Unlock the Editor’s Digest for free: UK consumers facing deteriorating customer service from insurers

Are you tired of feeling like you’re being ripped off by your insurance company? Do you feel like you’re constantly fighting for the coverage you deserve? Well, you’re not alone. A recent report by Which? has revealed that UK consumers are facing deteriorating levels of customer service from their insurers, despite the increasing costs of obtaining cover.

According to the report, almost half of people making a claim on their insurance policy experienced at least one problem with their claim. From having to chase insurers repeatedly for updates to being asked to submit supporting paperwork multiple times, it’s clear that the claims process is far from smooth sailing for many consumers.

What’s even more concerning is that those who were severely impacted by the incident that led to their claim were nearly twice as likely to experience problems with the claims process. This is despite the introduction of the Consumer Duty by the Financial Conduct Authority (FCA) last year, which aimed to protect vulnerable customers.

The report also highlighted cases where customers felt harassed to provide difficult-to-obtain information or were forced to live in unsuitable conditions while their claims dragged on for months. And to make matters worse, one in four people who had their claims rejected didn’t even understand why, making it harder for them to seek recourse.

It’s clear that something needs to change in the insurance industry. The consumer group Which? has called for the FCA to improve its supervision of insurers’ claims handling practices to prevent further harm. And with motor and home insurance premiums on the rise, it’s more important than ever for consumers to be treated fairly and transparently.

So, what can you do to protect yourself from being taken advantage of by your insurance company? Stay informed, know your rights, and don’t be afraid to speak up if you feel like you’re being treated unfairly. And remember, the insurance rip-off will not end unless the regulator takes meaningful action against firms that consistently fall short.

In the meantime, if you want to stay up to date on the latest news and insights from the insurance industry, be sure to unlock the Editor’s Digest for free. Roula Khalaf, Editor of the FT, selects her favorite stories in this weekly newsletter, giving you a behind-the-scenes look at what’s happening in the world of insurance.

Don’t let yourself be another victim of the insurance rip-off. Take control of your coverage and demand the service you deserve. And remember, knowledge is power – so stay informed and stay protected.