£52 to cancel with Norwich Union!!

Rastanking

Hello everyone,

I have just cancelled my car insurance with Norwich Union when I was informed that it would cost £52 for the 'privelige', is this right? I have been with them for 7 months so the cover had 5 months to run, can I recoup the losses by charging them £52 'admin' fee for the changes to my bank account?

Any help would be fantastic, thanks in advance

Andy

mexicanwaver

Are you paying monthly? If so, are you required to give one month's notice of termination (perhaps that's where the £52 came from)?

Also, have you checked the terms and conditions of the policy, which should state any charges they will apply.

Dan

Astaroth

You entered into a contract for 1 year and therefore they are entitled to charge for your request to be released from your obligations.

Bank charges are different as they are fees from breach of contract and therefore limited by contract law. This is not a breach so not governed my the limitation.

The only time it would be same is if you breached the contract (ie stopped paying) but whilst it would limit the charges they can apply to costs it would mean you are loaded to the national registries for having a policy cancelled and potentially being loaded onto the fraud registry for no intent to pay which would massively inflate any future insurance you ever buy and may affect your ability to get credit.