An Irish family's travel insurance policy jumped over 300% in less than five years despite no claims being made on the plan.
Here's what to know
Per The Irish Times, Pricewatch said its AA Travel family cover went up by 23% at renewal in 2023, 52% in 2024, and then rose again in 2025. By the time the 2026 renewal notice arrived, the quoted premium was 309% higher than it had been four years earlier.
Pricewatch said the 2026 renewal email advertised features such as up to €6,000 for cancellation or curtailment and up to €10 million in medical-expense cover. The updated premium was not included in the email body and instead appeared in an attachment, where the annual charge was listed as €581.20.
Before the 2026 renewal took effect, Pricewatch called to cancel the policy. It also used the same details on the AA website with a different email address to check the new-customer price, and the quote returned was €148.29 — more than €400 below the renewal amount.
Pricewatch also cited a reader identified as Tom, whose annual single-person policy went from €117 to €170. Tom said, "I never intended to renew. The only notification went to a spam filter, so I only realized more than two weeks later when the money left my account."
More background
Another reader, Karl, said he had kept an AA annual multi-trip policy for his stepson for about a decade. He said the cover started at around €40 and later reached €516, an increase of more than 1,100% over 10 years.
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Karl said he then checked the price of equivalent cover for a new customer and was quoted €80.76. He said that gap raised obvious fairness issues for long-term customers, especially because no changes to the original cover had been requested.
According to Karl, his stepson "did not read the renewal emails sent out by the AA every year" because the subject line said "renewal invite." Karl said he only spotted the charges after retiring and reviewing his accounts more closely.
What's being done?
AA Ireland told Pricewatch it had identified "an internal pricing control issue affecting the renewal of travel insurance for some customers" and said 213 customers were inadvertently overcharged during renewals.
The company said it has completed its review, identified the affected customers, and begun automatic refunds for those who renewed at the incorrect price. AA said it will contact those customers directly, and they won't have to do anything to get their money back.
Pricewatch said it canceled its own policy before the 2026 renewal took effect. It also reported that a call center operative suggested considering single-trip cover in the short term instead of accepting the much more expensive annual renewal.
AA Ireland said it has already taken steps to avoid a repeat. "The increases arising from this control issue were not consistent with AA Ireland's intended pricing approach and the company has put in place additional controls to ensure that this error will not be repeated."
Where can I learn more?
Read more on similar complaints over steep insurance costs and renewal practices that have surfaced elsewhere, affecting policyholders across North America.
• Calgary residents blasted a jaw-dropping decision on policy renewals after insurers tightened coverage in the northeast.
• In California, State Farm faced scrutiny over a proposed 22% rate hike as premiums surged.
• North Carolina homeowners were warned of a massive spike in rates this year.
• Farmers said it won't renew nearly 1,300 policies, leaving homeowners furious and exposed.
• Across the industry, skyrocketing costs for insurance companies threatened to drive premiums even higher.
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