Problems with cancelling car insurance!!!

hovercraft

This made me very cross; does anyone have any ideas what to do?

I cancelled my insurance with Performance Direct as i had sold the vehicle.

Low and behold they sent me a bill for £78.58.

Stating that i owe them this, because they still owe the underwriters premium. Appartantly its in the small print. Included in this is a commision clawback charge of £11 and a cancellation fee of £35.

How can isurance companys do this? :mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad:

Quentin

hovercraft wrote: »

How can isurance companys do this?

You posted the answer yourself!

hovercraft wrote:

Appartantly its in the small print

whatmichaelsays

hovercraft wrote: »

How can isurance companys do this? :mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad:

They can do it because you agreed to it when you took out the policy on those terms.

dunstonh

How can isurance companys do this?

Because they are allowed to make a charge to recover some of the costs of you breaking the contract. In the case of Swinton its not just insurance company but broker cost.

They dont hide from the fact they make a charge. Its clearly documented and to be fair its reasonable for them to do so. They are not a charity and the charge is not excessive.

Wutang_2

hovercraft wrote: »

:mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad:

I think you're just angry with yourself

hovercraft

Bit harsh hey!

This seemed really out of the ordinary to me, i've never had to pay for cancelling insurance and not for nearly £80. i've paid them faithfully each month as asked. is this a new thing.

and yes i am a bit cross with myself, never will use this company again.

dunstonh

and yes i am a bit cross with myself, never will use this company again.

You can still choose to buy from companies with higher annual premiums and no admin charges. However, if you are not a frequent mover or someone that doest do frequent admin changes then that can be the wrong option.

This seemed really out of the ordinary to me, i've never had to pay for cancelling insurance and not for nearly £80.

Its not all admin charge though. You have broker charge, admin charge and insurance cost to the next cancellation point. Even the providers that dont have explicit admin charges, would still have charged to the next cancellation point. There is no guarantee that theirs would have been this month but maybe 3 months away. Explicit charges can sometimes make it look like you are paying more but actually many people are much better off that way. Some wont be though. You just need to make sure you buy the method that is best for you.