'THE PERFECT POLICY' DELIVERING THE COVER YOU SAID YOU WANT  <back

Lack of choice, costly premiums and limited features were three regular phrases Keith Frampton heard when he began exploring the motoring insurance needs of BFG personnel and their families.

“Their frustration was building up” says Keith. “Their problems were two-fold. Most UK companies weren’t producing the right products and those that did were dwindling away. As Service personnel will be aware, most UK insurance companies don’t have the appropriate arrangements in place to provide cover for customers resident outside the UK. They simply cannot provide cover for you when you are posted to Germany. A number of special arrangements have to be set up to comply with the BFG Vehicle Licensing Office requirements, which means that you have to choose from just a few companies listed by the BFG VLO.

“A few years ago the ‘authorised list’ included three major UK companies and three German Insurers. But in recent years a number of these companies have disappeared leaving customers to choose between Norwich Union and AXA (previously known as Albingia).”

Things changed abruptly in June 2003. Keith Frampton concluded his research of the BFG market and decided the time was right to launch his ground breaking BFG motor policy. Keith has worked in the insurance industry for over thirty years and specialises in designing forces insurance policies.

He explains, “Our Motor Insurance scheme is a joint collaboration between my company (T.F. Insurance Services) and Groupama Insurance Company. It not only increases the options available to personnel but also provides them with a completely fresh approach to providing cover.”

Gone are the usual proposal forms for completion, gone are the costly cover notes needed to take your car back home and also gone is the ‘beloved’ Green Card - the internationally recognised proof of motor insurance for decades.

No proposal - “Instead of the usual form filling, cover is provided automatically over the telephone in just a few minutes. The customer’s information is immediately transmitted electronically to the insurer. All policy documents can be printed and ready for dispatch within minutes of the caller making contact using the BFG freephone service (0800 181 6679). This hotline is available to all personnel and associated civilians. A transcript of the telephone call is sent to the customer for their records but no signature is required to maintain cover.

No cheques - “Paying the premium is just as simple. It is also quick and secure. Authorised electronic bank transfers account for over 50% of all payments. This easy process is making payments by cheque a thing of the past, however we’re always happy to accept cheques. If you prefer to pay monthly that is no problem. A low cost monthly instalment plan can be arranged over the telephone allowing payments to be spread over ten months, again without the need for any forms to be completed.”

No Green Cards - So without a Green Card how is the unique cover you need provided and how do you BFG register the car? Keith Frampton explains, “After many years of use the Green Card is becoming redundant and has been replaced by a so called ‘Pan European Certificate of Motor Insurance’. This is similar to the Certificate of Motor Insurance you are used to back in the UK, but with a couple of differences. It provides the full cover of your policy for the countries mentioned and with our special amendments the Certificate can be used to register the car either with the BFG VLO or with the DVLA back in the UK – providing the ultimate in flexibility for the user.

No hassle - “But it’s not just the documentation that’s unique the cover is pretty spectacular too. We spent a considerable amount of time researching the needs of Service families in Germany and have tried to incorporate all the features requested. So in addition to the flexibility of the pan-European documentation we also made sure that the cover is the best available.”

Many personnel told Keith about the problem with some insurers that theft cover is excluded from neighbouring countries such as Holland and Italy if the vehicle owned is classed as a high risk vehicle for theft – such as open top cars. There are no such restrictions under the BFG Motor Insurance scheme.

Customers also said that they weren’t happy claiming off an unknown foreign insurance company if the accident was somebody else’s fault – as is required by some companies. Under the BFG Motor Insurance scheme all claims are dealt with by an incident manager based in the UK and it his/her responsibility to liaise with the vehicle repairers, engineers and any other company or authorities involved. Local experts familiar with BFG procedures will swiftly undertake repairs and at little cost to you too.

Keith Frampton explains, “Unlike some companies who expect you to contribute a sizeable amount towards the cost of repairs the Excess under the BFG Motor Insurance scheme is very low. The amount can be varied to suit individual requirements but is often as low as just £100. And you don’t need to lose this payment either. If the accident was the other driver’s fault the repair costs can be recovered if you chose the Optional Legal Expenses cover.”

Saving money - On the other side of the coin, customers told Keith they also resented paying too much for their insurance! Of course they did. We all do. But considering that some BFG insurance companies had increased their rates by over 100% in just three years this was hard to justify. The new BFG Motor Insurance scheme set about reducing this rate significantly without sacrificing any cover.

One year on from its launch TFIS claims that its motor insurance scheme has saved BFG motorists over 20%. - a whopping £130 on average. For some customers paying £1,500 a year the saving can be more than three hundred pounds!

Keith adds. “Sometimes the saving can be less dramatic but still very gratifying. Like the choice of whether to include Roadside Assistance cover. Many of the respondents to the research resented having to take breakdown cover when it was already provided on the vehicle by the manufacturer when the car was purchased. Under the BFG Motor Insurance scheme you can choose whether to take Roadside Assistance Cover or save even more money by leaving it out.”

Extra discounts

Apart from a basic reduction in the premium payable many Service personnel and families can gain extra discounts if their circumstances warrant.

Park your car ‘behind the wire’ – extra discount given. Professional driver by trade – extra discount given. Female policyholder – extra discount given. Own two cars – extra discount given.

Just about to buy a second car? TFIS will mirror the No Claims Discount you’ve got on your first car and if necessary transfer this to/from your spouse, so that you will both have a No Claims Discount in your own right. This saving alone can often halve the premium normally required for a second car!

Don’t have any No Claims Discount at all? Don’t worry you may be entitled to a Driving Experience discount. This can reward you with a similar saving to a No Claims Discount providing you are able to demonstrate that you are a good risk even if you haven’t been in any one country long enough to build up a No Claims Discount in the usual way.

But unlike other companies offering a Driving Experience discount TFIS will still validate any properly earned No Claims Discount so that this will still be available to you if and when you choose to move to another company.

But if you do have a No Claims Discount you will be relieved to read that they will offer you a Protected discount once you’ve reached four years discount. Have more than four years? Even more good news they will keep ploughing on further discounts for up to 9 years entitlement.

Background Briefing on The Team That Listens

So, who is on the team which has been listening closely to the needs of BFG motorists and put together this new Motor Insurance scheme? The policy is the brainchild of TF (the forces) Insurance Services (TFIS) who were set up three years ago to provide special insurance schemes required by HM Forces.

TFIS works very closely with the Services Insurance & Investment Advisory Panel (SIIAP) and other specialist brokers working within the HM Forces environment. The senior management of TF Insurance Services have over 25 years experience designing special insurance schemes for the Forces. You can check out more details about them by visiting their website: www.tfis.co.uk.

Their choice of Insurer for the BFG Motor Insurance scheme was inspired. They chose Groupama Insurance Company one of the UK’s leading general insurance groups. With annual revenues of over €12 billion and assets under management of €48.5 billion, the group conducts business in over 20 countries around the world.

They have spent substantial time and effort developing schemes. With various awards and nominations relating to the quality and content of their products and service, the Group can often claim to be at the ‘cutting edge’. In 2002 Groupama was voted the ‘Underwriter of the Year’ at the prestigious British Insurance Awards.

Right for you?
We asked Keith Frampton managing director of TFIS whether the new BFG Motor Insurance scheme would be right for everyone? He told us, “Clearly, you cannot be the best for everyone all of the time. Insurance is all about the perceived risk and there will be some BFG motorists where the scheme just doesn’t work. Possibly because of motoring convictions or the type of vehicle coupled with the age of the proposer. However, we believe we are the best option for 85% of personnel serving in Germany.”

The top five cars insured by TF Insurance Services seem to demonstrate this with a wide range of tastes apparently catered for.

So is the new BFG Motor Insurance scheme right for you? One quick phone call on the BFG freephone number (0800 181 6679) will enable you to check them out. It will only take a few minutes, there’s no obligation and you could save hundreds of pounds, improve your level of cover or both!