Full Premium claim after cancelled Direct line car insurance?

FinGaTipZ

Hi I have a Direct Line comprehensive car insurance with business usage £298 paid over 12 months + + + + ? Good price for Ford Fiesta 2007 1.4 petrol - no problem:rotfl:

Have been with DirectLine for nearly 3 years content and happy with service and arrangements over the phone and online. Protected no claims 9+ years and legal cover purchased extra. £500 excess - No problem:T

However, since June 2011 and having had a quite major incident with a Stag deer at 60 miles per hour, I have had to claim obviously! Lots of front damage vehicle able to be fixed and ready within 2 weeks - no problem :j thank God no one seriously injured however the deer is finished! :rudolf:

Initial call out excellent Directline handled collection of vehicle at 10.30pm that same night and delivery to local garage, loss adjuster assessment - Good Service - no problem

Registration of claim and temporary car hire (although very basic and small) sufficient for my job as a Nursing Assistant working in the Community - Satisfactory

Now then.......:)

Coz I am a tad scared to drive my old car, I make the decision to buy a newer one ...... 2nd Sep tad bigger, safer and much better in the snow etc (deer proof with grilles!)

I ask directline to upgrade my insurance ...... £590 :eek: +++ extras not included. Far too much with the recent expense of newer car too!


So I get's the new car with AA cover for 1 year at a very good price :j Then sold old car, which was collected on Mon 5th Sep - No problem :rotfl:

Fri 10th Sep (D/debit not due till 24th Sep about to cancel!) Ring Direct Line to cancel policy and cease my d/debit! :mad: They want me to pay up the whole premuim of £190 coz I made a claim! (That's why I paid for comprehensive and legal protection and protected my no claims bonus - all extra!) and as I'm only 5 months into the policy and they cannot compete with my new insurers I am acutally now expected to pay the whole £355 for just 5 months of policy!:mad: :eek:

I am very cross and upset as it appears I was never advised this would be when I rang to upgrade - nothing mentioned! It may have been more beneficial to have stayed with DL if I had been informed!

:money:My question is really to ask, has anyone ever been taken to court for not paying up the whole premuim after a policy cancellation and will I eventually have to pay for this, how many red letters will I get? And if so can I choose to pay when £5 per month for 5 years!

Anyone had similar concerns with cancellation of Directline policys and how legal is legal in the sight of the law - Will I get red demands and letters then court orders? How often do they get the cancelled premiums paid up like this? - Depite the small print I am a little reticent to pay without a fight!

Thanks appreciate your comments

hcb42

yes. You owe them the money. You buy a 12 month policy, (you just arranged monthly premiums to pay it off) and you have claimed, so you are not eligible for refund.

They will pursue you. Personally, I wouldnt go to court, but then I wouldnt want that on my financial record for the sake of a few hundred quid.

talulah25

found this on the policy document readily available on the Direct Line Website:

We will not refund any premium if you have made a claim or if one has been
made against you during the period of cover. Please return the certificate of

motor insurance.

Why contest it? This is standard practice and you are basically complaining about having to comply with T&Cs of a policy you were perfectly happy to take advantage of when you needed to!!!

You haven't a leg to stand on and any solicitor you approach about this will see pound signs!

mikey72

What's the new car. A stag deer with destroy the front of most.

dunstonh

My question is really to ask, has anyone ever been taken to court for not paying up the whole premuim after a policy cancellation and will I eventually have to pay for this, how many red letters will I get?

Yes. Insurers will refer your case to a debt collection agency. You have used a credit agreement to pay your premiums as well. So, they will destroy your ability to get credit in the process as it will show as arrears initially and then default.

It will also be recorded on the insurance database and you will find it very difficult to get insurance in future or at least have to pay a heck of a lot more as many insurers will refuse to offer cover to someone that has defaulted on their commitments.

Anyone had similar concerns with cancellation of Directline policys and how legal is legal in the sight of the law

Yes. Loads have had similar as its standard. You made a claim on the policy during the term of the policy. It paid out and did its job. The fact your borrowed money to pay the premiums is a risk you decided to take.

Depite the small print I am a little reticent to pay without a fight!

You dont have a leg to stand on and the insurer are doing nothing wrong.

ihateyes

Direct Line paid up, now you gotta pay up........
and i hope you disclosed your car had just been in an accident

Bangton

Think about it logically...if we could all take a policy for 5 months, claim and then not pay the rest of the annual premium (which has been calculated based on the event of you making a claim)..insurance companies would be bust and you would never be getting a pay out in the first place! Pay it and stop being so cheap...either that or withdraw the claim!

vax2002

"please return the policy document"

ERR NO....

FinGaTipZ

Thanks peoples....you are all so informative - I'll pay in a day or so but I will not be using Direct Line for insurance in future - shame

scottishblondie

FinGaTipZ wrote: »

Thanks peoples....you are all so informative - I'll pay in a day or so but I will not be using Direct Line for insurance in future - shame

All insurance companies have the same rules on this matter, so if you were happy with them as far as everything else is concerned, there is no point in holding this against them.

raskazz

vax2002 wrote: »

"please return the policy document"

ERR NO....

It doesn't say that. It says "please return the certificate". This is a requirement under Section 147 of the Road Traffic Act.