Scotland- unexpected debt while bankrupt

skintscottishgirl

Hi,

I was made bankrupt in May this year, however recently i had an accident in my car and it was written off. I cancelled my insurance but i have now recived a demand for the arrears outstanding for the rest of the year £168.00. So what should I do? Surely if I cancel my insurance i am no longer insured, there fore I should not have to pay?

Thanks

Ineedaname

It looks like your insurer has a clause for penalising you if you cancel the policy during the insurance year. Check your policy documents for clarification.

Hopefully you will be able to challenge their calculation and only pay a penalty of a month or two's premiums.

kepar

Did you claim on the policy? If you did, or the third party you are liable I believe to pay the full year. Also the company can apply a cancellation clause.

alastairq

A question........


Insurance premiums are calculated, and applied, prior to commencement of cover.

The premium is paid up-front.

[unless instalment arrangements are agreed...usually with interest payments attached].

If the policy was commenced prior to BR, surely any demand for additional [ie unpaid] premiums is effectively a proven debt?

After all, it works for mortgage shortfall, and council tax...so why not insurance premiums?