Full licence effect on insurance

paulmclaughlin

A driver with a learner permit has insurance of 2,000 euro. That driver then passes their driving test and informs their insurer.

Do they get a new quote?
Do they have the same quote but their premium reduced if they pay by month?
If they paid in full, do they get money back?

This is all assuming this is say 2 months into a year's cover. Wondering these things because I'm about to get insured and have already applied for a test date.

dev100

You wont get a new quote as you are all ready insured but they will decrease your over all premium
If you pay in full they probably will refund you some money
Direct debit of set amounts I wouldnt be to sure howd they do it.

Alanstrainor

I got a small refund on my policy. If I recall correctly it was barely anything. Moved insurance company soon after, as I only had 2 months or so left on it.

paulmclaughlin

Thanks guys, very informative.

sentient_6

I paid 2500 for my first years insurance, passed my test 3 months in, & got a cheque for about 500 back. That was with Axa.

Hatchet89

Iv just got my full license. I called the insurance company today and they said my premium wont be reduced until it is due for renewal next year. I only just started this policy 2 months ago and pay by direct debit. I asked if I could renew my policy or cancel it and was told I would still be required to pay 70% of the policy. Apparently she said most insurance companies have adopted this approach

Faith+1

Hatchet89 wrote: »

Iv just got my full license. I called the insurance company today and they said my premium wont be reduced until it is due for renewal next year. I only just started this policy 2 months ago and pay by direct debit. I asked if I could renew my policy or cancel it and was told I would still be required to pay 70% of the policy. Apparently she said most insurance companies have adopted this approach

That is complete b*llsh*t. I understand that most insurers don't have to lower your premium or give you a rebate but her overall attitude towards you (A paying customer) stinks. Also I've never heard of an insurance company asking to be paid 70% of the overall premium in order for you to cancel it.

I'd recommend you look at the contract you signed to see if it stipulates this 70% b*llsh*t, if not I'd inform them of this, you wish to cancel the policy whether they like it or not and are taking your business elsewhere. There's many insurers who will be delighted to have another paying customer on the books.

DaveyDriving

Faith+1 wrote: »

Hatchet89 wrote: »

Iv just got my full license. I called the insurance company today and they said my premium wont be reduced until it is due for renewal next year. I only just started this policy 2 months ago and pay by direct debit. I asked if I could renew my policy or cancel it and was told I would still be required to pay 70% of the policy. Apparently she said most insurance companies have adopted this approach

That is complete b*llsh*t. I understand that most insurers don't have to lower your premium or give you a rebate but her overall attitude towards you (A paying customer) stinks. Also I've never heard of an insurance company asking to be paid 70% of the overall premium in order for you to cancel it.

I'd recommend you look at the contract you signed to see if it stipulates this 70% b*llsh*t, if not I'd inform them of this, you wish to cancel the policy whether they like it or not and are taking your business elsewhere. There's many insurers who will be delighted to have another paying customer on the books.

As far as I am aware as soon as you cancel a policy the amount payable is calculated based on number of days your vehicle was on cover plus maybe an admin fee but this should be relatively small. This is all provided of course that you do not have any outstanding claims against you on the policy or had any accidents from which a claim may arise. Get a few quotes for yourself as a full licence holder from other companies and when u get one you like ( or dislike least) what you get back from your current insurer may cover the mew policy as a full licence holder. Good luck.

starlit

Yes it would. If you are over 25 or over 30 your insurance will decrease anyway after you get your full licence. It be likely to be more expensive say from ages 17-21 and then slightly less expensive from ages 21-25. It be expensive anyway as a learner driver but insurance go down anyway once you get a full licence.

Roadskill

It's usually about a 25% loading for a learner permit. They should rebate you on a pro rate basis meaning they will refund on the remaining months of the policy.
That's not all btw.

one2one

Passed my test when I was 17, got €6 off my insurance. I'm sorry I did the test now. Makes no differance to my life at all (except I can drive unaccompanied), but cost wise, no differance.

I got a quote while in a shopping centre during the week from a stand in the centre, and out of 14 insurers, 12 came back saying No quote 'Due to age'. Absolute joke. Is that not a form of discrimination?

Alanstrainor

one2one wrote: »

Passed my test when I was 17, got €6 off my insurance. I'm sorry I did the test now. Makes no differance to my life at all (except I can drive unaccompanied), but cost wise, no differance.

I got a quote while in a shopping centre during the week from a stand in the centre, and out of 14 insurers, 12 came back saying No quote 'Due to age'. Absolute joke. Is that not a form of discrimination?

It's about risk, young drivers are more of a risk, than someone over 25.

What car do you have? Would i be right in saying that it's not a 1.0 litre micra!?

theteal

i was 26 getting my full license and it made pox all difference, literally €0.00, I was expecting something - i imagine it would make an impact on younger age brackets. I remember I bought a '05 1.4 focus the following day (went from a '98 1.0 micra) and I was charged an extra €57 for the one month I had left on the policy (quinn). One month passed and 123 more than halved my old premium

sonyvision

looking at a few bob back maybe 300-400 difference, but untill your 25 your still going to be getting robbed my mate passed his test when he was 18 bought a nice clio paying 1200 full comp with 2 years no claims bonus and most of that is a big discount from axa as a student pays in monthly with interests free and a quarterly reductions

charlemont

Quinn reduced my premium straight away I pay by the month though. I was only 3 weeks into my new premium too.

one2one

Alanstrainor wrote: »

It's about risk, young drivers are more of a risk, than someone over 25.

What car do you have? Would i be right in saying that it's not a 1.0 litre micra!?

1.2 Clio... No modifications, nothing. Tbh if I have a full licence at the age of 17 I'm hardly that much more of a risk than someone over 25....

Alanstrainor

one2one wrote: »

Tbh if I have a full licence at the age of 17 I'm hardly that much more of a risk than someone over 25....

It's the exact opposite. Young driver, new full license, puts you in the highest risk category there is. It sucks, but it's true.

Faith+1

Alanstrainor wrote: »

It's the exact opposite. Young driver, new full license, puts you in the highest risk category there is. It sucks, but it's true.

Yep have to agree with Alan. You'll get hammered on your first insurance quote, full licence doesn't make a huge dufference to the insurance companies.
All they see is a young, male driver with no previous driving experience who is the highest risk category on the road.

the_syco

Faith+1 wrote: »

That is complete b*llsh*t.

How so? You pay for a years insurance, but can either pay it in one go, or in monthly repayments. You still pay for that years insurance, though.

Personally, I got a €80 refund at the end of the "year", having passed the test in July. It was put towards the 2011-2012 quote, so now I paid €584 (down from about €900 to €1000 two years ago.

Unless you can get one a lot cheaper, I don't see the point in moving elsewhere. Oh, and check the excess of some of the lower ones. Some that offer you a "real low quote" have an excess of €2000 - so for the first €2000 of the damage, you pay it.

matt70iu

Got over 300e back when I passed my test, that was liberty/quinn but I think it depends on so many factors. If you're over 25 and haven't passed your test with several years NCB, the insurance company start to ask why and load your premium accordingly.

My insurance only started to go down once I had passed my test. Still pays in the long run to get your full license asap.

Faith+1

the_syco wrote: »

How so? You pay for a years insurance, but can either pay it in one go, or in monthly repayments. You still pay for that years insurance, though.

How so? Because it's called good customer relations. The driver has passed his test, proven that he is qualified driver in the eyes of the Law and a simple rebate however small is a just deserve. As the poster said he recieved nothing back from the insurance company which I have personally never heard of.

Just because an Insurance company claim this is their "Policy" doesn't mean you have to accept it. I would cancel the policy and take my business else where, There is a Recession on as we all know and money doesn't grow on trees so give your business to a company that actually gives a sh*t about it's customers.

Alanstrainor

Faith+1 wrote: »

Just because an Insurance company claim this is their "Policy" doesn't mean you have to accept it. I would cancel the policy and take my business else where, There is a Recession on as we all know and money doesn't grow on trees so give your business to a company that actually gives a sh*t about it's customers.

That's all fair and well, but cancelling a policy will usually incur a substantial penalty, depending on how long is left of course.