Please Advise

I recently received a letter from Santander Insurance saying that they would be performing a search of publicly available records for credit purposes prior to renewing my policy,as statistically people with poor credit ratings,ccj's, bankruptcy or repossessions are more likely to make a claim and so help in calculating the renewal terms of the insurance offered

They also informed me that if I did not wish for them to do the checks I should inform them no later than 40 days prior to the renewal date and they would cancel my policy.

I am concerned that as I have a very poor credit rating and have had ccj's and a repossession order that they will try and extort a very high penalty to be able to renew the policy, I believe that the cost of the search will also be added to the premiums anyway.

I have had a home insurance policy with the mortgage provider from N & P to Abbey and now Santander for almost 22 years without a claim but feel sure this will not be a factor in their calculations.

I realise that I can always go to another insurer but Santander said that the searches were becoming an industry standard and would I hit the same problem elsewhere.

Santander have said that if I agree to the searches then I do not have to do anything but would that mean that if choose not to accept the renewal and find a cheaper alternative that they would want charge an exit fee to cover the cost of the search as I did not inform them within the 40 days prior to renewal.

Thank you for wading through this post.

I can understand the underwriters view point, and the increase in risk.

What I can't understand is them carrying out their own investigation and then charging you for this if you don't take the renewal (which you are fully entitled to do). You have paid them for the 12 month period, if they need more money for enquiries, that's their tough luck. That's not on.

There are other people far better versed in policy and sales issue, I'm sure they will offer a better reply shortly.