Car Insurance Admin Fee for cancelling Policy

lisyloo

Sometimes needs must if you have to make a change to a policy. Be a little more understanding and not so judgemental.

Can you point me to where I've been judgmental please (for my own understanding).
I completely understand that sometimes things happen beyong people's control (and I have not said otherwise).

What I haev said is that others should not bear the costs and that you should.
If it's the fault of a 3rd party then there are ways and means of getting them to pay.
They aer not perfect I admit, but there is a legal system that will help you persue a third party at little cost if appropriate.

dunstonh

£50 though - for an Admin charge! I emailed to ask for a breakdown of these costs (reminiscent of the bank charges i received back!) and this was the response:

The FSA allow this charge and the FOS have rejected complaints made to them when the fee has been upto £50. As long as its in the documentation they have satisfied their disclosure requirements.

There is no legal requirement for them to break the fee down as the rules for penalty charges are different for admin charges. They are also allowed to factor in some profit in there.

I said there is no way it costs you £25 in admin fees when its generated by a computer, just to print out a letter!!!! its ridiculous and makes me very angry that I paying £25 for a piece of paper generated by a computer.

As has already been said above, the cost of actually generating the letter is not £25. Its probably less than £1. However, all the costs involved in putting the staff and computers in place that allow that transaction to be done so cheaply are far more than that. There are also the compliance requirements and costs involved in setting up (around 75% of the cost to a broker occurs when you set them up). They cant just destroy the file now either. They have to keep it for a minimum of 6 years and possibly forever.

I think you need to run an office or be self employed or a manager to really understand the costs involved in running an office/business.

LadyIndecisive

dunstonh's advice is informative, balanced and accurate. Some other posts on this thread appear overly agressive to me. The OPs question is simple and fairly reasonable.

I work in insurance but aim to post where i beleive i can best accurately answer a question. I have questioned (to myself) some advice and guidance previously posted by regulars on these threads which shows a lack of technical knowledge and a reliance on third hand experience.

Everyone, industry employees or otherwise, has a right to try to answer other poster’s queries but some statements are said with such conviction that they may be taken as factual when they are in fact inaccurate.

lisyloo

when they are in fact inaccurate

Please do let us know if there is anything innacurate in this thread.

Cheers

Quentin

LadyIndecisive wrote: »

I work in insurance .......................but some statements are said with such conviction that they may be taken as factual when they are in fact inaccurate.

All this is a bit rich coming from you!

What about this (patronising) statement of yours said with some conviction:

http://forums.moneysavingexpert.com/showthread.html?p=17872147#post17872147

LadyIndecisive

I don't think that was patronising. You have edited your first post on the thread to add the first line.

LadyIndecisive

lisyloo wrote: »

Please do let us know if there is anything innacurate in this thread.

Cheers

Do you not think you are overly agressive in your answers, picking threads apart like this?

I didn't say there was anything inaccurate, in this thread.

Quentin

LadyIndecisive wrote: »

I don't think that was patronising.

Apart from giving innacurate advice, you opened with this:

LadyIndecisive wrote: »

It is unfortunately fraud to 'front' the policy for your wife.

Sounds somewhat "superior"!

LadyIndecisive

Not to me.

LadyIndecisive

So. Slightly off topic here but let's say I have a car which I own and am the registered keeper of. I have no NCD. To obtain a cheaper policy my spouse/boyfriend/partner insures the car in their name as they have maximum NCD.

There is no clause in said policy to allow spouse/boyfriend/partner to insure my car.

Your assertion is that most insurers allow this. Some do not.

So, in my above scenario, why is this not fronting?