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Lots of complaints about insurance stem from the fact people simply do not understand how insurance works. It's based on your actuarial risk.

Yes, to the man on the Clapham omnibus, involvement in a non-fault accident cannot possibly have any logical impact on your future likelihood of being involved in a subsequent accident. Nonetheless, the statistics show that you are now an increased actuarial risk - you are, statistically speaking, now more likely to be involved in a further collision than someone who hasn't been involved in a collision.

As such you now represent a greater insurable risk and your premium will be loaded to reflect that greater risk. Sorry, that's life.

And of course your premium goes up every year - companies like this (not just insurers) rely on people being lazy and just letting their contract continue. It works the same for mobile phone suppliers, utility companies, satellite/cable/broadband companies, breakdown companies etc etc etc. It's 'drone economics' - they rely on people to be stupid and or lazy. The market is too cutthroat to turn a profit otherwise.

Take the AA's introductory deal at £25 for the year. Next year it's £60 to renew. Complain all you like but that's the deal on offer - switch to the RAC instead and get their introductory deal for £25 and when they bump your renewal to £60 move back to the AA. Ditto utilities. Ditto mobile phones - who hasn't sat on an expired contract for a few months? Instead of reducing your line rental down to just a few pounds per month you continue paying the initial (high) rental (which in effect is continuing to pay off the handset (basically HP) that's already fully paid for). Why? Because people are lazy or forget. Or, shame on you, you didn't realise.

Are these companies evil for doing this? No, it's free market economics in action.

Those that shop around get a better deal because of all the lazy/ill-informed people. That £25 introductory deal with the AA is probably a loss-leader for them - they make up the money on all the people who let the next year roll over and end up paying £60 for what is probably a £30 cost product.

The average insurance product barely turns a profit, if at all. The profit on policies come in the next year when the lazy people fail to shop around. You can shop around and the let lazy people of the world pay part of your living expenses for you or you can gripe about the iniquities of the world on an obscure internet forum. Woe is me.

Let the down-votes commence - it's far less effort, after all, to do so than it is to make free market economics work for you and shop around for the services you engage. Lazy people of the world unite! (well, if you can be bothered).