Do you HAVE to cancel car insurance

tujeste

Heres the background

Bought insurance for my Ford Fiesta - knowing that the car was unlikely to pass MOT test roughly 4 months into policy period. Insurance was bought via Quidco for pretty low price and reasonable cash back. Car duly fails MOT and is scrapped

Do I have to notify my insurers that car is scrapped and to cancel the policy ? (Checking policy I know cancellation will be at an additional cost?)

If I dont have to, is it wise to? Will it be a problem if I try to insure a replacement car?

mcjordi

i dont know tbh but i would keep it running to get the years ncb

pastra

You don't have to tell the insurance company. You may even have driver other cars extension and wish to continue cover to use that.
Or buy another car and change vehicles on cover.

raskazz

pastra wrote: »

You don't have to tell the insurance company. You may even have driver other cars extension and wish to continue cover to use that.
Or buy another car and change vehicles on cover.

It would be very unwise to rely on any driving other cars extension in these circumstances. Where it is given, the policy will normally contain a term to the effect that the driving other cars benefit ceases to be effective if the vehicle which is the subject-matter of the insurance is a total loss, otherwise disposed of, or no longer owned by the insured.

pastra

raskazz wrote: »

It would be very unwise to rely on any driving other cars extension in these circumstances. Where it is given, the policy will normally contain a term to the effect that the driving other cars benefit ceases to be effective if the vehicle which is the subject-matter of the insurance is a total loss, otherwise disposed of, or no longer owned by the insured.

Off the top of my head I cant think of a company that uses similar wording on a cert of insurance.

dacouch

pastra wrote: »

Off the top of my head I cant think of a company that uses similar wording on a cert of insurance.

There are quite a few, it's not contained on the certificate but within the exclusions in the policy booklet

pastra

dacouch wrote: »

There are quite a few, it's not contained on the certificate but within the exclusions in the policy booklet

You wont be able to write on a cert that you offer that cover and then make exclusions in the policy wording. If there are restrictions to the third party liability it must be on the cert of insurance.

Quentin

pastra wrote: »

You wont be able to write on a cert that you offer that cover and then make exclusions in the policy wording. If there are restrictions to the third party liability it must be on the cert of insurance.

Poor advice.

Insurance certs invariably don't spell out all conditions, but contain a "catch all" get out along the lines of:

"For full details of cover refer to policy documents"

dacouch

pastra wrote: »

You wont be able to write on a cert that you offer that cover and then make exclusions in the policy wording. If there are restrictions to the third party liability it must be on the cert of insurance.

I'm aware of that thank you, they can however impose terms in the policy, they would still have to deal with claims under the RTA but would have the right of recovery from the policy holder.

If you would like Raskazz and I could list some of the companies (They are major motor Insurers) that contain the relevant exclusion in their policies.

If the OP followed your advice and had an accident whilst using the DOCs after disposing of the car and were with an Insurer with this exclusion they could be seriously out of pocket

pastra

Quentin wrote: »

Poor advice.

Insurance certs invariably don't spell out all conditions, but contain a "catch all" get out along the lines of:

"For full details of cover refer to policy documents"

A certificate is the legal document that must contain all the exclusions that apply to the offer of cover against third party damage and loss as required by the RTA. If an insurer writes on a cert that you have driving other cars cover, then it must also include the terms/conditions of that cover.

All the police and courts are interested in is your 3rd party liability cover and what does it say on your cert.

pastra

dacouch wrote: »

I'm aware of that thank you, they can however impose terms in the policy, they would still have to deal with claims under the RTA but would have the right of recovery from the policy holder.

If you would like Raskazz and I could list some of the companies (They are major motor Insurers) that contain the relevant exclusion in their policies.

If the OP followed your advice and had an accident whilst using the DOCs after disposing of the car and were with an Insurer with this exclusion they could be seriously out of pocket

So you agree that legal they would still have valid insurance. So why wouldn't they make that an exclusion in the cert wording.