Refused Insurance

[hermes]

Yesterday I was phoning round to get quotes for renewing our business insurance, we have workshops in North Derbyshire. I was surprised when one company took the postcode and then said that they couldn't insure us as we were in a flood risk area. We have been here 7 years and I have never heard of any flooding, though we are about 1/4 mile away from the river Rother.
Two things occurred to me. If some companies are going to refuse insurance based on postcode then surely other companies will increase their premiums for these areas, but competition for business in non-flood areas may increase?
Also, if I am asked in the future whether I have ever been refused insurance I will have to disclose this, which may be used as an excuse to raise the premium.

 

[JohnD]

If they refused to quote based on your postcode, I don't think you have to declare it.

Especially if they didn't take your name and address

 

[ninebob]

If they refused to quote based on your postcode, I don't think you have to declare it.

I agree. You weren't refused insurance, merely turned down by a particular company for a quote. If you had been refused a renewal with your current insurer, that's a different matter.

 

[Slogger]

hermes said this" Sure I will get hammered for this but I would go past on the inside in this situation."

they read DIYNOT didnt you know

 

[Agile]

Surely you should name the insurance company so that the rest of us who live within 1/4 miles of the river Rother can leave them out of our quote list?

 

[DidgePlayer]

If some companies are going to refuse insurance based on postcode then surely other companies will increase their premiums for these areas, but competition for business in non-flood areas may increase?

Companies may refuse on their experience in the postcode area, based on a type of insurance. If they have only insured two people in that area and they both had losses they think it's a bad area.

If another insurer insures loads of people in that area and still had two losses, then they will look to pick up business in that area, as the loss ratio is better.

Andy

 

[hermes]

Surely you should name the insurance company so that the rest of us who live within 1/4 miles of the river Rother can leave them out of our quote list?

What do I see here?....Sussex, Hampshire, London, Kent and Slogger-land...think you shouls all be ok.

 

[Agile]

There is more than one River Rother:

In England:

River Rother (Eastern) in Kent and East Sussex
River Rother (Western) in Hampshire and West Sussex
River Rother, South Yorkshire (with its source in Derbyshire)