Are insurance companies allowed to do this?

[standard_bum]

I have car insurance with esure. I have 12 years no claims and drive a car worth about £6k. My insurance this year was £523. I have now moved about ½ mile away and when I informed my insurance company of the new address they told me the premium had increased by £250!!!

I have now checked with 20 different insurance companies, comparing the prices with the 2 different postcodes and while the price varies very slightly with some companies, but not most, it is nowhere near the £250 mark.

I am assuming that prices have increased since taking out the insurance and they are "doing me" with the inflated prices.

I could and probably will cancel my policy and start a new one with a different company but my current insurance is a lot cheaper than anyone else, well it was until they threw the increased premium at me.

Any advice would be helpful.

Thanks
Nick

[Zacs-Master]

Of course insurance companies are allowed to do it. No one is forcing you or anyone else to buy.

[d9f1c7]

standard practice, loyalty is not rewarded!

[MartinBev58]

The area could be higher risk of theft etc
I was surprised when the house insurance premium increased by about £20 when my father passed away.
The insurance company said a single person in a detached house is a higher risk.
I think they are right as I go out more in the evening.

Martin