Car Insurance

briggsyrfc

i have a problem with my car insurance that some help would be much appreciated, apologies for it being a bit long winded

I recently bought a new car & insured it with a certain company, for £350 (approx) with a 10 years NCD through my company. When they asked for the NCD i couldn't provide it due to our company having changed insurers & the previous ones going out of business, so they put my premium up to £680 & i was told by them that they would take a letter on headed paper signed by my boss saying that i had driven for this amount of time with no claims against me & once this was received my premium would go back down to what it was originally.

I finally got hold of a letter which was posted out to them & stated that i hadn't had any claims in this time & that i was still on the company insurance. They then phoned me back saying that they wouldn't insure me with this NCD if i was still on the company insurance so i told them i wasn't a named driver on the insurance, the insurance covered anyone in the company with permission to drive the cars, they told me this was unsuitable for them, my NCD wouldn't take effect & my premium would stay at £680.

I was totally livid at this & cancelled my insurance with them instantly, went somewhere else & got insurance for £350 with 2 YRS NCD (as i couldn't bothered with the trouble of going through the whole letter senario again & i had a 2 year letter from our current company insurers)

I was told by the company i cancelled with that i would have to pay a £35 cancellation fee & £120 percentage "penalty" for early cancellation of my premium. My question is are these charges justified? I provided everything they asked for yet they changed their stance whenever i provided said info.

These charges come out my account in the next couple of days so an answer asap would be gratefully appreciated.

Quentin

The charges will be in line with the policy's cancellation charges.

Whether or not you were dealt with fairly is different. You can raise a complaint about them selling you the policy and agreeing to allow you discount as a company car driver, then denying you when you eventually provided the proof they asked for. If you do complain, then ask them to reimburse you the cancellation charges as you were left with no alternative but to go elsewhere. If they refuse, then you can decide whether or not to escalate the complaint.

briggsyrfc

ok thanks mate. Do you think it would be wise to pay the percentage penalty (£120) but refuse to pay the cancellation charge? (£35)

Quentin

If you are going to raise a complaint, then tell them you don't want to pay any penalties until your complaint has been resolved.

If you do intend to raise a complaint, its about the fact they changed their mind over granting your NCB which left you no choice but to go elsewhere, not the £35 is it?

To make sure no money is taken before the matter is resolved you could cancel your direct debit yourself.

briggsyrfc

Quentin wrote: »

If you do intend to raise a complaint, its about the fact they changed their mind over granting your NCB which left you no choice but to go elsewhere, not the £35 is it?

true mate.

I've cancelled the DD & will raise a complaint with them when they contact me for payment

thanks for the help

briggsyrfc

Oooooooohhhh wrote: »

So you are no longer driving the company vehicles under their insurance policy?

The fact is, i have to drive sometimes for my work, so that wasn't an option, however for my own & my family interests i was willing to do what they said.

They said that under their policy (i could never find anything stating this in their documents) i wasn't allowed to be named on another insurance policy & drive other cars if i wanted the NCD to be valid, i told them i would take myself off the company insurance to keep them happy, when i tried to do that i was informed by my company that we don't have named drivers on our policy, anyone who works for us or "with permission" from a company director can drive our cars. I was then told that they wouldn't accept this either. They didn't want me to be named on another policy, i wasn't, yet they still wouldn't take my NCD into account because i was still insured on a company policy which they didn't like, even though i wasn't named, as they asked.

Yes i still drive a company pool car when needed.

briggsyrfc

Oooooooohhhh wrote: »

From that post you have no right to a NCD

why?

i've been driving on my company insurance for over 6 years with no claims or convictions, i've also had various cars of my own for the last 12 years with no claims or convictions. my last private car i had for 4 years but it was insured through my company insurance, otherwise i'd have used my own NCD.

Just because i've been driving on a company insurance, doesn't mean i shouldn't be allowed a NCD, i'm entitled to one just like everyone else & my driving history proves that, the fact that the insurance company kept moving the goal posts is the issue here, not whether i have or have not a right to a NCD.

*MF*

The two main posts from Quentin take you completely in the correct direction imho - and the issue IS that you gained an agreement from the Insurer on the basis of providing a letter re your driving with the company - which they then backtracked on - the rest follows - as does your right to complain - again imho.

briggsyrfc

*MF* wrote: »

The two main posts from Quentin take you completely in the correct direction imho - and the issue IS that you gained an agreement from the Insurer on the basis of providing a letter re your driving with the company - which they then backtracked on - the rest follows - as does your right to complain - again imho.

thanks for that mate, i've taken Quentins advice & cancelled the DD with my bank & raised a complaint against the company. Told them i'll pay the money without any problems IF i'm proved to be in the wrong but as far as i'm concerned they signed a contract with me which they then backtracked on, twice.

raskazz

IMO it really depends what questions were asked regarding NCD at quote/inception stage, what answers were given (and what statements the insurer makes regarding acceptable NCD criteria on its website, if taken out online).

For example, if it was taken out on the web and the NCD criteria clearly stated what was acceptable and unacceptable, and these rules correspond with the action taken, then the insurer is not at fault IMO. Conversely, if the situation was explained clearly and accurately to the insurer over the phone at inception, then the insurer is at fault.

TighterThanTwoCoatsOfPain

sounds like a case of crossed wires...to be honest, i cant think of any insurer who will take the no claims your think you have... Basically what you're saying is that you have held a driving license for 10 years and have driven a company pool car as and when nessecary?

That isnt having 10 years NCB in the insurance sense... Using that logic you could pass your test at 17, never even own a car but work for a company that has all employee cover then at 27 claim 10 years NCB..

Unfortunately that isnt how 99% of insurance companies work.. They likely thought you meant you had a company car for 10 years which is a completely different prospect...

Hopefully you may get some sort of goodwill gesture..