O2 Insurance Appear have made a mistake - in my favour?

incesticde

Hi Folks,

(sorry, bit of a long post this one)

I recently bought an iPhone 4 via O2 retentions (and I love it), a couple of days afterwards I phoned up to see if my O2 premier insurance (£7.50 a month for my old iPhone 3gs) had been switched over to this phone.

Spoke to an advisor who stated that no it hadn't and I would have to pay £15 a month to insure my iphone 4, after a sharp intake of breath I decided to go along with this. O2 website account shows me being billed £15 a month.

About a week later I got through documentation including

• An O2 insure - premier policy summary stating that an excess of £25 applies to all claims
• The small print
• A covering letter (with my name, address, date etc) informing me that the policy covers "the mobile you recently bought or upgraded through O2" and states the price as £15 a month

All well and good, however recently I was looking on line and noticed that the excess charge on the O2 Insurance premier policy for an iPhone 4 32 Gb is a quite scandalous £100 for the first claim alone, raising steadily by an extra £25 for each additional claim

Had a web chat with O2 where the advisor stated that my excess was £25, when I asked her why the web site stated a £100 she advised me to talk to O2 insurance directly (webchat emaied to myself).

Speaking with O2 insurance it would appear that they have made a mistake in assigning the insurance code to me.

My questions are this :

Where do I stand legally with this? The covering letter clearly states it covers my new purchase, could O2 cancel this policy? could they refuse to honour it? If I ever need to make a claim could I demand to pay only a £25 excess as per my contract? Or is my contract not worth the paper it's written on

Many thanks for your time and help

Incesticide