Insurance Premiums Take a Devastating Hit for Bereaved Couples: 'Uninsensitive' Decision Leaves Families Struggling to Afford Coverage
After the sudden passing of her husband, Kay Lawley was stunned to receive renewal quotes from their insurance provider, Ageas, that had skyrocketed by up to 15%. The couple's home and car insurance policies had been jointly held, but when Lawley informed the company of her late husband's death, the quotes were subsequently increased. Her car insurance policy rose by £47, while her home and contents policy jumped by almost 12%.
Lawley was shocked that Ageas couldn't provide a valid reason for the price hike, simply stating "that's what comes up on the screen". The lead policyholder would be required to pay the higher premium even though nothing else had changed. "I was already in no fit state to argue the toss, and also when a household's income is likely to be reduced," Lawley said.
Experts say that many insurers view single policyholders as higher risk due to algorithms that match individuals to customers with similar profiles. This policy, which affects both newly bereaved couples and divorced/separated partners, has been widely criticized for its insensitivity.
Alison Roper was left reeling when she discovered her home and buildings insurance would cost more after her husband died. Despite having two large dogs, Swinton Insurance still hiked her premiums by about £440. "They explain that your property is likely to be left less well-attended when there's only one of you," the company said in a statement.
The situation was echoed by another widow who contacted The Guardian after receiving a £641 increase on her renewal quote from Swinton Insurance. Her husband had passed away after 30 years of marriage, yet his death resulted in a massive price hike.
Ageas acknowledges its process failed Lawley's case and has now refunded the additional premiums it charged. However, she will lose the joint policyholder discount when her policies are next renewed. "To reflect the true risk of being a sole policyholder in both motor and home insurance", Ageas explained.
Campaign group Fairer Finance argues that insurers' opaque pricing practices are undermining public trust, particularly due to the increasing reliance on artificial intelligence to calculate premiums. The organization is calling for greater transparency from regulators and government.
"These cases highlight the lack of humanity that sits within many insurers' pricing algorithms," said James Daley, managing director of Fairer Finance. "Even if there is a statistical basis for these decisions, they lack sensitivity – and it's all the worse that insurers are unable to explain the reasoning to customers because their pricing models are viewed as trade secrets."
After the sudden passing of her husband, Kay Lawley was stunned to receive renewal quotes from their insurance provider, Ageas, that had skyrocketed by up to 15%. The couple's home and car insurance policies had been jointly held, but when Lawley informed the company of her late husband's death, the quotes were subsequently increased. Her car insurance policy rose by £47, while her home and contents policy jumped by almost 12%.
Lawley was shocked that Ageas couldn't provide a valid reason for the price hike, simply stating "that's what comes up on the screen". The lead policyholder would be required to pay the higher premium even though nothing else had changed. "I was already in no fit state to argue the toss, and also when a household's income is likely to be reduced," Lawley said.
Experts say that many insurers view single policyholders as higher risk due to algorithms that match individuals to customers with similar profiles. This policy, which affects both newly bereaved couples and divorced/separated partners, has been widely criticized for its insensitivity.
Alison Roper was left reeling when she discovered her home and buildings insurance would cost more after her husband died. Despite having two large dogs, Swinton Insurance still hiked her premiums by about £440. "They explain that your property is likely to be left less well-attended when there's only one of you," the company said in a statement.
The situation was echoed by another widow who contacted The Guardian after receiving a £641 increase on her renewal quote from Swinton Insurance. Her husband had passed away after 30 years of marriage, yet his death resulted in a massive price hike.
Ageas acknowledges its process failed Lawley's case and has now refunded the additional premiums it charged. However, she will lose the joint policyholder discount when her policies are next renewed. "To reflect the true risk of being a sole policyholder in both motor and home insurance", Ageas explained.
Campaign group Fairer Finance argues that insurers' opaque pricing practices are undermining public trust, particularly due to the increasing reliance on artificial intelligence to calculate premiums. The organization is calling for greater transparency from regulators and government.
"These cases highlight the lack of humanity that sits within many insurers' pricing algorithms," said James Daley, managing director of Fairer Finance. "Even if there is a statistical basis for these decisions, they lack sensitivity – and it's all the worse that insurers are unable to explain the reasoning to customers because their pricing models are viewed as trade secrets."
15% price hike after losing your partner? Are you kidding me?! 
I mean what's next? They're gonna increase the premium for bereaved people who can barely afford life itself. It's just not right. 
Insurers need to get their act together, come up with some kind of human decency policy. These AI algorithms are supposed to help, but really they're just making things worse. 
Can't we have a system that takes into account the emotional toll of losing a partner? 
It's not just about numbers and stats anymore; it's about people who've lost loved ones and are struggling to cope. 
. I mean, can't you just take a look at the person who passed away and decide if they're higher risk or not? It's not like they're going to be living alone forever 
. And what's with all these insurers using algorithms that do nothing but match people up based on profiles? It's so...robotic 
It's just not right. The government needs to step in and make some changes to these pricing practices ASAP 
. We need more transparency and less of this "trade secret" nonsense. It's time for the insurers to take a look at their hearts and realize that people are human beings, not just numbers in an algorithm 
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. I mean, can you imagine getting a renewal quote after losing your partner and being told that you're now considered a higher risk? It's like they expect you to have all this emotional baggage on top of dealing with insurance quotes. And the worst part is that some of these companies are still choosing to use these algorithms to make decisions about people's lives, without any human touch whatsoever 
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. We need to know why these price hikes are happening and what kind of algorithmic magic is being used to calculate them 
. And if insurers can't even be bothered to explain themselves, then maybe it's time for some real change 
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and stop expecting everything to stay the same just because someone dies 
. And another thing, what's with all this fuss about algorithms and transparency? Can't these insurers just be honest with us about why our premiums are going up? It's not like they're charging us based on how many cats we have or anything 
. I think insurance companies should be able to set their own rules, it's not like the government is regulating them unfairly 
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. It's just not right that insurance companies can't seem to get their act together and provide a reason for these price hikes 
. And it's not like anything has changed - just that one person passed away 
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. I mean, we're living in 2025, can't they get with the times and be more transparent about their pricing models? 
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15% increase on top of already being in shock is just too much 
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. The excuse from Ageas that there's no valid reason for the price hike just doesn't cut it 
. The whole concept of pricing algorithms that consider risk factors, but lack empathy for human beings, needs to change 
. and i feel for kay lawley & alison roper, they're just trying to navigate a super difficult time & insurance companies r making it even harder 
. And the fact that they can't even explain why the prices went up makes it all the more frustrating 
. Something needs to change here 
Ugh, can't believe these insurance companies are being so insensitive to bereaved couples. I mean, 15% increase in premiums? That's just cruel! 
What even is the logic behind this? I need some concrete data or a clear explanation from these companies before I can accept that their prices are fair. Where's the transparency? And what's with the 'trade secrets' excuse? That just sounds like corporate jargon to me. We should be pushing for change, not accepting this kind of insensitive pricing practice. More pressure on regulators and government is needed, imo 
? That's not an excuse, that's just a cop-out. The fact is, these insurers are using fancy computer stuff to decide who lives and dies (of high premiums) anyway 
The fact that Ageas can't even explain their decision-making process is just another layer of frustration for customers who already feel helpless and vulnerable after losing someone.