Automatic insurance renewals- end this scam now!

cajef

dkb wrote: »

As I never got the renewal quote am I still liable for these charges?

Yes, just because the renewal notice never arrived does not mean you can refuse to pay, it was your responsibility to read the terms and conditions of the policy when you took it out, you cannot blame the insurance company for you not reading them and not being aware there was an auto renew clause.

You say that 'your memory was not jogged' yet the fact that you changed insurers means that you knew the policy was due for renewal and should have checked the cancellation terms before changing insurers.

grovenorceltic

I am having an issue with car insurance renewal.Having received a renewal quote i agreed over the phone to renew, but then checked for cheaper online which i found.
I then rang the 1st company and informed them i would not be renewing.They then claimed i owed them a cancellation fee although the insurance is not due to start untill 1st March.
Surely they cannot charge a fee for an insurance which has not even started.
Are they chancing their arm hoping i will pay up to avoid any conflict or have they any legal grounds.I'll stick to my guns and call their bluff unless someone advises me otherwise.

dacouch

grovenorceltic wrote: »

I am having an issue with car insurance renewal.Having received a renewal quote i agreed over the phone to renew, but then checked for cheaper online which i found.
I then rang the 1st company and informed them i would not be renewing.They then claimed i owed them a cancellation fee although the insurance is not due to start untill 1st March.
Surely they cannot charge a fee for an insurance which has not even started.
Are they chancing their arm hoping i will pay up to avoid any conflict or have they any legal grounds.I'll stick to my guns and call their bluff unless someone advises me otherwise.

They are miss informing you, just advise them you wish to "Lapse" the policy from renewal, if you can send this recorded delivery and cancel the direct debit at the bank from the renewal date. You have an annual contract with them, if you breach the contract by cancelling it in the twelve months they can raise a charge. If you advise them you do not wish to renew the contract for a further 12 months they cannot penalise you

grovenorceltic

dacouch wrote: »

They are miss informing you, just advise them you wish to "Lapse" the policy from renewal, if you can send this recorded delivery and cancel the direct debit at the bank from the renewal date. You have an annual contract with them, if you breach the contract by cancelling it in the twelve months they can raise a charge. If you advise them you do not wish to renew the contract for a further 12 months they cannot penalise you

thanks for that.
have already cancelled the direct debit as the final payment has been already paid, now sending a letter to inform them i am not renewing insurance wiyh them with the new documents which arrived today,to the company by recorded delivery.

dunstonh

have already cancelled the direct debit as the final payment has been already paid

That stops the payment but it doesnt stop your liability to pay the bill should it come due. Make sure you get that letter off and keep a copy (to be on the safe side).

grovenorceltic

posted letter on friday recorded delivery, now waiting on response.
hope this issue will be of help to other people in similar situation.
unfortunately too many people receive intimitating letters/phonecalls from companies and react be thinking they themselves are in the wrong and pay up without seeking advice.

dacouch

The beauty of MSE is these people can ask on here and hopefully get the right advice

grovenorceltic

Just checked my bank account and the insurance company have set up a direct debit to start from 24th of this month without my permission for the insurance I am not renewing.
I have rang my bank and cancelled this new DD.
I checked on another website about this companies action and the info i obtained states that this is illegal without my permission.
I will now also send a letter of complaint to the company over their actions.
Which organisation should I complain to over this company's behaviour.

dacouch

When you signed up for instalments you would have agreed a "Continuous Direct Debit" this is how virtually every insurer works. Their terms would also advise you they will automatically renew the policy unless you advise them you do not want to renew. Again this is how virtually every insurer works

When you take out cover with a new company they will almost certainly do the same thing

Have a read through the previous posts on this threads as there is info on it.

dunstonh

I checked on another website about this companies action and the info i obtained states that this is illegal without my permission.

It is not illegal and in any case they have your permission.

Which organisation should I complain to over this company's behaviour.

If you have a complaint against the company you complain to the company. However, they have done nothing wrong so expect to told as such.

Cancelling a direct debit does not remove your liaiblity to pay and does not tell the insurer that you do not plan to renew. You must tell them.