Car insurance quote 'Have you ever been declined' etc....

DKenni

Hi all. My first post on here and certainly not my last. Been very useful to me this site so I'll be imparting some of my (mostly painful) financial, insurance etc experiences on here:beer:

The question I have today is as per the title (I've not seen it covered when I've searched so forgive me if it's a repeated topic).

So, when getting a car insurance quote and they ask you 'have you ever been declined car insurace, had a policy cancelled or special circumstances imposed', what exactly are they getting at?

I've been refused insurance by companies due to my location or due to the car being modified but that's down to their individual ethos and even before I've had a quote.

What I suspect might apply is non-disclosure which I had declared after an accident over 5 years ago. The car was cosmetically modified and it didn't dawn on me that it was a big deal (silly mistake now I know). So my claim wasn't honoured and my policy was voided. However after 1 year of a heavily loaded premium, I went back to normal rates and my no claims bonus was returned in tact as if nothing had happened.

Do I really have to declare this even though it was at least 6 years ago? How can that one stupid mistake affect me after so long when folks with speeding penalty points or big claims carry on as normal?

Any pointers would be appreciated. It's the first time changing insurance company since and I want to make sure they have all the info that I'm leagally required to give.

Thanks so much.

G51shopaholic

exactly what it says - your policy was cancelled due to non disclosure - tiny point but Insurance Companies look for any reason not to pay.

You would have to tick yes to this question and give an explaination.
If you've stayed with the same company for the 6 years it might be worth asking them why your premiums remain high.

dunstonh

I've been refused insurance by companies due to my location or due to the car being modified but that's down to their individual ethos and even before I've had a quote.

being refused a quote is not what they are on about. Its if you have applied and then been rejected that they are interested in.

What I suspect might apply is non-disclosure which I had declared after an accident over 5 years ago. The car was cosmetically modified and it didn't dawn on me that it was a big deal (silly mistake now I know). So my claim wasn't honoured and my policy was voided. However after 1 year of a heavily loaded premium, I went back to normal rates and my no claims bonus was returned in tact as if nothing had happened.

That is exactly the sort of thing.

Do I really have to declare this even though it was at least 6 years ago? How can that one stupid mistake affect me after so long when folks with speeding penalty points or big claims carry on as normal?

Yes. You have this problem now for the rest of your life. Or for as long as they say "have you ever.....".

it should also be noted that this can also apply to other insurances. So, you may find certain household policies need it to be declared as well.

As time goes on, the fact it happened doesnt necessarily mean the price will be increased.

DKenni

Ok, thanks all. Seems a ludicrous situation but there you go.

My premiums aren't high to be honest, it's just that I'm changing to business use and the new company is a fair bit cheaper.

lisyloo

Why it is ludicrous for them to want to know about customers who are either deliberate liars or not sufficiently dillegent to provide the correct information?
Seeems quite reasonable to me.

DKenni

lisyloo wrote: »

Why it is ludicrous for them to want to know about customers who are either deliberate liars or not sufficiently dillegent to provide the correct information?
Seeems quite reasonable to me.

Because people change and learn from their mistakes. It's guilty until proven innocent.

And I'm not begrudging them knowing it. What I don't understand is why they don't ask 'have you ever had penalty points' rather than having a 5 year expiration period. Why is non disclosure branded for life?

Oscar_The_Grouch

dunstonh wrote: »

Yes. You have this problem now for the rest of your life. Or for as long as they say "have you ever.....".

Dunstonh, I'm not sure I agree with you here.

(Section deleted. See later posts)

Criminal convictions resulting in a fine are exempt from disclosure after 5 years.

I'm not sure it would be considered fair or reasonable to require a customer to disclose a policy voidance ad infinitum. From a compliance point of view, I'd be VERY concerned over any kind of potential non-disclosure that was more that 6 years old.

I'd like to hear your views.

lisyloo

It's guilty until proven innocent.

But this isn't the law we are discussing, it's a commercial company.

Why is non disclosure branded for life?

Because it's a commercial company and they decide what questions they want to ask (within the law of course).

Because people change and learn from their mistakes.

That up to them to decide don't you think?

I realise that's harsh, but that's the reality.

dunstonh

Oscar_The_Grouch wrote: »

Dunstonh, I'm not sure I agree with you here.

All personal information will be deleted by the insurance company after 6 years, as with other financial institutions.

Criminal convictions resulting in a fine are exempt from disclosure after 5 years.

I'm not sure it would be considered fair or reasonable to require a customer to disclose a policy voidance ad infinitum. From a compliance point of view, I'd be VERY concerned over any kind of potential non-disclosure that was more that 6 years old.

I'd like to hear your views.

When the question is worded "have you ever had......" then I dont think its the place of the individual to run the risk picking and choosing what they should disclose.

Also, most financial organisations no longer delete information after 6 years.

Blackpool_Saver

yeah it's like have you EVER been declared bankrupt, it's one of the few things that have not slipped

DKenni

Ok, I see your reasoning lisyloo. As you say though, harsh. Think I'll get in touch with the Ombudsman for some clarification.

I had a great quote from More Than but unfortunately they declined straight away and said that they don't put a time limit on Non Disclosure. Shame really, it was a great policy.

Would be good if companies advertised if they accepted criminals like me:eek: