Central Bank plans to ban ‘loyalty penalties’ for car and home insurance

Customers who stay with a private home insurance provider long-term pay almost a third more for their premiums, analysis by the regulator has found

21st July, 2021
Central Bank plans to ban ‘loyalty penalties’ for car and home insurance
The analysis by the Central Bank found that long-term customers pay on average 14 per cent more more on private car insurance. Picture: Getty

Customers who stay with one insurer for longer pay “significantly” higher premiums, a review of Ireland’s private motor and home insurance market has shown.

The Central Bank found that certain differential pricing practices, such as price walking – where a customer is charged more, year after year, by staying with the same company – “could result in unfair outcomes for some consumers in the private car and home insurance markets”....

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