Quick cavendish question

alfiesmum

Hi everyone,

What happens to the fee paid to Cavendish if a premium quote comes back higher than originally quoted, and we no longer wish to take out the policy? Or if we just decided against insurance?

I have spoken to an advisor today and she told me that only half would be refunded - does this seem fair? They don't appear to have done any work for us - not even had a single email update and its been going through since 18th Jan.

The £45 would be missed if I'd paid it out for basically nothing.

I can't find any mention of it on their website, could anybody point me in the right direction please?

Thanks.

peterg1965

It doesnt seem fair when, if you took the alternate option of a commission based quote, and then decided against accepting the policy Cavendish wouldnt receive a penny. I suppose it is a case of reading the small print on Cavendishs' T&C's.

dunstonh

I have spoken to an advisor today and she told me that only half would be refunded - does this seem fair? They don't appear to have done any work for us - not even had a single email update and its been going through since 18th Jan.

They still have compliance work to do as well as admin. Going fees does incur the risk of something like this happening and it isnt Cavendish's fault that you are not proceeding.

alfiesmum

dunstonh wrote:

They still have compliance work to do as well as admin. Going fees does incur the risk of something like this happening and it isnt Cavendish's fault that you are not proceeding.

I didn't realise I said it was their fault..?

But then it's not our fault either. I'm yet to find where in the terms and conditions it states that our fee paid is not refundable. I thought the fee was for arranging an insurance policy for us, which it is looking doubtful that they will do.

Many thanks for taking the time to reply, it's much appreciated. Cheers.

pingua

we are just about to take out a policy with them. Do you have any idea why your premium would have changed??? Hope they do not do this to everyone.

dunstonh

Do you have any idea why your premium would have changed??? Hope they do not do this to everyone.

Quotations are based on clean health and class 1 occupations (the latter can vary with providers). If your health isnt 100% or you arent class 1 occupation then the premiums can change. However, that applies to every single distribution channel there is.

I had my compliance inspection this week and when reviewing the TCF requirements on initial disclosure documents and fees, it was made clear that fees are for the service provided and not the product and that the fees are not refundable if you do not buy a product. I instantly thought of this thread when that came up.

So, in this case Cavendish have provided the service and are within their rights to keep the whole fee if they wish.