Have you seen an increase in your premiums from your insurer?

Find out how to make up the difference when it’s time for the renewal.

It became illegal for insurers to set their most favourable rates aside for new clients beginning in January 2022. This put an end to a common practise known as “price walking,” which was when a customer stayed with the same insurer for a longer period of time and was charged more money by that insurer.

This is thankfully in the past, but if you let your policy renew without checking to see if it’s a decent bargain, you still run the risk of losing out on some possible savings.

This section will walk you through the process of renewal and will explain how you may prevent your premium from increasing.

What exactly is an automatic renewal?



Similar to auto insurers, house insurers frequently include provisions in their plans that allow for automatic policy renewal.

At the conclusion of the policy, if you do not expressly state that you do not wish to have your coverage renewed, it will do so automatically unless you make it explicit that you do not want it renewed.

Before you are automatically covered for yet another year, your homeowner’s insurance provider will send you a notice of renewal. This is often done by mail and outlines all of the specifics of your new insurance, including the price that you will pay as well as the premium that you paid the previous year.

The document will also clarify how you can cancel and how long you have to change your mind before making a commitment to something. The vast majority of insurance providers will get in touch with you at least 21 days before your policy is routinely renewed.

We also recommend that you put a reminder in your calendar a few weeks before the expiration date of your current policy so that you don’t forget to renew it.

Will I have to pay a price to renew my subscription?

In the market for homeowner’s insurance, renewal fees are relatively uncommon, but some providers do charge customers for them.

Be sure to give the policy paper a careful read so that you can avoid any unpleasant surprises.

What exactly is a deposit for pre-renewal?

In the hope of retaining your business for yet another year, some house insurance companies will automatically demand a payment from you in advance of your policy’s renewal.

This payment, which is typically equivalent to one month’s premium, is deducted from your account one month prior to the renewal date if you are a pay-monthly customer. If you choose to continue with the plan after this year, the sum will be subtracted from the premium for the next year.

If you are aware that the term of your homeowner’s insurance policy is about to expire, you should inquire with your insurance provider about pre-renewal deposits so that you are not caught off surprise.

Because so many insurance companies charge interest, it is typically more cost effective to pay for coverage on an annual basis rather than on a monthly one. In our analyses of home insurers, we highlight which companies provide coverage and which do not.

How to get a lower rate by haggling

It is not your only choice to transfer to a different insurer when you are faced with a high renewal premium, but it is one of them.

According to the findings of our investigation, negotiating with the company that provides your homeowner’s insurance can almost always result in a lower premium payment.

You will be better prepared to negotiate if you see what other insurers are offering before you start talking to them.

To further assist you in getting ready for the negotiation, we also provide a tried-and-true script for negotiating.

If I let my policy roll over by accident, am I able to cancel it?

You have the option to terminate your homeowner’s insurance policy, but doing so will most likely result in a fee. Once your policy has begun, you will be entitled to a cooling-off period of fourteen days. During this period, you will be able to cancel your coverage with the majority of insurers, and you will only be charged for the portion of the coverage that you have actually utilised.

However, there are certain companies who will still charge an administrative cost if you terminate your service during the first 14 days. According to the findings of our investigation, the amount of this administration fee, when it is applicable, can range anywhere from twenty to forty pounds.

If you cancel after the cooling-off period, you are more likely to be charged, and the amount of those charges may be significantly increased (up to £58). If you do have the intention of switching, the best time to do so is at the time of renewal, not after the fact.

When is the right time to begin shopping around for a new homeowner’s policy?

When you have been insured for eleven months under your current policy, it is a good idea to begin shopping for new house insurance coverage. Find affordable homeowner’s insurance by adhering to all of our advice.

Once you have discovered a favourable pricing, you have the option of purchasing a new policy or using it as leverage to negotiate a reduction in the premium that is being charged to you by your existing carrier.

There are insurance companies like NatWest, Saga, and Royal Bank of Scotland that sell plans with premiums that are guaranteed to remain the same for longer than a year. Even though this might make you feel more at ease, you should look into different service providers to ensure that the additional cost won’t be too great.

If you file a claim or if there is a rise in insurance premium tax, the cost of your coverage may still go up. If this occurs, you should make sure that you investigate all of your available options when it comes time to renew your policy.