Insurer cancelled policy without notice - where do I stand?

dacouch

vaio wrote: »

Agree about the lack of information but on the general thrust of the thread maybe there should be no right of cancellation without mutual agreement?

The most common reason for an Insurer to invoke cancellation is due to non payment of the premium, generally where an instalment has defaulted. Most companies would send a letter that basically says you have defaulted, contact us immediately and would then if no contact would send a letter cancelling.

Other reasons can be where they are chasing information eg the proof of no claims bonus, driving licence, signed forms, UK reg number etc. With most companies you would typically receive a couple of chase letters and then a cancellation letter

It could also be if they have discovered undisclosed claims and / or convictions etc.

There are other reasons that could cause an Insurer to cancellation.

As Raskazz mentioned the majority of Insurers send the cancellation letter to the last known address by recorded delivery for the protection of both parties. Unfortunately a lot of people won't sign for recorded delivery letters.

Wig

vaio wrote: »

Apart from fraud (and then cancellation should require a conviction and/or court order) I can’t see why an insurance company should be able to cancel with impunity any more than I can unilaterally alter a contract at work.

On second thoughts I agree with this approach. As long as the agreed premium has been paid they should not be able to cancel without a court order - which would be for the purpose of confirming that the information given to get the policy at the quoted price was wrong in some way. Wrong address of the customer who moves mid way through a policy could still present a problem but at the end of the day, you have to draw a line somewhere, and I think putting most of the emphasis on the customer to ensure they have the correct address is the right approach.

I think my previous statement - 3 recorded delivery red letters - should apply to all cases of non-payment.

Rossy.

gozaimasu wrote: »

I was wrong assuming it was regarding the claim - the letter was requesting an additional premium due to the new address I gave them. Obviously I didn't pay this because I never received the letter, and thus they cancelled.

I'm currently following the complaints procedure as per their website but so far all I've had is an obstinate reply asking me for proof as they have no record of the address change in writing. They didn't even reply fully to my complaint letter. Looks like I'll have to escalate and print off everything I have from them. I'm not letting them get away with!

Thank you for the Co-op example - very helpful

That's why i do all the ammending of my policy on the phone and wait for written proof. Could of saved a ton of hassle as they would have told you on the phone there and then that your premium was either going to increase or decrease. (increase in your case)

Wig

gozaimasu wrote: »

I was wrong assuming it was regarding the claim - the letter was requesting an additional premium due to the new address I gave them. Obviously I didn't pay this because I never received the letter, and thus they cancelled.

I'm currently following the complaints procedure as per their website but so far all I've had is an obstinate reply asking me for proof as they have no record of the address change in writing. They didn't even reply fully to my complaint letter. Looks like I'll have to escalate and print off everything I have from them. I'm not letting them get away with!

Thank you for the Co-op example - very helpful

Surely the argument against them is that they increased the premium for the change of address, so they admit there was a change of address. And as you supplied the new address in writing that must be how they received it, otherwise they cannot have known there was a change in address. Therefore it is for them to show (by producing the letter) that you supplied the wrong address. If they cannot show that, then as I see it they are in the wrong.

How else are they claiming that they received the change of address notice?

If you can back it up with a copy of the letter you sent that would be good.

You might have to take it all the way to the ombudsman - Financial services agency or something like that.

magpiecottage

Having read the thread, my understanding is:

You moved and told the insurer - as your policy conditions required.

The insurer chose to charge an additional premium because it thinks your new home presents a greater risk. That may or may not be true but it is entitled to do so.

It wrote to tell you - that is fine but instead of writing to the address which you had given it, and on which it had revised the premium, it wrote to the old one.

Unless you gave the wrong new address and it wrote to you at that wrong address first, I think it is going to have some difficulty defending a complaint.

Complain to the insurer. You can get the correct contact name by looking up the firm here. Type in the firm's name and then click on Search. You may go straight to the firm's entry or more likely a list of possible candidates. Click on yours to get its entry.

In the entry you will see a lot of red writing. Click on "Contact" in this and it will tell you who to contact. If you are lucky there will be an e-mail address. Alternatively you can fax it.

Once the firm has the complaint the firm has eight weeks to respond to your satisfaction. If it doesn't, or the response is not satisfactory, you can go to the Financial Ombudsman Service.

Wig

magpiecottage wrote: »

It wrote to tell you - that is fine but instead of writing to the address which you had given it, and on which it had revised the premium, it wrote to the old one.

My understanding is they wrote to the wrong new address, they entered it incorrectly.

olly300

OP one thing that puzzles me is how did you tell them off your address change?

If it's on the phone or online on their website they would tell you the change of premium there and then, so you can pay immediately.

So the only reason you wouldn't have got it is if you did it by email. However if you did the change of address by email you would have:
1. The email you sent to them with the details
2. An acknowledgement for them stating they received your email and would act on it.

If you didn't receive the second then unfortunately you will be a fault simply because you have no way of proving that the email was actually sent to them or delivered.

However if you do have both then you just need to print them out and send them with your complaint letter which you must give the title "Formal Complaint" and be sent to them using recorded sign for, otherwise expect them not to get the letter.

Wig

What was all the talk about a claim?