Van insurance company gone bust !

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Mr_Poves
Mr_Poves Posts: 238 Forumite
edited 11 October 2016 at 11:14PM in Consumer rights
Hi , I'm in a bit of a pickle at the moment , the insurance company "ENTERPRISE" have gone bust , this all started back in august , basically my insurance broker have advised that I won't have cover from the 26th oct , I have had to keep paying the monthly payment to close brothers who funded the policy , and are now insisting that it still must be paid in full as per the credit agreement , which I do understand , however I feel like I'm being shafted and left to deal with someone else's problem .
The fscs will cover me for £415 according to my broker , but I owe £450 to close brothers which see's me out of pocket straight away , plus the fact I have paid a total of £370 out of the total £720 premium for just 4 month's of cover !
And on top of this I have to pay for alternative cover from elsewhere as of the 26th of oct .
Can anyone advise please ?

Comments

  • bris
    bris Posts: 10,548 Forumite
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    Isn't your finance company liable under S75 protection? Phone CB finance and tell them you want to start a S75 claim for the insurance going bust. See what they say, I doubt insurance services are exempt but I could be wrong.
  • Mr_Poves
    Mr_Poves Posts: 238 Forumite
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    Thanks for that bris but I'm not really savvy with things like this , just googled s75 and it seems to be credit cards ? I pay direct debit .
    And the broker took the deposit , not close brothers .....
  • Fat_Walt
    Fat_Walt Posts: 750 Forumite
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    Mr_Poves wrote: »
    Thanks for that bris but I'm not really savvy with things like this , just googled s75 and it seems to be credit cards ? I pay direct debit .
    And the broker took the deposit , not close brothers .....


    Yeah, you bought 12 months insurance and took a finance deal out to pay for it.
  • mije1983
    mije1983 Posts: 3,665 Forumite
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    S75 covers all purchases made with credit so it includes finance agreements. It's just credit cards are the most usual way people get S75 protection so that's mainly what you see when you google it.

    http://www.moneysavingexpert.com/shopping/section75-protect-your-purchases

    From that link:
    Similarly, if you're claiming for a sofa bought with instalment credit, your claim's with the finance company (the one you repay to)
  • molerat
    molerat Posts: 31,855 Forumite
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    Although "van insurance" could imply a B2B transaction so s75 would not apply.
  • wealdroam
    wealdroam Posts: 19,181 Forumite
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    molerat wrote: »
    Although "van insurance" could imply a B2B transaction so s75 would not apply.

    That may be so, but Section 189 of The Consumer Credit Act modifies our general understanding of what is a consumer.

    It defines 'an individual' as:
    “individual” includes—
    (a) a partnership consisting of two or three persons not all of whom are bodies corporate; and
    (b an unincorporated body of persons which does not consist entirely of bodies corporate and is not a partnership;
    In layman's terms that means a sole trader or a partnership of up to three people which are not a limited company should be able to take advantage of Section 75 of The Consumer Credit Act.

    If it is a business credit card, rather than a personal one, I would expect problems.
  • agrinnall
    agrinnall Posts: 23,344 Forumite
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    wealdroam wrote: »

    If it is a business credit card, rather than a personal one, I would expect problems.

    As it's not a credit card at all (post #3) that won't be an issue.
  • wealdroam
    wealdroam Posts: 19,181 Forumite
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    agrinnall wrote: »
    As it's not a credit card at all (post #3) that won't be an issue.
    Yes of course. Overlooked that when typing my post. :o
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