Defaqto is an independent researcher of financial products. As an organisation, it tries to give consumers more information about the products they’re comparing, so it’s easier to make an informed decision before making a purchase.
Each product that’s researched by Defaqto is given a rating – they independently rate over 500 insurance products at the moment – and that rating looks at all of the key features and benefits involved.
The ratings range from one to five Stars – our motor insurance policy, for example, has a 5 Star Defaqto Rating. The number of Stars a product has helps you to see where it sits in the market in terms of what it can – and can’t – do for you. A 1 Star policy is unlikely to offer the same features or benefits as a 5 Star policy – and 5 Star rated products and policies must meet extra minimum criteria in certain areas.
Products with 1 Star are quite basic, with a low level of features and benefits. They’re likely to cost much less than 5 Star products – which offer the highest level of cover.
Defaqto is completely independent and unbiased, and it never knowingly excludes a product or policy from its Star Ratings.
Why is a Defaqto 5 Star Rating important?
If you don’t have a lot experience buying insurance, then the purchase process can feel like a bit of a minefield. That’s where Defaqto comes in.
When you’re buying a policy for 12 months or more, that’s a big decision to make. And in fact, that’s one of the reasons we’re so committed to making our products and policies easy to understand. It just makes sense to us to be clear and fair about what you’re buying and what our policies can – or can’t – do for you.
However, while most people are happy to compare a range of competitive products by looking at their prices, we also recognise it’s not always easy to judge how an insurer’s policies compare by looking at the features and benefits alone.
Defaqto Star Ratings help you make an informed decision. If a policy has a Defaqto 5 Star Rating, you have the reassurance of knowing you’re buying quality cover.
What do I need to be aware of?
The Defaqto 5 Star Rating is based on an assessment of the overall product, which includes all of the optional components – the ‘add ons’. But you may decide to buy a ‘basic’ version of the policy, which would offer you a different level of benefits.
What Defaqto ratings do our products have?
We are very proud that we have a Defaqto 5 Star Rating for our car insurance, MultiCar insurance, commercial vehicle insurance including van insurance, home insurance, single and annual travel insurance , motor breakdown cover (Rescue, Recovery, At home and Onward Travel), life assurance (direct), over 50s life assurance, company pension (auto enrolment) and private medical insurance products.