Specialist puts freeze on new policy pricing

Abc holiday extras

Specialist puts freeze on new policy pricing

Latest cover range is boosted

ABC Holiday Extras has frozen premiums on its single and annual trip travel insurance for the third year running,while increasing levels of cover.

Baggage cover is up on both policies from £1,000 to £1,500 and medical benefits rise from £2 million to £5 million. Cancellation cover rises on the single-trip policy from £3,000 to £5,000, while on the annual policy it is increased by £1,000 to a maximum £3,000.

Net premiums for 17 days remain at £10.95 for Europe and £23.71 for the USand Canada.

The annual multi-trip premium, which includes up to 17 days’ skiing, is £37.66 net for an individual, or £75.96 for family cover, which includes two parents and any number of children under 18 years, or 25 years if in full-time education.

The company also has an Economy policy with lower levels of cover with cancellation at £500. The premium for 17 days’ Europe cover is £8.74 net.

Managing director Stephen Lawrence said the company is also rolling out an automated renewal process for annual policies developed to help independent agents compete with the multiples’ free cover offers.

Under the scheme, the company sends out renewal notices on behalf of an agent but pays the agent commission if the client takes out the policy for another year. “We have been trialling the system with a few agents who only sell three or four annual policies a month and for whom it is not worthwhile having a rigorous renewal process in place,” said Lawrence.

“We send out a letter inviting the client to renew the policy one month before the expiry date and follow up with three reminders and a phone call.

“The result has been a 15% increase in renewals, which is valuable to agents,” said Lawrence.

“If it continues to bring in 15% more renewals, we will also make money.”

ABC Holiday Extras: is offering 17-day multi-trip premiums that include skiing