Brace yourself for insurance premium hikes....

[DennyK]

I received my M&S pet insurance renewal forms yesterday.

Paddy is now nearly 15 months old.  I've never claimed on the M&S policy (Paddy's colitis started during the six week free insurance period with PetPlan and I never thought about the "pre-existing conditions" exclusions, otherwise I'd have stayed with PetPlan).

Anyway.  12 months ago, my annual premium paid in a one-off lump sum was £163.

Today, it is £269: with a claims record of NO claims.

When I rang up M&S to ask them why, they explained that all pet insurers have seen large increases in the number and value of claims made in the last year and so their profitability has declined.  As an industry, they used to be quite "broad brush" in assessing risk - looking mainly at postcode and age of animal.  Now, they're applying the same risk profiles used for human life and health insurances. 

And what that means is that anyone with a male dog will see significantly increased premiums - statistically more illnesses, more injuries from interaction (fights?) with other dogs.  And cockers' tendency to PRA and hip problems also weight the breed quite heavily.

Ho hum.  Looks like some time spent internet-searching for comparisons on cost and cover levels.....

Denise

[GingerLeo]

Just recieved mines aswell and was expecting a little hike from what ive read on here. Leo's a couple of months older than Paddy and has had one claim but his has come in at £192. I put the letter away in that safe place that i can't seem to find and so forgot to compare with other places 

If only pet insurance was like car insurance and went down as the age goes up 

[clairep4]

Mine are insured with Animal Friends Insurance and the new premiums are £17 a month for Bella (2 years, Spayed but we've had a fair number of claims cos of her teeth problems early on), and £19 a month for Zorro (5 months). I'd been wondering why it was more for him - guess that explains it!

[Helen]

I think you missed the thread in late july on this dennyk!  Premiums sky rocketed 01 August, and i was told young male un-neutered dogs are much more prone to fighting and injuries    Had conversations with M&S and the underwriters to no avail - if jarv's policy had expired 7 days earlier, it would have missed the increase

in truth although the hike is substantial i did look around and compare policies closely, stayed with m&S because of their comprehensive cover.

M&S previously were a 'bargain' for what they were offering so although an increase was justified, i still haven't quite got over HOW much the increase was....

[DennyK]

Helen

Was your premium hike in the £100 extra type category?  Like you, it's about the level of cover offered - and you're right, M&S used to be an absolute bargain! 

Denise

[kerriebaby]

I dont (yet) have a cocker, but my mongrel is more expensive than my collie by £10 with Direct line.

[CarolineL]

Im absolutely dreading getting our renewal, not only will we have to pay more because Hurley is a young adult male but with the amount of money that we've claimed through Hurley's leg I can't imagine that we'll get away without a significan increase. I also doubt it will be worth our while to change insurers because we've already claimed for a condition (in fact I doubt if we could get cover on a pre-existing condition).

[Nicola]

Denise I don't understand how there could be such a difference in Paddy and Tilly's insurance quotes even taking the dog/bitch thing into account. I took out her new insurance with M&S last week and it was 'only' £131 for the year and that's the full all singing all dancing premium cover with no excess so how can they possibly justify a difference of £138 - you're paying more than double what I am 

Plus, I took out Alfie's insurance with M&S when I got him in late March last year and it was £142 yet yours for this last year has been £169... very strange. I live pretty much in the suburbs of Edinburgh too so it's not like I'm in the middle of the countryside if they take that into account 

I am expecting a hefty hike in Alfie's insurance in March but if they think they're going to try to tell me it's double the cost of Tilly's then they've got another think coming!

[Elisa]

Bailey's renewal for M&S was in June 2006 and was £127.80 with no excess (same as 2005). Bailey was 3.  We have claimed about 4 times for Bailey, with the most expensive claim being about £70 and the others being around £40.

I insured Harvey (14 weeks) in November with M&S and his cost £212.16   

[Deb H]

Blimey ohh Riley I swapped to M&S as my previous insurer was pants and i have five yes count them five boys four of them entire. Hmm maybe i could claim a typo with Georgina and Harriet and Sydney can be either a boys or a girls name can't it? Clutching at straws me thinks. Just have to wait for my renewal i suppose and take it on the chin.

[Helen]

Helen

Was your premium hike in the £100 extra type category?  Like you, it's about the level of cover offered - and you're right, M&S used to be an absolute bargain! 

Denise

premium hike was in the £100 category

[Helen]

Denise I don't understand how there could be such a difference in Paddy and Tilly's insurance quotes even taking the dog/bitch thing into account. I took out her new insurance with M&S last week and it was 'only' £131 for the year and that's the full all singing all dancing premium cover with no excess so how can they possibly justify a difference of £138 - you're paying more than double what I am 

Plus, I took out Alfie's insurance with M&S when I got him in late March last year and it was £142 yet yours for this last year has been £169... very strange. I live pretty much in the suburbs of Edinburgh too so it's not like I'm in the middle of the countryside if they take that into account 

I am expecting a hefty hike in Alfie's insurance in March but if they think they're going to try to tell me it's double the cost of Tilly's then they've got another think coming!

the rationale for a potential increase will be:  Tilly is a girl, Tilly is spayed, and Tilly is over 2 therefore she is a lower risk that Alfie, who is male (more prone to fights), un-neutered (as before) and young (as before)

No, it makes no sense to me either, but it seems young entire boys are a much higher risk

[michelle123]

This is a complete load of nonsense ! 

There is a recent thread on M&S, but as a person who works in the insurance industry I would like to stick my two penneth worth in.

First M&S are a shop NOT an Insurer.  They put there name to a product and it sells.  The policy is Underwritten by AXA Insurance, one of the largest insurers in the world. 
M&S had really really cheap premiums and inevitably they got a lot of business which will have resulted in lots of claims.  It is the claims tht have caused the insurance to go up - effectively M&S will have a scheme with AXA and the scheme is unlikely to be running at a profit, hence the price increase. 

I was with M&S and at the time couldnt believe the price, I made no claims paid my premium.  I was pre warned about the increase.  In fact at renewal, only this month, I was astounded when my premium had almost doubled and my excess increased.  After a little research I found Healthy Pets, premium almost identical to last year - funny thing is the Insurer is AXA - therefore proving that AXA have not increased ALL of their pet insurance policies.

The cover with Healthy Pets is very similar, the main thing that I have found that is different to M&S is that there is no specific cover for a behaviourist UNLESS you are referred by your vet in connection with another incident/accident and special dietry food (unless again in connection with an accident/incident) tbh I wasnt fussed about these two particular exclusions so I went with them.

I have got to say that if I had been trying to pass this sort of increase and terms onto a client I would be extremely embarrassed. 

[Helen]

This is a complete load of nonsense ! 

There is a recent thread on M&S, but as a person who works in the insurance industry I would like to stick my two penneth worth in.

First M&S are a shop NOT an Insurer.  They put there name to a product and it sells.  The policy is Underwritten by AXA Insurance, one of the largest insurers in the world. 
M&S had really really cheap premiums and inevitably they got a lot of business which will have resulted in lots of claims.  It is the claims tht have caused the insurance to go up - effectively M&S will have a scheme with AXA and the scheme is unlikely to be running at a profit, hence the price increase. 

I was with M&S and at the time couldnt believe the price, I made no claims paid my premium.  I was pre warned about the increase.  In fact at renewal, only this month, I was astounded when my premium had almost doubled and my excess increased.  After a little research I found Healthy Pets, premium almost identical to last year - funny thing is the Insurer is AXA - therefore proving that AXA have not increased ALL of their pet insurance policies.

The cover with Healthy Pets is very similar, the main thing that I have found that is different to M&S is that there is no specific cover for a behaviourist UNLESS you are referred by your vet in connection with another incident/accident and special dietry food (unless again in connection with an accident/incident) tbh I wasnt fussed about these two particular exclusions so I went with them.

I have got to say that if I had been trying to pass this sort of increase and terms onto a client I would be extremely embarrassed. 

not sure if you're referring to our posts or the information we've received as nonsense..i DID speak to AXA , the underwriter, and this is the rationale they gave ie male dogs - I also mentioned in my post the bargain previous M&S premiums and I do know they had to raise them because of their 'success' and the added weight of hugely increased claim amounts.

Who's to say the Healthy Pets policy doesn't go the same way - it may be AXA's way of gaining new premium holders and anticipating that when they do increase, they will retain a majority of their customers.

[Cob-Web]

First M&S are a shop NOT an Insurer. The policy is Underwritten by AXA Insurance, one of the largest insurers in the world. 

And futhermore - M & S Money is now owned by HSBC (the bank) - and so has no link with the Marks and Spencers brand at all now   

When Molo's 6 weeks free insurance ran out as a pup, M & S was highly recommended - but I didn't buy their policy as the company had just been taken over by HSBC, and I was worried about price rises and change in reputation 

After 12 months, the company I had insured with (Direct line) changed their Terms and Conditions which I was no longer happy with; M & S had not increased their prices at that point, so I switched to them - only to have a huge price hike the following year