Insurance renewal: loyalty or laziness?
Almost 78% of general insurance customers don't compare their options before renewing their policy.
The latest research shows Australians are not doing their research when it comes time to renew their insurance policies, with the majority forgoing a comparison of competitors before extending their agreement.
New research from Roy Morgan's General Insurance Industry Currency Report reveals more than three quarters (77.9%) of general insurance customers don't approach any other company when renewing their policy.
Slightly more than one in ten policyholders (14.6%) approach another company but don't change policies. However, this proportion represents a marginal gain (+3.2%), compared to figures released in 2013.
Over the last four years, there has been a modest fall in the proportion of policyholders who switch companies.
Fewer Australians changed from their current provider to a new one in 2017 (4.6%) than did in 2013 (5.8%).
Consumers who held general insurance policies with RACQ (85.2%), RACV (84.1%) and RAC (83.8%) were least likely to switch to a new provider in 2017. Least loyal were Budget Direct (63.3%) and GIO (67.2%) customers.
The research also found that in the last four years, of the 12 largest general insurance companies, only Youi (+15.3%) and Apia (+5.3%) saw improvements in customers not approaching competitors when renewing.
And it's not just general insurance policies that Australian consumers auto renew. A survey conducted by finder.com.au in March 2017 found that Australians stayed with their health fund for an average of 11.8 years.
Considering a new policy or is it time to renew? Compare insurance quotes online and get protected.
Latest home insurance headlines
- Where’s Australia’s priciest fuel?
- Australian drivers spent $78 million on roadside call-out fees over 2 years
- Violation nation: Aussies spending $600 million per year on parking fines
- 4 ways parking fines can ruin your finances
- Back to the future: 45% of Australians would consider buying an electric car
Picture: Shutterstock
My wife and I are residents of Sydney. We have a rental property in Townsville. We would like to compare insurance for Building primarily. Please advise of the choices of insurers for properties in Queensland. I have checked various insurers but most do not provide cover for postcode in Cranbrook, Townsville, Queensland.
Hi Gonzales,
Thank you for contacting Finder.
You may refer to our list of Queensland home insurance policies for options that may suit your needs. We don’t have a feature where you can filter the options using postcodes specifically, however they most certainly provide insurance for Queensland. You may review and compare the offers available on the table. Once you have selected one, you may proceed by clicking the green “Go to Site” button. Or click the link on one of the companies listed.
Before applying, please ensure that you review the relevant Product Disclosure Statements/Terms and Conditions when comparing your options before making a decision on whether it is right for you. You can also contact the provider if you have specific questions.
I hope this helps.
Cheers,
Danielle