Queensland newsagents have been shocked by the insurance premiums being charged for the next year. Many have premiums which expire next month, organised through a QNF endorsed insurance broker.
If what I am told is right, a change of ownership of the broker has played a role in newsagents being hit with a 100% rate rise. I expect that newsagents will flee the broker if this exorbitant rate rise sticks.
I don’t see any justification for a doubling of insurance fees, including the floods at the start of this year. Insurance companies build reserves for such events so that they do not double rates the year after such an event.
I’d be interested in hearing what newsagents are being charge for insurance – I am sure others would too.
I am in the YAZI pathway and we had 5 floods last year and i am paying less than i did the year before . Shop around on the internet it is to easy
should have mentioned not only am i paying less but i have no cyclone excess. Which with the old provider did double, it went from 10 grand to 20 grand .
Yes we have had a 100% increase to $4100. We suffered no damage or flooding due to Yasi and we are trying to neg. a lower fee but don’t think we will be successful and as we have only 5 working days to find a new insurer we will most probably have to stay with them this year. I would also note that on previous insurance notes the brokerage fee was always shown- the new one has an all inclusive fee. I wonder why!!!
Hi Shaun
Need you to return that Bill Express favour I did for you guys up north a while ago… Could you let me know what you are paying this year (and when) for insurance and at a high level what you are covered for (i.e. the groupings)?
I am working with some brokers down here I know to see what the best deal is that they can arrange, and would then be more than happy to let everyone know.
Ian – you can cancel mid-stream if you find a better deal. I will let you know back through the blog, but should have some numbers back to me today.
Also, its not the Brokerage Fee that is the big earner (which is meant to be disclosed), it’s the 20%+ rebate the brokers get form the insurance providers which is not disclosed where they earn their real income. Its then up to the brokers who much of this rebate they way want to pass onto the policy holders… Also, its not uncommon in these schemes for kickbacks to be passed to those who are the main referral (such as the QNF).
Cheers
Peter
We were also hit with a 100% increase to $4000. In Brisbane – outside flood area. Only received the notice 4 days ago and a QNF endorsed broker.
Ring Scott Brockman on 0731354522
Peter , this year i went through q-sure insurance brokers , i am paying $2368.66 this year compared to last year it was $3895. Hop on the q-sure web site (http://www.qsure.com.au/newsagent) and select a level that applies to certain newsagencys and request quotes . Everything was identical to last years cover except i did not have that huge excess for cyclones which as i mentioned before doubled from one year to the next . i got level one the smallest out of the 4 that they cover , thios suited me best
Thanks Peter, I will look later.
Shaun, that insurance (Q-sure)looks similar to what we need. Thanks
Hi Shaun,
This is materially cheaper overall. Have you used them for a claim,and how have you found the expeirence… after all its only when you make a claim do you get the insurance experience…
Cheers
Peter
We have had a 100% increase as well. Looking at q-sure website. Have also heard that they are extending the date that we have to renew as some have had less then 5 working days to renew. Has anyone else heard that?
Peter no i have not , this is my first year with them . Hopefully i will not have to .
Shaun – Thank-you. Look like they have most competative Business and Machineary breakdown around, and I will use Willis for the Public Liability as they were 40% cheaper.
Net effect for me is a little over $2K, which is not only more than 50% cheaper than what was originally received, but its around $500 cheaper than we paid last year…
I think that makes us square! Owe you a drink next time I am up north.
Cheers
Peter
thats funny Peter , you did save us a couple of grand last time round , funny old world hey .
Our insurance cover has gone from $2,859 to $5337 and the new policy coverage is less than that in the previous year. No claims.
An online quote from q-sure for same level of cover to previous years for us is $2880.
What the!
have spoken to qsure, they have been overrun with newsagents the last few days, they are waiting on lumleys to confirm policy details then should be a goer. from memory glencarn used lumleys before being taken out by willis who have switched to qbe and doubled the policy premium. have never had any issues with claims thru lumleys and im smack in the middle of “YASI” territory
I’m in the same boat as everyone else. My insurance premiums gone up by over 100% and I was untouched by the floods though I did have a B&E claim. I might ring Lumleys myself and get a quote from them. Will post back once I get the quote
Shaun@13 – Thats one of the untold benefits of the blog
Rick@15 If you accept the online quote @ q-sure, I beleive that you are in effect taking a cover note. They would then prepare relevant paperwork and send out when you then pay the invoice.
You have your printed copy that clearly states you accepted the quote on x date at y time.
I went with Scott Brockman as mentioned above. Not quite as cheap as qsure but was easy to do business with and offered monthly payments at no extra cost
Good to see QNF showing leadership on this issue, NOT! Has anyone else read the lame email response sent yesterday afternoon. I cannot believe that this is the best support they can provide to there members when it is clear from the range of responses on this blog there are other options available.
Rang qsure back about our insurance and they stated that they cannot place insurance packages for a lot of newsagents.
Q-Sure can not place insurance for ex QNF Scheme newsagents as Lumley backed both schemes. We can accept non QNF scheme (Willis) newsagents. Quotes on our web page DO NOT BIND COVER they simply quote a price.
OAMPS are the endorsed insurance broker for the ANF and have been inundated with queries over the past week with the vast majority signing up to the OAMPS Newsagents Insurance Program.
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Good to their word, Qsure came in about 20% cheaper than my current insurer and with much better cover. They’ll have my business before the end of the month
All Newsagents with insurance renewals other than Willis can save money with QSure. Check the web site http://www.newsagentinsurance.com.au and save on your OAMPS and Marsh renewal. We give you tickets to the Melbourne Cup but we will give you Better cover and better price.
Peter S… I have received you response where in part it states ‘I thank you for your request for a quote for this year’s Newsagent Insurance. Unfortunately Lumley General have refused to accept any Q-Sure quotes on newsagents who have renewals offered by Willis’
I am currently doing work with a major QLD Insurer, supporting the weather events of earlier this year. We have discussed your reply with the head of commercial insurance, and also the lawyers who are acting for them on various matters.
Both have stated that this unlawful and a restraint of trade and have suggested that the matter be referred to the Ombudsman (FOS). Something that I have done today.
I to received that response from qsure, its seems very strange to me,
cant understand why lumbley would knock back business that would be heading to QBE thru Willis?? unless there is some kind of deal going on between them, that cant be legal, just my opinion as i have no knowledge of such a deal, but all very strange just the same
peter @ 25, keep us posted as i dont want willis, and will walk elsewhere for even the same expensive deal
Thanks to those who have advised the probable answer I might expect from OAMPS. Will have to quickly look elsewhere.
We have gone to GIO insurance.Was good to deal with and didn’t load us with unneeded requirements. Contact Scott Brockman 0731354522
Rick @ 26 will do.I am also getting quotes from others in the industry I know.
Peter S @ 21 – Lumley have not backed both schemes. The Willis offer is through QBE. As mentioned at my post 25 have sent to FOS and am awaiting reply.
Hi all, I am a broker in Brisbane and have already helped 2 newsagents save money. Both were with Lumley, I placed with Vero. More cover and a lower premium. 0458 779 589. Cory Jellicoe.
Went with OAMPS as they were over $1000 cheaper than the Willis offer. At least that gets me locked in and covered.
Hate to think how much business Willis has lost over this. It’s a pity that they put themselves in this position as they were very helpful in regard to a claim I made.
Hi everyone, I have now quoted 9 different newsagents in 2 days and found that everyone single one was over-insured and had sum insured amounts that were way too high.
This was because most had accepted their policy offer many years ago and just kept renewing it, up until this September.
What every newsagent owner has to realise, is that their business is unique and different to the one around the corner. Not all newsagents operate the same way.
Some carry tobacco, some don’t. Some bank their cash every day, some don’t. Some are in a flood risk zone, some are not. Some own fridges/freezes, some are provided by suppliers. So why pay for policy sections that you don’t even need?
The purpose of a broker is to ensure that you have a policy that suits your business and your budget – not the ‘average’ newsagency.
Ask yourself this, when was the last time your broker visited and actually explained the cover? When was the last time they rang just to say hello or check if things are fine? Or do they just post a renewal letter and invoice and expect a payment?
I may not be always be the cheapest option, but I certainly give the best service I can and come up with a policy that suits your business.