Home insurance policy holder has died......

Stitch_3

My friend's husband died suddenly after a very, very short illness. In the days that followed his death, she contacted all the utility providers who were very helpful and sensitive and had all the names changed to hers. The car insurer and DVLA were equally helpful and respectful.

However, when she contacted her house & contents insurer, she was treated really badly. Firstly the operator had no idea how to handle the call, but then informed her that she was no londer insured as her husband had died and was the policy holder.

She was told to send the death certificate to the company (there was no certificate at this point, due to a coroner's inquest) and that the policy would have to be cancelled and did she want them to prepare a quote for her? Oh and by the way, it will cost you £26 in administration charges to cancel the policy.

Is this right?

Once the death certificate was issued, she sent it off and waited.

Other agencies needed to see the certificate so she rang to ask when it would be returned. They told her it wouldn't be returned and anyway they would have asked for a copy not the original. After sometime on the phone (on an 0845 number) they agreed to return the certificate sometime in the next 10 days.

She asked again about changing the name on the policy and after an hour and a quarter of passing her from piller to post, she was told that the policy could run in her dead husband's name until it was due for renewal next April or she could pay the £26 to change the name to hers.

Again, I ask is this right?

I am shocked and angry that someone could be treated in this way and that the whole episode has caused so much distress at an already very hard time.

I look forward to your thoughts.

dacouch

Was she a joint policyholder on the policy ? (She can normally check this by looking on the schedule to see if it shows both names)

magpiecottage

I suggest she contact the insurer tomorrow and tell them "My late husband took this policy out for my benefit as well as his own. I have been advised that I am therefore an eligible complainant under FSA Rule DISP 2.7.6R(5).

I wish to complain at the insensitive way you have treated me. I am also advised that it is good practice within your industry to take copies of certificates and other documents and return the originals promptly but you first refused to do so and then said it would take ten days to do so, delaying the settlement of other matters and causing me further distress.

I am told that unless you can resolve this to my satisfaction by the time you close for business tomorrow you must refer this matter to your Complaints Procedure and, if necessary, I can take it to the Financial Ombudsman Service."

That should put the ball into their court!

slummymummyof3

How awful! Your poor friend must be beside herself.

Incidentally, I do believe you can get help towards funeral expenses if a spouse dies - don't know if this is still the case????

dogbot

i must say this sounds like dreadful service. Who is the insurer? Was it via a broker?

The policy will remain in force and in the name of the policyholder's estate, then the executor can deal with matters between the estate and insurer. If his wife is the benificiary then most insurers will just be able to transfer the policy over once probate is resolved.

I would certainly complain about how she was treated on the phone if this is accurate - evidently a serious training issue. I would say that with that complaint they would see fit to waive the admin fee and just transfer the policy accross. I would also ask for some money towards the phone calls.

Stitch_3

Thank you all for taking the time to reply.

I think that the policy was in my friend's husband's name as the householder (I think our policy is in my name - I wasn't given the option of Mr and Mrs - same for utility bills, which always causes problems )

My friend was dealing directly with the insurance company - no broker involved. She has decided to cancel the policy and pay the £26 however, I have suggested that she write a letter explaining why she is cancelling and that she is paying the fee under duress.

I have also offered to draft a letter of complaint.

Thank you all again, your replies have been most helpful and reassuring. :A