Insurance monthly payment deposit

[J.M.]

In short a deposit says, to me, something in which you get back at the end of the agreement. Like a £10 deposit when renting a locker, you get the £10 back in full if you return the key.

Is this the same for insurance also?

The reason why I'm asking is the below quotes (trying some quotes out on some bikes):
https://i.imgur.com/EK9eM.png

Top Quote: 11*32.39 = 356.29 = more expensive (plus deposit)
Quote 1: 11*32.54 = 357.94 = more expensive (plus deposit)
Quote 2: 11*32.69 = 359.59 = more expensive (plus deposit)
Quote 3: 9*56.01 = 504.09 = marginally more expensive (plus deposit)
Quote4: 9*51.32 = 461.88 = cheaper than the full quote
Quote 5: 9*63.65 = 572.85 = more expensive (plus deposit)

So quote 4 is actually the company that I want to be with. Paying monthly seems to equate to £461.88 instead of the full price of £502?

So if you get the deposit back after the term of insurance ends, it's actually cheaper to pay monthly on that occasion? Am I missing something?
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2004 R1 & 2018 XSR900

[nowhere.elysium]

No. The deposit is not refunded.

It's insurance, Jordan; they're not out to give money back, unless some form of corporeal harm has been visited upon you first.
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'10 SV650SF, '83 GS650GT (it lives!), Questionable DIY dash project, 3D Printer project, Lasercutter project

[daverave999]

Read it as 'initial payment' rather than deposit.

[J.M.]

That's why it confused me, it seemed strange to have something work out cheaper. It's strange to call it a deposit then, it should be renamed a down-payment or something of the like.

Thanks for clearing that one up
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2004 R1 & 2018 XSR900

[Rogerborg]

How would clarity help them?
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Biking is 1/20th as dangerous as horse riding.
GONE: HN125-8, LF-250B, GPz 305, GPZ 500S, Burgman 400 // RIDING: F650GS (800 twin), Royal Enfield Bullet Electra 500 AVL, Ninja 250R because racebike

[J.M.]

Fair point
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2004 R1 & 2018 XSR900

[P.]

Remember, ringing your current insurer to swap over bikes and continuing the policy onwards come renewal removes the need for a "deposit" on the 2nd policy.

Thank fuck, otherwise my car wouldn't be on the road.

[Joncrete Cungle]

For next years insurance, if we assume say it will cost you £320. Open an online savings account and put £27 a month or £6.20 a week in it. Next year pay insurance up front in one and starve the financial parasites of their high APR gouging of mugs.

[P.]

[J.M.]

That's interesting Paddy, I'll have to give them a ring come renewal. It's quote 4 that I'm with now.

Joncrete Cungle... typing your name right now is the first time I've realised it isn't Concrete Jungle But yes, I've always paid in full before as it's cheaper. I just thought it was strange how paying monthly was actually cheaper for that particular quote.

Turns out it wasn't because of the "deposit", never mind!

I usually just keep one bank account and work out finances using a spreadsheet so I can do all my savings/bills/expenditures in one account Any savings (like for insurance) I just pretend aren't in there
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2004 R1 & 2018 XSR900

[BigDan1190]

You get a deposit back if you don't buy something... for example if I put down a deposit on a bike, and then decided against it, i could get my deposit back (if it wasn't non-refundable).

But, if I bought the bike it would come off the total cost.


So, I don't see the confusion?

If you cancel within 14 days you'd get the deposit back.

[J.M.]

[BigDan1190]

[J.M.]

[Werny]

[shereen]

[J.M.]

[Polarbear]

My idea of a deposit is something you put down to hold an item for yourself until you are in a position to pay it off completely, i.e. I'll put a £50 deposit on that car to hold it until I can get to the bank and get the balance.

Same with credit agreements (which is what your monthly insurance payment is), you are paying a downpayment to buy the credit agreement then paying it off monthly over the year.

My interpretation of it anyway
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Triumph Trophy Launch Edition