Ms Dorothea Dowling:

To support that point, research shows that there are passive renewals. Many people who do not have a broker who would give them a wake up call every year will think they have had insurance cover with a company for many years and having spent half a day telephoning other companies and not getting any great offer of a discount they will just renew with their company. Once a company sees a policyholder renewing, it will give that policyholder a higher premium than a new applicant. The same happens with broadband fees.