Help! - Being chased for 3yr old "debt"

Ssl22uk

Hi,

I'm really not sure what to do in this situation and wondered if people could point me in the right direction.

I had a motorbike insurance policy 3 years ago, however the bike was taken off the road and I SORN'D the bike and put it up for sale as I was moving. I only had 30 days left on the policy and I kept it running for the no claims.

A short while after the insurance company contacted me to advise that I had a new policy that I needed to pay for. I disputed this and advised them that it had been SORN'D and sold. The kind man on the phone advised me that you can't insure a bike that has been SORN'D as it was not legally allowed to be on road. I advised them of my new address and that seemed to be the end of that matter since they never called back nor wrote and the bike had a new owner at this point.

Today I have received a letter off a debt recovery company demanding the full premium of the bike policy almost 3 years after I had taken out the 1st policy.

After reading my old policy (which I had filed away) it turns out that the policy automatically renews. However I had no idea that this would happen and any renewal letters would have gone to the old address. The company are aware of this and I really don't know where I stand on the matter.

I really want to sort this matter out and wondered if anyone had any advice.

Kind Regards
Shaun[FONT=&quot][/FONT]

System

After reading my old policy (which I had filed away) it turns out that the policy automatically renews.

combined with

However I had no idea that this would happen

says it all

You need to talk to the insurance company nicely. It is obvious that you never cancelled the policy however if you can prove to them that you sold the vehicle then they may be willing to take a reduced payment.

forgotmyname

They can chase debts for 6 years. They can take you to court right upto that point
if they think they have a chance of you paying them.

After 6 years its statute barred and they cannot take you to court.

Even after 6 years though its not unknown for dodgy companies to claim they own the debt and that you must pay. They can harass you for years.

But have you had insurance since? This maybe on record as them cancelling your insurance for non payment and if you have not declared that you need to notify your new insurers. Explaning you knew nothing about it until now.

Phone, Be nice and grovel a bit.

jamhun

Even though it was an automatic renewal, they would still have sent you a letter just before the renewal date to give you the chance to refuse the renewal.
Can you remember receiving such a letter?

James

societys_child

jamhun wrote: »

Even though it was an automatic renewal, they would still have sent you a letter just before the renewal date to give you the chance to refuse the renewal.
Can you remember receiving such a letter?

James

Did you not read the op's post?

However I had no idea that this would happen and any renewal letters would have gone to the old address

Ssl22uk

Hi peeps,

Thanks for all of your replies. I know that I'm the one in the wrong as per the contract. I'm merly looking for a best resolution.

I've looked into it and I think the best route is to get the debt company to hand it back to the company and deal with them directly. The adviser is right you can't insure a bike if it's SORN'D. So i'm going to get a copy of the sorn and hopefully get the amount reduced.

OFCOM ruled against BT for auto contract renewals and I think it's about time someone came down on the insurance sector for doing the same. :T

forgotmyname

Then everyone will complain they got stopped for having no insurance. And now dont have a car as it was impounded.

Why didnt the company notify them.

All it takes is 1 phone call to cancel and 1 letter to back that up and its sorted.



You should

vaio

ssl22uk wrote: »

........The adviser is right you can't insure a bike if it's SORN'D. So i'm going to get a copy of the sorn and hopefully get the amount reduced.........

That's wrong, you don't have to insure a bike that's sorned but there is no legal reason you can't insure it if you want to

dunstonh

OFCOM ruled against BT for auto contract renewals and I think it's about time someone came down on the insurance sector for doing the same.

More people benefit from it than lose out. The only ones losing out are the ones that dont read their renewals. The FOS has made it clear that the letter must state what happens next clearly.

We have had people post on this forum that they wish they had auto renewal on their policy as they didnt realise theirs had run out and were caught. You cant please everyone.

mikey72

Back to the op's question.

If the company contacted you to state they had renewed your policy, and then you contacted them to state you no longer had the motorbike, and they agreed to cancel the policy from the renewal, advise the debt collection agency you have no debt, and to return the claim to the insurer. (in writing)

It's clear the insurer has your new contact details from previous contact from you.
Ask them why they are pursueing this now when they did not send you a renewal offer, and you previously have contacted them after they renewed anyway and they agreed nothing was due from you.

Send it as a written complaint, if they do not apologise, and cancel any debt, refer it to the FOS.