Very interesting, and consistent with a comment i heard on radio...... "the need for the insurance companies to change thier business models", meaning, their current business model is too competitive, and so they invent a new income stream. So it is of course a big fat lie to tell us what 'significant' work they do. As a consumer, you are being lied to, ripped off, and having your intelligence insulted. As savvy consumers, SHOULD WE ACCEPT?

Andy Have you any info/example on what method of judgement the LVT use, to decide what is 'reasonable'? And to anyone else, are there other precedents within other sectors, which serve to demonstrate a reasonable charge?

I guess they have by stating the following....... "The details on the policy are initially altered and then the details are entered into the quote system so we may obtain a quote from your current insurers, once this has been confirmed we are then advised of any additional / return premium due, once this has been actioned the changed details are then brought forward to the live insurance policy and all details retransmitted to your current insurers. Once this has been completed payment is then taken and a full quality check of your policy is completed followed by a new set of documents issued." The point here is, they cant break it down or justify, because this cost cannot ever be a FAIR reflection on the actual process. If i recall correctly, this 'fairness' and 'significant' angle, were two pertinent points regarding excessive bank charges a while ago. Any legal people out there, to explain what is fair or not?

At the very least, a rip-off, but how obscene would it be if the staff being paid, were talking from call centres in other parts of the world. How much of the £384 per hour do they get for the 'significant' work? Just a thought.

Anybody else think £384 per hour is acceptable?

Caught the end of a piece on Watchdog, regarding charges that insurance companies levy if for instance, you change your address mid-term. I just contacted my insurance company to enquire, and was told the charge will be £40.50. This is made up of £32 for their charge, and £8.50 FSA auditing fee (im still trying to establish what this element actually is). Been trying to engage with the company (cut n paste below) on a 'justification' level, which of course they wont, beause they cant. Im wondering if plain ole fairness, is being abused here. Should we accept it? ------------------------------ On 27 April 2012 16:37 Thank you for your e-mail. We can confirm there is significant administration work involved in a change of address to justify this fee. All mid term adjustments come with an administration fee of £40.50 as per the terms and conditions of your policy; this is broken up into an administration fee of £32.00 and an FSA charge of £8.50 please allow me to explain the process involved in a change of address: The details on the policy are initially altered and then the details are entered into the quote system so we may obtain a quote from your current insurers, once this has been confirmed we are then advised of any additional / return premium due, once this has been actioned the changed details are then brought forward to the live insurance policy and all details retransmitted to your current insurers. Once this has been completed payment is then taken and a full quality check of your policy is completed followed by a new set of documents issued. Kind Regards, --------------------------- 27 April 2012 18:02 Ben Up to the point of issuing a new set of documents takes 5 minutes, while on the phone. You even confirm that all the "significant administration" has been completed by stating "Once this has been completed payment is then taken and a full quality check of your policy is completed".....which takes 5 minutes, and has all been actioned electronically. Are you seriously equating a 5 minute button pressing exercise, as an activity that has the word 'significant' in it? Really? Seriously Ben, who ever told you to write that stuff appears to be in real danger of believing that black, is indeed white. So at £32, i make that £384 per hour. It is without doubt that the only 'significant' activity your industry will be carrying out, will be tending to increasing complaints about your ethics, from people like me, who wish our intelligence to not be insulted, and to be treated FAIRLY. I'm actually a customer of yours, and about to move address. Whilst talking to a friend who is also insured with you, i was confused when he said there was a charge, as i remember last time i moved, MCE did not charge me for changing the address. So I'm wondering, what part of the 5 minute process has changed, where i have now caused so much work, i now have to pay £40.50, where before, i paid nothing? Also, can you please explain or give information regarding the FSA element of the breakdown cost? Thank You ------------------------ On 30 April 2012 11:37 Dear Sir, Thank you for your e-mail. We can confirm our administration charges are clearly displayed in our terms and conditions that are included in your policy documentation, a copy of this is attached to this email. The £8.50 FSA charge is to cover the costs of any FSA auditing and fees. Once the process is completed and documentation is issued further work is involved with updating the Motor Insurance Database to ensure your details are updated and listed correctly on the DVLA vehicle database. . Kind Regards,