Elephant Insurance Problem

gem4

My daughter is insured with Elephant. She pays the premium in full when it becomes due and has been with them for 3yrs now.

All this month she's been waiting for a renewal reminder so that she could switch, if necessary, as she had got a reasonable quote from somewhere else....around £550 instead of £700. She hasnt to date had either a letter or an email reminder of renewal.

Yesterday I saw on my latest credit card a payment for £818 to Elephant on 1st Sept....this was MY credit card...she doesnt have one. This payment was NOT authorised so I got in touch with my credit card to say so and they have raised a dispute.

In the meantime I rang Elephant to complain about it. He said that their records showed my credit card details as being authorised for continuous payment. I know for a fact that I most definately said 'NO' when they'd asked if they could use my card (as third party) for future payments. I said it wasnt my car, it wasnt my policy and I was only using it at that time to pay the difference for my daughters change of car as they wanted immediate payment. This was back in February. They are refunding the money to my card but he said it would leave my daughter with no insurance.

When I asked why she hadnt had a reminder they said they emailed it to her in August. We didnt have it. That's their word against ours....but odd how all other communication from them turns up in the email inbox. They could have also sent a postal reminder, but he said that she was on paperless billing......this also is bullsh*t as she said 'no' to that when asked too.

I said she'd got an alternative quote but he said that this one is already in force so she would have to pay a cancellation fee and a daily pro rata insurance amount for this month totalling £127 but he said he could go thru the policy again to try to reduce it. He got this to £718 instead of £818.

He's ringing us back on Monday for payment of the new policy after my refund has been paid but said they'd keep her insured till then.
However, I do feel that she has been rail-roaded now into keeping this policy which could not have been renewed automatically if they had not wrongfully retained MY card details and they would then have to wait for some input from my daughter or cancel the policy.

She has not been given time to find alternative insurance and is paying over £200 more than necessary but with £127 to pay if she wants to get out of it and i'm still furious that they took my money without consent.

What can I do next?....I really want to complain loudly about this to someone but dont know where to start.

InsideInsurance

You have to start with complaining to them and if that doesnt get you were you want you escalate it to the FOS.

You seem to suggest that your card was given during a telephone call? Ask for a transcript of that call. I do have to admit that the vast majority of insurers do not give you a choice on the matter of CPA - its a condition of the policy - and so there is no option to say "no" to it if you take the policy but then the call transcript will confirm this.

rs65

When was the renewal date?

gem4

As to the continuous payment, I only used my card as my daughter doesnt have one herself, and he most definitely asked if they could use those details for future payments...to which i said no. The person i spoke to yesterday confirmed that they always ask third party if we authorise future payments and he said the guy who asked me has ticked yes instead of no and also confirmed that it could be verified by the recording of the phone conversation at that time.

gem4

renewal date was presumably 1st Sept as that is when they took the money from my card. The cancellation would be £47 + pro rata cover for the days already covered since then.

gem4

InsideInsurance wrote: »

I do have to admit that the vast majority of insurers do not give you a choice on the matter of CPA - its a condition of the policy -

Are you saying that just because she doesnt have a credit card herself she may not be insured by a company?
Surely as long as they get their money what difference does it make who actually makes the payment. It is after all paid in full each year.

And as my card details are nothing to do with her policy why should they keep them on record, let alone use them without my express authorisation.

Parking_Trouble

I was hoping that this thread would help me with problems insuring my elephant. Sadly not.

mikey72

InsideInsurance wrote: »

You have to start with complaining to them and if that doesnt get you were you want you escalate it to the FOS.

You seem to suggest that your card was given during a telephone call? Ask for a transcript of that call. I do have to admit that the vast majority of insurers do not give you a choice on the matter of CPA - its a condition of the policy - and so there is no option to say "no" to it if you take the policy but then the call transcript will confirm this.

Near enough every policy I've taken out online ask if the card is yours or not.
If you tick no, it tells you it can only use thae card for the one off payment with the cardholders permission.