News Article
Home Insurance Comparisons Practice Varies
As home insurance comparisons sites have increased in presence across the internet, a good practice guide was developed by the Association of British Insurers in conjunction with some of the key figures in online distribution. It was hoped that this would set out the appropriate guidance for these comparison sites leading to less customer confusion.
However, it has now emerged that this good practice document is not being adopted as readily as the ABI had hoped. Signing up to the guide is a voluntary agreement and therefore the sites are now bound by its guidelines. Some of the advice provided in the document includes providing customers with a breakdown between their voluntary excesses and the compulsory excesses on any given policy. Some sites provide this information but only if the customer actually requests it by clicking on links for further information. The guidance also suggests that it would be best practice for all home insurance comparisons sites to show what the chargeable APR would be if the customer chooses to pay by monthly direct debit as opposed to paying annually.
Speaking about the apparent move away from this 'Good Practice Guide', Dan Moore of Which? commented: "The guidance was put in place to set standards and raise consumer confidence. Divergence at this stage doesn't bode well." Mr Moore concluded that the inclusion of the APR data was "essential and should be included."
It seems that as long as the adoption of best practice recommendations remains voluntary, practice will continue to vary across the many comparison sites.
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