Should I cancel my insurance policy

leereni

I am looking at selling my motorcycle, however I am only 9 months into the policy. I am paying by direct debit a small amount of approx. £17 per month.

I have been told if I cancel I will need to pay a £35 fee.

My first question is do I need to cancel the policy or can I sell the bike and let it run out?

Also, if I just cancel the direct debit and not contact the company, will this be a problem?

Sgt_Pepper_2

Keep paying it and gain the full years no claims.

Why risk having the policy cancelled by not informing them?

leereni

Thanks, I was wondering if I was obliged to tell them, but don't have any problem paying the rest of the policy.

Sgt_Pepper_2

The thing is the new owner may want to insure it.

leereni

So what would you suggest?

Are you sure you can't have more than one policy running on a vehicle?

McKneff

leereni wrote: »

I am looking at selling my motorcycle, however I am only 9 months into the policy. I am paying by direct debit a small amount of approx. £17 per month.

I have been told if I cancel I will need to pay a £35 fee.

My first question is do I need to cancel the policy or can I sell the bike and let it run out?

Also, if I just cancel the direct debit and not contact the company, will this be a problem?

A cancellation fee is quite normal, £35 isnt too bad really.


Dont cancel the DD, you are only instructing the bank, the insurance company need to know, otherwise they will just keep chasing you for the money. The bank has no obligation to tell them the DD has been cancelled.

leereni

Thanks McKneff....

If I don't cancel the direct debit then and keep the policy, will that be a problem?

forgotmyname

It maybe if someone makes a claim for the bike and its showing as insured in your name.

rxbren

if possible you should hang on to the bike till the policy runs out you wil be better off with a full years no claims as you will have to cancel the insurance if you sell it

Tobster86

I'd give the insurance company a call and tell them everything; considering selling the bike, don't mind paying off the policy to accrue a year of NCB, etc; and see what they advise.

tim9966

If you are getting a new bike now then just transfer the policy.

If you are planning on getting a new bike in the next 2 years I'd just let it run out now and you will have an extra year no claims.

If you are not planning on getting another bike then cancel it now.

It should be possible for a new owner to insure it as well. I think if the new owner did need to make a claim that only they could as they have the lastest policy. (I'm not 100% on this) I wouldn't just cancel the direct debit in case they start chasing you for a missed payment.