Cheap is expensive. I would therefore like to pay a little more if this means that I get more for my money. Who not? For example, I have been wearing Van Bommel shoes since my student days. Made with craftsmanship that has been passed from father to son for nine generations. A product that applies: it costs something, but then you also have something.
A car insurance policy: the more expensive, the worse
It works differently in the insurance industry. A cheap car insurance policy still has better conditions on average. Thus, the more expensive the insurance premium, the worse the conditions. For the same coverage, expensive car insurers charge almost three times as much as cheap airlines. For an all risk insurance, that can save up to thousands of euros per year. Although it is not the first time that we have established this after investigation, it continues to surprise me.
How does this work? New insurers offer insurance policies with lower prices and / or better conditions. This is how you attract new customers. Newcomers such as Manysecure, Akari Insurance and Power Insurance have also done this. Price-conscious consumers compare car insurance policies and switch. But because insurance is a low-interest product, the masses do not switch quickly.
As long as the insured do not get angry and switch en masse, there is little reason for insurers to change the situation. Insurers must realize that there is a time when their customers feel cheated. Trust comes on foot and goes on horseback, the saying goes. A customer who feels cheated will never come back.
I still have faith in the Van Bommels at my feet. Until the moment I find out that there are better shoes for sale for less money. Then I lose my faith. That is the time to return to earlier choices.