Premium Choice trying to cancel my insurance for no reason & after I've paid a year!

aaarrrggh

I've received the most random letter today. I paid my entire year's insurance as one lump sum in March of this year. I have my insurance documents and receipts to prove it. I am supposed to be insured until March next year.

Today I received this letter, which I am typing here in full:

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Dear Mr ***,

Re: Private Motor Insurance Policy Registration *****

We are authorised by Kgm at Lloyd's to act as their agents for the purposes of cancelling insurance cover and we give you notice that all cover on your vehicle registration number *** is cancelled as from seven days after the date of this letter. You are required to return your Certificate of Insurance/Temporary Cover Note immediately, this being a requirement of the Road Traffic Act.

There will therefore be no insurance cover in force after 0900 on 14/12/2010 and you are advised to obtain cover elsewhere before permitting your vehicle to be used on the public highway.

Important Warning

We must remind you that it is an offence under the Road Traffic Act to leave, drive or otherwise use your vehicle on a public highway without insurance cover being in force. Failiure to return your Certificate of Motor Insurance is also an offence under this act.

Yours sincerely,
Premium Choice


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Ok, a few points to take into account here:

• No reason whatsoever is given for this 'cancellation'
• I have paid up my insurance policy in full which covers me until March next year
• I have absolutely no idea where this has come from, and I do not know what legal rights I have. I wish to absolutely refute this.

One thing to note: I have made no claims on this insurance cover (or any insurance I've ever had for that matter - I have 4 years worth of no claims and have been driving for... 4 years). I did however make an equiry a few weeks ago. This is because some vandal keyed the entire side of one side of my car (all four panels). I was told to take my car to a garage to get an estimate for the costs, but never did so as I know I can't even afford to pay my excess right now as I've got far too many outgoings at the moment.

I noticed this letter today, even though it is dated the 7th December. I've been away for a few days and have only just opened it. The call centre I need to speak to is closed.

Can anybody here shed any light on this, and can anybody inform me as to what my rights are here? I'm sure they can't just cancel my insurance like this, especially after I've paid up for another 4 months.

McKneff

You really need to find out why they cancelled your insurance as soon as you can.

If there is a valid reason you will find it difficult and pricey to get cover from other insurances as they will ask you
have you ever had an insurance policy cancelled and if so why. Which is why you need to find out their reason.
Only then will you be able to defend it.

Good luck and let us know how you get on please.

aaarrrggh

Great. This is the last thing I need. I won't be able to find out now until tomorrow at the earliest as to why they've done this.

I can't believe they're even allowed to do it...

DCFC79

aaarrrggh wrote: »

Great. This is the last thing I need. I won't be able to find out now until tomorrow at the earliest as to why they've done this.

I can't believe they're even allowed to do it...

they are allowed to do it, if the company comes across some information which they feel is important they can cancel the poolicy