Cancelled Insurance?

KevinM2k_2

Hi,

Very recently my girlfriend changed her bank account, they informed her they would swap all direct debits over for her so there would be no problems.

Last week, she rang her insurance company to tell them she was changing address and they informed her that they had cancelled her policy due to non payment - The guy down the other end of the phone was VERY rude saying how she must have no money in her account etc and she will have to find insurance elsewhere.

The reason this happened is the bank obviously hadnt changed all the direct debits and therefore the money bounced - it does say in the banks T&C that you should ensure this has happened but she is a doctor so very busy on call and just didnt really have time to check.

He says they sent 2 letters out which she didn't receive, and they didnt bother trying to call her even though they have her mobile number.

My girlfriend is a doctor so she is a respected professional and this really upset her. As she now didn't have insurance, she paniced a bit, got in touch with another insurance company and paid for the years insurance on her card.

I am bothered that she didn't mention to them that she had her old policy cancelled, she didnt realise she had to to be fair - even though as far as i'm concerned they shouldn't have cancelled it without making some kind of contact and they especially shouldnt have been so rude on the phone to cause upset.

Can I ask what people suggest here? As I know that mentioning you have ever had a policy cancelled kind of brands you for life.

Is there a way I can get her out of this mess? I havent mentioned this thread to her as I she will start to worry about her new policy.

Thanks

Kevin

dunstonh

I am bothered that she didn't mention to them that she had her old policy cancelled, she didnt realise she had to to be fair

They tend to have a catchall question that asks "have you ever had insurance cancelled". So, if that is the case, she should state yes.

Can I ask what people suggest here?

She can complain about the attitude of the person. Phone calls are typically recorded nowadays so that should be easy to prove one way or the other.

With non-payment, multiple letters do normally go out. They will normally have copies on file. If the address for these is correct then the assumption is that they would have arrived. Yes, post goes missing. I get wrongly delivered mail every week. However, to expect two letters to be miss-posted is pushing it.

The problem is that she should have complained earlier. Call centre front line staff typically have little or no discretion. Everything is black and white. If she had complained then, then the complaints team could have looked at it and they do have discretion and could have resolved it there and then. Whatever the outcome of any complaint now, the fact will be that she has had insurance cancelled by the insurer. That is not going to change. In the complaint, she could ask for a letter from the insurer acknowledging the issues and that due to the events, it would not be classed as a cancellation by insurer. Whether they will do that or not is anyone's guess. However, she would need to hold onto that letter for life.

KevinM2k_2

I live with her so I can back up the fact she never received any letters, but i guess that is a mute point anyway.

I agree that she should have complained there and then and spoke to a manager but unfortunately she didn't and being stubborn went directly to another insurer on the phone, I have no idea if they asked the cancelled question but I can only assume they did.

Surely they could of contacted her via her mobile or even explained that if she paid the rest of the policy instantly it would be resolved I put this down to bad training with the front line staff, and yes maybe a bit of naievity on my girlfriends behalf but she is only 24.

I am going to write the complaint letter so is there anything in particular I should be saying?

chris-j

Standard advice is to keep first account open till payment taken from new account if possible.
She should check with bank to verify which direct debits transferred and what there process is for informing companies, error may have been insurance companies. With evidence she would be best to try contacting insurance company to treat this as a policy she has cancelled rather than them, this would remove need for her to declare a policy cancelled in future if they agree to this.

thegirlintheattic

Get onto the new insurers and let them know about the non-declaration - otherwise she could have a nasty surprise if she has an accident.

Quentin

KevinM2k wrote: »

- it does say in the banks T&C that you should ensure this has happened but she is a doctor so very busy on call and just didnt really have time to check...........My girlfriend is a doctor so she is a respected professional and this really upset her. As she now didn't have insurance, she paniced a bit, got in touch with another insurance company and paid for the years insurance on her card......Can I ask what people suggest here? As I know that mentioning you have ever had a policy cancelled kind of brands you for life.......Is there a way I can get her out of this mess? I havent mentioned this thread to her as I she will start to worry about her new policy.....

Being a busy doctor is no excuse! (And what is the relevance of her being in a "respected profession".....so was Harold Shipman.)

You know that this cancellation needed to be disclosed, so tell her this!

If she is involved in any claim now (whilst this matter remains on her record), then she will end up being treated as uninsured! (No payout for any damage to her own car and having to reimburse the insurer any payout they make to any third party - could end up bankrupt if she injures anyone!).

So show her this thread - she needs to be worried!!

System

KevinM2k wrote: »

I have no idea if they asked the cancelled question but I can only assume they did.

Not necessarilly. I have just insured a car over the phone and they didn't ask if I had ever had insurance cancelled. They didn't ask if I had any medical conditions either.

mikey72

Clifford_Pope wrote: »

Not necessarilly. I have just insured a car over the phone and they didn't ask if I had ever had insurance cancelled. They didn't ask if I had any medical conditions either.

It'll be filled in as a no on the schedule though.

TSx

mikey72 wrote: »

It'll be filled in as a no on the schedule though.

If the FOS got involved and it's not been asked (upon checking the phone call), even if it is on the statement of facts then they would usually side with the policyholder

McKneff

Clifford_Pope wrote: »

Not necessarilly. I have just insured a car over the phone and they didn't ask if I had ever had insurance cancelled. They didn't ask if I had any medical conditions either.

There will be a letter coming through the post with your policy telling you to check the details.

There will be a question which will be 'have you ever had a policy cancelled' it will be for you to check to see what it is.
Be careful, if you leave it as it is and you have an accident, your claim will be voided because of non disclosure and you will have the devils own job

a. paying for the accident
b. getting any furhter insurance for anything, car, house, credit etc. ec.

vaio

McKneff wrote: »

There will be a letter coming through the post with your policy telling you to check the details.

There will be a question which will be 'have you ever had a policy cancelled' it will be for you to check to see what it is.
Be careful, if you leave it as it is and you have an accident, your claim will be voided because of non disclosure........

If I take a policy out over the phone and having answered all the questions asked I'd have thought that the contract is formed then so I'm struggling to see what weight (legal or FOS) a letter telling me to check the details has.

If I answer all the questions asked then and we agree a price then I don't see how the insurer can subsequently add extra questions any more than I can subsequently add another driver or vehicle.