Insurance in the UK

And I thought insurance in the US was a ripoff. Holy crap, try the UK on for size. When I got my BMW, I was quoted £50 online for full coverage. I got this, and then about 3 months later they informed me that they were increasing my rate to £135 or so because they didn't have proof of my no claims discount (this is what they refer to as proof of no accidents, tickets, etc). I called my insurance company and got some forms for them, and they said they weren't everything. So, I payed $8 to the state of Indiana for a driving record, which included a certified letter from the state. They still didn't accept it, so I dropped my cover to liability only, which really only dropped it to about £120.

I started looking for other insurance companies, and found a place that would charge me £60 for liability only, without any no claims. I called them up and made sure everything was correct, and it was. So, I called up my insurance company and told them that I got a better price, and I was going to drop them. They informed me that the insurance was a contract, and if I were to leave early, they would charge me the difference between the rate I paid and the month to month rate over the length of their coverage, which comes out to be about £500. So, the longer you have the contract, the more expensive it is to leave them, until the point the contract is up. Oh, and I checked, I cant transfer it over to a different car, so I am stuck no matter what.

At this point, its actually cheaper for me to pay them for the remaining 3 months up front, let them insure nothing,and get the cheaper insurance.

Now, by comparison, anytime you call your insurance company in the US and tell them your leaving for a better price, they will negotiate with you and get you a better rate. AND, when I canceled my insurance on my cars in the US, the insurance company actually gave me money back.

Man, I miss the US. Oh, and on that page, if the economy doesn't start looking up, I start looking back to the Hoosier state, because they aren't pumping out many new boat engines in South Carolina right now.