When opening an insurance renewal pack – whether for the house, car or, in a work context, the surgery – we tend to steel ourselves for an increase in premium. Years of experience have shown that an unremitting rise in insurance premiums is one of life’s certainties.

To encourage people not to take increases in premium lying down, Which? ran a campaign which has meant that, from 1st April 2017, insurers must show last year’s premium alongside this year’s  renewal premium.

The thing that concerns me is that there is almost an implication that an increase – as long as it is ‘reasonable’ – is ok.   So if you see your insurance premium rate has gone up by ‘inflation’, ‘inflation and a bit’, 10%, £500, should you just pay up and forget about it for another year?

Maybe in car insurance, with increases in personal injury compensation claims, premium rate rises are inevitable.

But this isn’t the case with all forms of insurance and that includes locum insurance.

Some – but not all – locum insurance providers

– link premium rates to the age of the insured doctor.  As the person ages, so the premium rate rises.

– charge an artificially low premium rate at the outset then have to ‘ramp up’ their rates at renewal to compensate

– increase the premium rate if a doctor has been ill – even if you haven’t claimed

– load the premium if you’ve made a claim

– charge you a higher rate if they think you might make a claim.

Whether you’re buying locum insurance for the first time, or if you’re about to renew your existing insurance, it’s worth asking your provider a few questions about their stance on premium rates.

You might be able to buck the ‘truism’ trend.

Lynda Cox is founder and MD of Practice Cover.

Practice Cover’s premium rates have never increased – even for clients who have made a claim.  

The opinions presented in this blog are solely those of the author on behalf of Practice Cover Limited and they do not constitute individual advice. Practice Cover is a trading name of Practice Cover Limited and is authorised and regulated by the Financial Conduct Authority