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Bike insurance - Can I cancel and claim?

stuartkeith
stuartkeith Posts: 32 Forumite
in Insurance & life assurance
I have had my bike stolen and am paying on installments. The bike has been insured since march and I have made 3 payments to it. The bike has now been stolen and I took out the brakedown and other cover.

Can I cancel my insurance as I dont have the bike now? If so Can I still proced with the claim?

Thanks

Stu

Comments

  • ariba10
    ariba10 Posts: 5,432 Forumite
    First Post First Anniversary Combo Breaker
    I would imagine you would be liable for the full years premium just the same as if you paid it fully up front
    I used to be indecisive but now I am not sure.
  • mattymoo
    mattymoo Posts: 2,417 Forumite
    No you cannot cancel if you decide to claim. The full premium will be due and will probably be deducted from your settlement.

    When you took out the policy you purchased and agreed to pay for 12 months of cover. You took an additional credit agreement that allowed you to spread the cost over the 12 months.

    If you decide not to claim you can cancel the policy and pay at the short term rates that should be set out in the policy booklet. So for 1/4 of a year I would expect the cost will be around 1/3rd or so of the annual premium.
  • stuartkeith
    stuartkeith Posts: 32 Forumite
    Not even worth me canceling the breakdown cover either then. they wanna charge like £25 to alter policy and the cover was only like £40
  • lisyloo
    lisyloo Posts: 29,839 Forumite
    First Anniversary First Post Name Dropper
    Yes, they are entitled to make admin fee charges if you want to make changes.
    It osts them money in terms of preparing paperwork, computer systems, staff etc.
    £25 is quite reasonable.

    As others have said, if you claim you don't get any money back.
    Full payment is due up front, you've only take a loan.
    It isn't Pay As you go. It's a loan for something that was due up front.

    Sorry it's not what you want to hear, but the info you've been given is correct.
  • davetrousers
    davetrousers Posts: 5,862 Forumite
    First Anniversary Combo Breaker First Post
    stuartkeith wrote: »
    the cover was only like £40

    If it was only like £40 , then it's not like worth the hassle like.
    .....

  • Clive_Woody
    Clive_Woody Posts: 5,870 Forumite
    Name Dropper Second Anniversary First Post Photogenic
    davetrousers wrote: »
    If it was only like £40 , then it's not like worth the hassle like.
    I am not sure he will like that kind of response.

    :D
    "We act as though comfort and luxury are the chief requirements of life, when all that we need to make us happy is something to be enthusiastic about” – Albert Einstein
  • lisyloo
    lisyloo Posts: 29,839 Forumite
    First Anniversary First Post Name Dropper
    If you are getting a new nike it might be possible to transfer the policy to the new bike.
    My nephew had a car accident and his policy was transferred to the new car.
    This was with Direct Line, so some companies allow this.
    If you aren't immediately getting a new bike, then ask them to suspend cover.
    They might only do this for a limited time, but if you are looking for a new bike, it might be worthwhile.
  • rudekid48
    rudekid48 Posts: 2,382 Forumite
    First Anniversary First Post
    lisyloo wrote: »
    If you are getting a new nike it might be possible to transfer the policy

    What if he gets "Adidas" or "Reebok"? sorry, couldn't resist it ;-)
    All matter is merely energy condensed to a slow vibration, we are all one consciousness experiencing itself subjectively, there is no such thing as death, life is only a dream, and we are the imagination of ourselves.
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