In reply to David Warnell's letter

(2 May, Insurance Times) I cannot comment on the situation between Cheaper Car Insurance Services and HML as I have not had any dealings with either party. However, I feel his other comments on the set-up to be unfair and misinformed.

The emergence of tyre/exhaust centres, high street supermarkets and the like into the insurance business is no secret and they have absolutely no track record in the industry. Yet you will find all the major insurers are falling over themselves, not only to provide them with agencies but at the same time, slash rates indiscriminately. One cannot blame Couper for attempting to enter the industry under these circumstances.

Furthermore, Warnell then comments that insurers would be wary of providing agencies to a company that has the word cheaper in its name. It would seem to me that it is Warnell who is outdated in his understanding of the present state of our industry. Every tyre/exhaust centre, supermarket chain and direct insurer has in its advertising campaign the words "cheap" or "cheaper" as the main criterion. Quality of cover/service is either never mentioned or very low down in priority for advertising purposes.

In fact, the general public has no interest whatsoever in the name of the insurer when calling around for quotes. On almost every occasion when I inquire as to any alternative quotes they may have received and from which insurer, they can only name the supplier and rarely the eventual insurer.

Generally, it these "cheap, cheap, cheap" advertising campaigns by all these types of supplier, insurers with direct arms included, that have brainwashed the public into an attitude of the price being the most important criterion when purchasing insurance.

Atul Patel
Super Cover

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