What do you think of Ford Insure's Pricing?

[CJF077]

Hi All,

I am interested in putting forward a letter to Ford Insurance regarding the pricing of policies and the cost of the policy in regards to new vehicles, specifically the FPV Typhoon which I know most members on the site are interested in possibly migrating to.

I on the weekend telephoned around fifteen insurance companies to get quotes for the Typhoon I plan to get, but after getting quotes from many of these companies Ford Insurance was in fact nearly double the cost of the cheapest company.

An example of this is the following:

27yr old, Sydney Western Suburbs, FPV Typhoon Manual, Sunroof, FPV Steering wheel, wanting insurance for $71,000. 60% NCB, Driving History includes two speeding fines, and red light cameras. No loss of license. Currently has policy with Ford Insure for value of XR6 Turbo ie $51,000.

Shannons Insurance $3050 pa

GIO Insurance $2791.91 pa

AAMI - Not insure under 30

Just Cars Insurance - $3750

NRMA Insurance $3300

Ford Insure - $5750

Upon speaking to the dealership and Ford Insure have been told that there is nothing they can do about it as it is set by Ford Credit. Swann Insurance is the underwriter. So Ford Insure (Swann Insurance) hands are tied in regards to this.

I strongly feel that this push to Ford Credit and Ford Insure to namely increase margin like this to make a buck out of the people purchasing this vehicle through Ford Credit is wrong. Aparrently you cannot package alternative insurance through Ford Credit and cannot cancel the contract of Ford Insure till after the first year.

Would be interested to know your stories and collate this to forward onto Ford.

I feel that the end user wants the total package from a brand that they love. This must include comparable pricing of its consumer products and services, ie financing, insurance.

Correct me if im wrong, but when purchasing a new vehicle you also take into account the cost of insurance, and related expenses. If the premium was way too high i would not be purchasing the vehicle, would like your feedback on this too.

I would think obviously that the migration path for a XR6 Turbo owner would be with the Typhoon or a FPV vehicle, so would think the negativity of an increased insurance premium and overall cost to the end consumer compared to other insurance companies has a negative impact on this, expecially with the fact you are "forced" into getting Ford Insurance if you want to add it into the overall cost of the vehicle if taking out Ford Credit.

Looking forward to some interesting replies.

Hopefully we can put something forward to Ford and make a change to benefit all involved.

Kind Regards,

Chris

[Guest jteale]

I have my lease with Ford Credit and I was not required to use Ford Insure (I am with NRMA).

What would be the difference to pay the Insurance Premium separate to your Lease payment as opposed to together?!?!

Surely the savings outweigh the convenience?!?!

Crazy Premiums ... Good Luck.

Cheers, Jason.

[mickbundy]

I was with Ford Credit and I used SGIO they didnt make me use their insurance just check out that they are not trying to rip you off or maybe it is a scam with FPV products

[who carez]

In short - Yeah, they are more expensive than third party companies.

When I bought mine, it was with Ford Credit. I thought since I'm buying Ford car thru Ford credit, I might as well got for insurnace for Ford :D - assuming they will offer me better deal than others.

I thought wrong - the quote they gave me was 3-400 more than what I got from NRMA. Then they said - they give new car within two years if the car is write off. But NRMA is offering that now anyway.

Guess who I'm insuring with now

Seriously, I'd love to see Ford offers competitive prices or better for their customers, like Subaru.

ps - I read in either motor or one of those car mags and in the side bar - they reckoned before Ford released BA, parent company was in the red, while Ford Credit was the only one profitable, so I guess they have to make money somehow.

[bdennis]

Chris,

Mate... Go another credit company. (esp if they make you use Ford Insure .) I would suggest writing a letter but dont lie your chances. I think the West Sydney and undre 30 is hurting you the most..

Good luck

[sixfan]

Can't offer any useful advice,

but to me that seems EXCESSIVE!

cripes, you can buy a servicable car that amount!

[Buf-Phoon]

Chris

You missed an option.......... ing outrageous

[tab]

There would be quite a substantial kickback (read – commission) for Ford to on-sell the credit and insurance to you. Although both are underwritten by third parties you could bet your bottom dollar that Ford will gain substantially out of the deal – and no doubt with the Ford dealer setup as it is, it would by the dealer profiting not FMCO themselves. So they will try and pump as much bullsh*t down your throat as possible to convince you that they are giving the best deal.

Just as a matter of interest Chris, what are you currently paying for the T?

I would hate to think what sort of premium they would be trying to get out a 24 year old for a typhoon.

Trent.

[ZAP]

Chris,

Are you saying that to go with Ford Credit, you MUST use Ford insurance ?

If that is the case I would tell them to either match the best quote you got or either cancel the order or find another finance company.

I am sure that FC cannot stipulate that you must use FI, only that the car must have Comp insurance.

If FI was only a couple of hundred more, it would be acceptable, but they are joking if they think they can force you to be packraped by Ford companies.

You might find that they are trying to bluff you into this policy, call their bluff.

[XR6_ED]

Having worked for a Ford dealer (new cars), I can safely say That I would not use anything financial/insurance/leasing offered by Ford...

I'd rather set alight $100 notes