they had not received my information and then I was told on 29th that the insurance is not valid as I have arthritus. I explained I wanted to claim for the redundancy and they told me that until I register as unemployed rather than sick then I am not eligible. The government pays the interest on your mortgage within six weeks of signing on. Why have I wasted all this money over £6,000 per year. This seems to me to be robbery or theft. Can I get my money back? Why have I been the one to chase these sharks up only to discover that I am not covered even the fact I suffered from stress before the operation.
I would like this letter to be a formal complaint about PaymentShield and I have also posted a notice on Martin Lewis Website and I will also write to a national newspaper. This is daylight robbery I will never again pay insurance to protect anything other than my car as they simply do not want to pay out.
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