Single Policyholders Face Premium Hike After Losing Partner
Kay Lawley received a shock when her car and home insurance renewal quotes increased by up to 15% shortly after her husband's passing. The Ageas provider couldn't explain why, citing an algorithm that matches individuals to customers with similar profiles. Lawley argued that nothing had changed since her husband's death, yet she was being charged more.
Other newly bereaved customers have reported similar experiences. Alison Roper discovered that her home and buildings insurance premium rose after her husband died due to concerns about her property being less well-attended as a single person. A widow in another case found that her Swinton Insurance policy increased by £440 despite having no changes to her circumstances.
Insurance providers claim they can make commercial decisions based on their risk appetite, but many customers are denouncing the bereavement penalty as insensitive and opaque. Ageas has acknowledged its process failed Lawley's case, refunding her extra premiums and sending a bouquet of flowers. However, she will lose the discount on her next renewal.
Campaign group Fairer Finance says insurers' pricing practices are undermining public trust and that the increasing reliance on artificial intelligence is making things worse. They urge government and regulators to insist on more transparency.
These cases highlight the lack of humanity in many insurers' algorithms. Even if there's a statistical basis for these decisions, they lack sensitivity. Insurers are unable to explain their reasoning due to trade secrets, accelerating complexity.
The Association of British Insurers declined to comment on why drivers with no claims histories are considered riskier once they live alone or how widespread the bereavement premium is. Swinton has apologized and offered compensation, but has also acknowledged a need for improvement in its processes.
Kay Lawley received a shock when her car and home insurance renewal quotes increased by up to 15% shortly after her husband's passing. The Ageas provider couldn't explain why, citing an algorithm that matches individuals to customers with similar profiles. Lawley argued that nothing had changed since her husband's death, yet she was being charged more.
Other newly bereaved customers have reported similar experiences. Alison Roper discovered that her home and buildings insurance premium rose after her husband died due to concerns about her property being less well-attended as a single person. A widow in another case found that her Swinton Insurance policy increased by £440 despite having no changes to her circumstances.
Insurance providers claim they can make commercial decisions based on their risk appetite, but many customers are denouncing the bereavement penalty as insensitive and opaque. Ageas has acknowledged its process failed Lawley's case, refunding her extra premiums and sending a bouquet of flowers. However, she will lose the discount on her next renewal.
Campaign group Fairer Finance says insurers' pricing practices are undermining public trust and that the increasing reliance on artificial intelligence is making things worse. They urge government and regulators to insist on more transparency.
These cases highlight the lack of humanity in many insurers' algorithms. Even if there's a statistical basis for these decisions, they lack sensitivity. Insurers are unable to explain their reasoning due to trade secrets, accelerating complexity.
The Association of British Insurers declined to comment on why drivers with no claims histories are considered riskier once they live alone or how widespread the bereavement premium is. Swinton has apologized and offered compensation, but has also acknowledged a need for improvement in its processes.
like, kay lawley got her renewal quotes hiked by 15% bc her husband passed away & nothin changed since then?? that's just wrong 
these algorithms are supposed to be based on stats but honestly they sound super opaque & insensitive. and can we talk about how unfair it is when u lose a partner & suddenly ur property value plummets? 
fairer finance is totally right, gov & regies need 2 step in & make insurers be more transparent about these pricing practices 
and btw what's up with swinton being all apologetic yet still refusing to explain their process lol 
... insurance companies think they can just use some algorithm to punish people who've lost their partner and don't change their behavior at all? Like, hello! I'm still paying the same bills on time, but suddenly I'm a riskier driver because my spouse isn't there to bail me out in case of an accident 
. And what's with the "we can't explain our reasoning" excuse? Trade secrets and complexity are just code for "we're too lazy to tell you what's really going on". And no, not everyone gets a bouquet of flowers like Ageas did... some people just get stuck with higher premiums 
.
This is so messed up! 
Insurance companies can't just increase premiums because someone's life partner passes away without even explaining why. It's like they're treating people as numbers on a spreadsheet rather than human beings 
? It's so unfair! 
. And don't even get me started on the lack of transparency, it's like they're hiding something 
. It's not fair to penalize people just because they're single after losing a partner, that's just heartless 
.
. Can't believe they're charging more just because you're single or lost a partner. It's not even like there's been any change in circumstances! The fact that they can't explain their reasoning makes me nervous, what other 'sensitive' info are they collecting? And all this AI stuff sounds like a recipe for disaster 
shouldn't it be based on actual risks rather than some algorithm that thinks I'm more likely to file a claim just 'cause I don't have a husband 
[link to article about insurance pricing practices](https://www.theguardian.com/money/2023/oct/24/insurance-claims-britain-highest-rate-insurers)
. Don't get me wrong, I get it - business gotta make a profit and all that... but can't we just have a bit more humanity in the process? 
.
.
. If they can't explain how they're calculating our premiums, how can we trust them to have our backs? 
It's like they're treating us as numbers instead of human beings 
. We can't just sit back and let these companies take advantage of vulnerable people 
. It's time for a fairer approach to insurance pricing 
.