When are premium renewals usually done?
Premium renewals are usually done on your policy anniversary date, with the first one usually being 12 months after you bought your cover. Heads-up, some insurers will also adjust your premium after you have had a claim, not just at policy anniversary.
What things will impact my premium at renewal?
The premium your insurer charges is a function of their view of your riskiness and the expected cost of repairing or replacing your insured item. Your renewal premium will reflect their current view of these factors. They will consider both external factors like general inflation and exchange rates that will affect cost of repair or replacements as well as factors specific to you. For example:
- How long you have been a client;
- Change in the replacement value of your insured item;
- Your claims history;
- Your age; and
- Any updated view of the riskiness of the area you stay in or the specific item you are insuring.
How much notice does my insurer need to give me for a premium renewal?
By law, your insurer needs to give you 31 days notice before they can adjust your premium.