House and contents insurance increase.

[DAKSTER]

I have several properties and a number of cars with RACQ. I've noticed about a 10% increase across the board, but they are still cheaper (for me at least) than other alternatives so I am sticking with them.

 

[Grennan]

Just Car put up my insurance 200 bucks last year and another 100 this year. Citing Queensland Floods. I thought it was ####en ridiculous seeing as how I live in Suburban Melbourne.

Rang them, ranted and raved. Not much I can do when any other insurance mob refuses to touch me cause of the mods on the car.

 

[Calaber]

The fact that your house, or mine, is not flood prone, has nothing to do with the increase in costs. NRMA claim that the cost to them of paying out for last year's floods has to be recouped and the best way of doing so is to hit everybody, regardless of whether you are a flood risk or not.

It's interesting to see others' experience in this matter. I know I'm not alone, which was why I created this thread. One member here has been hit for six with a massive increase, far more than mine, and I would be telling the company to take a hike if I got that quote too.

The question was asked about adjusting the excess to lower the premium, but the option offered along those lines still left me with a big monthly increase in premium, plus a fat excess I don't want, so that option is out, too.

No, it looks like the NRMA and I are about to cease our relationship and as somebody has said here, that's a shame because the counter staff at the local branch are always helpful.

 

[vr94ss]

The fact that your house, or mine, is not flood prone, has nothing to do with the increase in costs. NRMA claim that the cost to them of paying out for last year's floods has to be recouped and the best way of doing so is to hit everybody, regardless of whether you are a flood risk or not.

It's interesting to see others' experience in this matter. I know I'm not alone, which was why I created this thread. One member here has been hit for six with a massive increase, far more than mine, and I would be telling the company to take a hike if I got that quote too.

The question was asked about adjusting the excess to lower the premium, but the option offered along those lines still left me with a big monthly increase in premium, plus a fat excess I don't want, so that option is out, too.

No, it looks like the NRMA and I are about to cease our relationship and as somebody has said here, that's a shame because the counter staff at the local branch are always helpful.

Not sure who this is aimed at, I suspect me as it mentions flood. Sorry if I missed something. As can be seen by my edit, Shannons brings the premiums back to what I was paying, ever so slightly less, in fact. I mentioned flood as that is the excuse given for our ten fold increase, they will not insure excluding flood. As far as I have seen that is the most anyone has admitted having, you with only 33%, ours was 1000%.

As said, we cancelled the next day after receiving the new terms and that policy expires on the 26th Sept, when the increases would have taken effect. We'll go with Shannons for the same as what we were paying before. I advise people to do some shopping if they get ridiculous increases.

 

[MasterOfReality]

I just got mine. Been insured with aami for the last 5 years and house and contents went up around 20%. I live in a suburb where four houses were gutted by the floods but my house is up high. Insured for building replacement value and over $120k in contents.

I also got a letter a few months back saying flood cover is automatically included.

Went online to the aami website for a quote and it came back with an amount almost the same as last years.

Edit - my parents are insured with APIA in NSW and my father was telling me the other week he went to nrma for a quote and got quoted over $3k just for building, no contents. Not in a flood prone area either. He is going with APIA again.

 

[showbags]

Yesterday, we received our renewal notice for the next year's home and contents insurance. The premium has increased from $165 to $225 per month, or 36.3%, in just one year. The cost increase has been blamed on the Queensland floods and various other natural disasters, plus the cost of "insuring the insurer".

I have been a customer of the NRMA for many years and they have always levied what I consider to be a fair price for their coverage, but this increase goes against the odds and I have decided to go elsewhere.

Has anybody else experienced this sort of increase in their home insurance this year?

You think you got it bad. Our renewal came out the other day, monthly instalments were $32.75 and the new one has monthly instalments of $283.38(3,400.56@annum), almost 10x the old and this is for contents only as we rent! Apparently they won't insure now without flood insurance included. This house has been here near on 80years and water has never come inside the house, it's up off the ground and we now have a levee that protects our side of Lismore for all but a 1 in 100 year flood event. Needless to say we cancelled it and will be looking for someone that will give us fire and theft only.

EDIT: Just got an on-line quote from Shannons, we have our cars with them, looks like that we'll be going home contents with them too:
Your Payment Options
Monthly $31.40 Half Yearly $188.44
Quarterly $94.22 Annual $376.89
Your Insurance
Contents $35,000 Excess $200
Enthusiast Section $10,000 Excess $200
Unspecified Personal Effects $2,000 Excess $200
Legal Liability $20,000,000 Excess $200

$35k seems a bit low on contents. Do you sit on milk crates and eat of the floor? I'd have that amount in just one room.

 

[vr94ss]

I could understand a small increase. Insurance is a cost/loss sharing thing. If losses escalate I would understand and expect increases, what I don't understand is that our soon to be ex-insurer cannot exclude flood and we must be expected to pay tenfold what we were paying when we don't want it. Why _must_ we have flood insurance? Really, if I had to pay 3 grand for contents a year I would not insure. I could replace old for old every 3 years for that, old for new every 10. Never had a claim so it makes no sense at that cost not to self insure.

 

[vr94ss]

$35k seems a bit low on contents. Do you sit on milk crates and eat of the floor? I'd have that amount in just one room.

Not a bit low.. We don't live like kings. Good on you, I guess I'm being hit to pay for people like you that have more in one room than our whole house. Reverse socialism

No, we don't own much beyond what we need and we own it all. $35k covers it quite well. Really besides the point though as that what we were insured for before and a 1000% increase is unjustified, which is my point. Also the 35k excludes another 10k in tools etc(Enthusiast Section $10,000 Excess $200) which covers some expensive stuff. If it cost more than 35K to replace it all, I don't care, if I lost it all 35K(maybe 47k with enthusiast and unspecified) would get us well and truly started again.

Edit: Just noticed you only live up to 2/3 of your "Cheap,nasty&full o ****" bit..

 

[NaY 2.0]

Well, no, it's no palace. The cost is high because of the house's age and timber construction and we aren't in a flood risk area. Starting over is no option when you are in your retirement so the insurance has to cover our costs. I have checked APIA (the old fart's insurer) and they appear to be much more reasonable so they could be getting my business.

I intend to speak to the NRMA about this, but only to voice my displeasure and tell them to cancel the existing policy once the new one is sorted. Another customer they have lost.

APIA is owned by Alliance ( IIRC from Economics )

So i would check if Alliance will cover you as they may be cheaper as generally APIA will charge you more. Cause they can

 

[vr94ss]

For oldies.. If you are home a lot APIA seems a good thing, I'm not quite there yet. Being home reduces risk. I'll be looking at them in a few years. Well two.. Insurance that goes by miles on road for cars is good too(pay as you go). Our Dunnydoor(VR94SS) has done 17k in 4 years, so that is being looked at.