Using data from its Aequos database, The Research Department reviews some of the products in the home, motor and credit card protection market, including Man Utd's household policy
Car manufacturer motor schemes
Many motor manufacturers have moved into the area of insurance, primarily to assist with selling more new cars, but a number now offer insurance after the typically "free" initial period.
We analyse some of the schemes available, as well as WhatCar? magazine's policy.
The Ford scheme is underwritten by NU, while the Land Rover and Volvo schemes are both R&SA policies, as is the What Car? scheme.
Clearly the three manufacturer schemes analysed are among the best in the market. Covers which set them apart from most of the market include:
Credit card payment protection
Most credit card providers are very keen to get customers to sign up for payment protection, to cover their repayments in the event of accident, sickness or unemployment. But how many customers actually check to see what they are getting for their money, or even if the cover is suitable for them?
We analysed the policies of some of the leading credit card providers. Key features of the better policies in this market include `back to day one' cover for both accident and sickness (AS) claims and unemployment (U) claims, benefits accruing on a daily, rather than monthly basis, and short excess periods before claims become payable.
Key benefits of the Bank of Scotland policy include:
The Co-op policy is let down by the fact that it pays only half the monthly benefit that the Bank of Scotland (BoS) card would pay (5% of outstanding balance). Given that the price of cover for these two cards hardly differs (73p per £100 of balance for BoS, versus 72p for the Co-op) it initally appears that the Co-op card is twice as expensive for similar benefits.
Both the Morgan Stanley and MBNA covers pay only 3% of the outstanding balance as a monthly benefit in the event of disability or unemployment.
Man United in household
Almost every major brand in the UK seems to be branching out into financial services as a means of increasing revenue. Most football clubs already have their own branded credit cards, but few have moved into insurance.
Now Manchester United have just launched a new home insurance product, underwritten by Zurich. One of the key selling points is that Zurich will allow a £10 discount on renewal if Man Utd score more than 45 home goals this season.
We compared the contents cover against leading direct providers. Key benefits are: