| If that goes against the grain of what you think is | | | | wouldn't do it...unless of course the marketing men |
| right then I'd like to spend this paragraph | | | | had you convinced it really was the cheapest, but if |
| congratulating the marketing people in the various | | | | you have read this far and still think that's the truth |
| insurance companies and comparison sites for doing | | | | I'd advise you going back to searching for a wife on |
| such a good job in brain-washing you. The fact is it | | | | line without wasting any more time reading this. |
| simply isn't true; the lowest price is available on the | | | | Where the internet and price comparison sites do win |
| phone alone, although the internet has its own very | | | | is in the homework stakes. I personally would |
| good uses, such as tracking down a beautiful wife | | | | advocate using a price comparison site to benchmark |
| who can't speak English and only has one objective in | | | | prices in the market for my car or motorcycle |
| life - to please. | | | | insurance. It will give me a target price to beat when |
| Let me start by explaining why the marketing men | | | | I pick up the phone and speak to a broker to actually |
| have got it wrong and prices are cheaper over the | | | | buy my insurance. It is critical to do this homework |
| phone. Insurance brokers or underwriters have to | | | | for when you call the broker to do a deal; otherwise |
| establish the risk they are being asked to insure. It | | | | you really are only guessing what the current market |
| could be a home, car, motorcycle, pet or any number | | | | price is. |
| of things that need insuring and critical questions need | | | | Armed with the benchmark price you need to beat |
| to be answered. | | | | you now need to select a broker or two that you |
| Brokers and insurers who operate online will ask | | | | are going to call. This is important homework as well. |
| normally a fairly standard range of questions on their | | | | I'd suggest you go with a broker you know or trust |
| website quote engine. These quote engines are | | | | - a big brand name perhaps. Certainly, it is worthwhile |
| supplied by a relatively few companies - CDL, SSP | | | | having a back-up and giving the smaller or local broker |
| and Open GI are amongst the most popular. On a | | | | a chance as well. |
| motorcycle insurance quote they may ask for things | | | | When you speak with the broker on the phone they |
| like your address, no claims bonus, type of bike, | | | | will inevitably ask you most of the same questions as |
| mileage etc. All standard stuff and that's where the | | | | you have just filled in on-line but the crucial difference |
| problem lies, it is standard stuff. | | | | is that you can talk with them and expand on various |
| By their nature, the websites have to capture very | | | | points. If they are good at their jobs they will pick up |
| specific information and then with the information | | | | on this and using the motorcycle insurance analogy it |
| supplied using a complicated computer programme - | | | | is easy to explain: I want motorcycle insurance but |
| designed by a man in an anorak who spends all his | | | | have zero no claims bonus. Normally that will mean a |
| time ogling foreign brides for sale on his computer | | | | high premium and that's what you're likely to get |
| screen - decide a price and make the offer for the | | | | online or on a price comparison site. However, |
| visitor to buy. | | | | speaking with a real person you can tell them that |
| It means that other information which may help to | | | | while you have no bonus, it is because you haven't |
| reduce your quote may never be mentioned. Worse | | | | owned a bike for two years but prior to that you |
| than that, because you are dealing with a computer | | | | had a full bonus. A good broker will use that |
| you cannot negotiate at all. You get a set rate that is | | | | information to lower your premium or perhaps even |
| worked out on the information you supplied in | | | | use a delegated scheme (a scheme where they can |
| answer to the set questions. | | | | alter the screen rate price to match customer needs |
| On-line rates are referred to as 'screen rates' in the | | | | based on additional information or profile) to suggest |
| industry. They tend to be the cost from the | | | | a lower price. |
| underwriter and depending on how aggressive the | | | | Bingo, lower price achieved, job done, more time for |
| broker or insurer is the cost could be without any | | | | researching potential foreign ladies on the internet! |
| profit margin or even at a loss if it is trying to grow | | | | The point is that you cannot have that sort of |
| its book of business. That sounds as though it may | | | | dialogue on-line with a computer programme. Once |
| be advantageous to the buyer but often you can still | | | | you have gone through the process with the broker, |
| beat the price by calling on the phone. | | | | they will know your cheapest price and decide |
| The other area that has grown in popularity recently | | | | whether they want to compete for your business. It |
| is the price comparison websites that have sprung up | | | | may take one or two calls before you find a broker |
| over the last couple of years. Effectively these bring | | | | willing to beat the cheapest quote you got on-line but |
| all the brokers and underwriters into the same arena | | | | find one you most likely will, providing you have told |
| and ask them to slog it out for your business. It's a | | | | the truth and selected the brokers you are calling |
| great idea and some experts reckon these sites now | | | | with care. |
| sell more than half of all car and motorcycle insurance | | | | A word of warning though, your insurance quote |
| in the UK. I wouldn't argue with that - the | | | | may not always go down, particularly in current |
| brain-washing has been very effective. | | | | market conditions (April 2009, economic melt down). |
| The same rules apply though. The companies | | | | Generally the big insurers had a lot of money tied up |
| competing are all running from standard data, using | | | | in investments and we all know they have headed |
| the same quote engine providers and giving their | | | | south recently. That puts more of an emphasis on |
| best price as a result. Sometimes working out the | | | | them to make the money from the underwriting |
| excess due, whether legal cover is included etc can | | | | business so prices could well go up. Even so, the |
| be quite difficult on these sites so be wary, the | | | | phone not internet model will still find you the |
| cheapest is not always the best or most appropriate | | | | cheapest price. But don't forget to use the internet |
| for you. Coming to think of it, the cheapest foreign | | | | to do your homework; it is a valuable tool for |
| bride may not be the best or most appropriate | | | | benchmarking prices. |
| option for you either. There has been some criticism | | | | As a parting shot, if you are bone idle lazy or have |
| that these price comparison sites are misleading on | | | | more money that you could ever possibly spend, the |
| the products these sell but I think recently they have | | | | internet only option is a potentially good one as you |
| all got a lot better. | | | | may not mind spending a bit more money on your |
| The simple fact is that even on the price comparison | | | | insurance. That will also give you plenty of time for |
| site you are still receiving a screen rate. That's a bit | | | | leisurely browsing the foreign babes network for |
| like paying the asking price in a new car or | | | | your first ever wife/girlfriend; just make sure your |
| motorcycle showroom without haggling, you just | | | | anorak is nice and clean when you send the photos. |