Sheilas Wheels Cancelled my car insurance!???

Shell2282

Hi this is my first time posting so bear with me on this.

I have been insured with Sheilas wheels for 2 years and never had to make a claim with them.

Unfortunately i bumped my car, no other vehicle was involved and i decided to put a claim in, they came and took the car away and contacted me a couple of days later to say the damage was £1400 so its a write off.
They are offering £1300 for the value of my car.
Ok so fair enough they are taking the £500 excess out of this which i was aware...

I was then informed that they are going to cancel my policy and charge me 100% of my premium until its due which is December so therefore another £500 comes off the settlement.:(
I have told them i dont want to cancel the policy i just want to change it onto another car, but they are having none of it.

Is this right can they just cancel my policy???

Quote

Not usually. They're correct in saying that there would be no refund, but I've never heard of a company who would automatically cancel a policy. Saying that, it's Sheila's Wheels so, you know...

raskazz

Insurers do not have to legally let the policy continue with a new vehicle placed on cover after a total loss. They often will allow it, but only out of courtesy.

Sheila's Wheels' policy wording also states:

"5. Total loss of your car

If the settlement of a claim results in your car being treated as a total loss as a result of an accident, theft, fire,
flood or malicious damage, we will reduce the claim payment by taking any part of the full premium you owe us.
When we have made the full claim payment on this basis, we will have met all our responsibilities to you under
your policy and your car will become our property. Your policy will then be cancelled unless we agree otherwise,
and we will not refund any of your premium. If you are paying by instalments your full annual premium remains
payable unless we have deducted this from your claim settlement."

Quote

http://www.youtube.com/watch?v=2yXSx5ltW-0 NSFW contains bad language

mikey72

Worth checking with the FOS if the t&c's are fair, as not all insurers do this, but I'm afraid they prbably are. Still worth a phonecall though, 0800 0 234 567

Quote

#1 on speed dial