Elephant. Is this a scam??

lynsiloo

I recently changed my car insurance policy from Elephant to the RAC. However, today I have recieved an e-mail from Elephant claiming I still owe them £52.21. When I phoned to find out why, I was told it was a 'back dated payment' because half way through my policy with Elephant I got 3 points on my licence which I never told them about. When I went to get a renewal quote from them I told them about the 3 points and when the incident occured. So now that I have left them they now want the extra money that I should have been paying on my policy because of the points.
Is there any way I can get out of paying this or will I just have to give them what I probably should have a few months ago????

aj3001

I think ignore them, you have ended your contract with them, their premium should be based on what you tell them, not what they find out.

Although technically by not declaring the points, you were in breach of your policy, and therefore driving without insurance, which could incuur a £1000 fine.

Personally I would just throw it in the bin

lynsiloo

Thanks. They have threatened to send the debt collectors round if I don't pay within 10 days of recieving the e-mail.

Astaroth

Unfortunately your contract probably required you to tell them of the points at the time. Either you pay up the money for the additional premium or you run the risk of them retrospectively voiding your policy for non-disclosure which could result in a police interest for driving without insurance and also your new insurers would have to be told you have had a policy voided which could result in a premium hike but more likely them also voiding your policy and you only being able to get "specialist" insurers interested.

obprestige

my understanding of the situaton is that if you recieve the three points half way through your policy this will not affect the premium until the remewl of the policy. so there should be no increase in price uless you had them before the policy started and didnt tell them.

check with the fsa of the financial ombusman but im quite sure the above is correct

hope this helps.

Beckety

obprestige wrote:

my understanding of the situaton is that if you recieve the three points half way through your policy this will not affect the premium until the remewl of the policy.

That's what I was told by my insurance company (Tesco) when I rang up to tell them my OH had just got 3 points. They said don't worry about it, you don't have to inform us until you renew your policy.

Astaroth

But different insurers have there own wording in their contract and so whilst one insurer may not ask you to tell them at renewal others are within their rights to ask you to tell them straight away

lynsiloo

Thanks for all your thoughts. What I really need is someone with the terms and conditions for Elephant. I will have another look, but I am pretty sure I got rid of everything Elephant related. Thanks again.

dunstonh

With the policy finished, they cannot come after you for the money.

If the policy was still running, they could. If you then refused to pay it, they would void the policy. Therefore putting you in the position you are now. i.e. not a policyholder with them.

MarkyMarkD

I don't agree with you, dunstonh.

The original contract required the OP to notify the insurer of the points. The points entitled the insurer to vary the premium due under the original contract.

Just because the OP broke the terms of the original contract, and the insurer only became aware of the points at the end of the term (but, evidently, before the contract ended - not that this is relevant) doesn't make the insurer unable to recover the amount contractually due.

Because of the late "notification" their ability to seek recovery is limited, particularly given the amount involved, but I wouldn't be surprised if they pursued it and IMHO they would win their claim.

lynsiloo

I have now read the T&C's for elephant insurance and the only reference to motoring convictions says that you need to tell them when you come to renew your insurance policy. It does not say you need to inform them at the time of the offence. Therefore I will phone them tomorrow and see what they have to say.