Car Insurance - Premium Doubled

Fargo1

Hello all,

I thought I'd ask this question here, as my other half has got herself into a bit of a mess with her car insurance. She has certainly messed up a little, but I was a little surprised at the consequences and so wondered if there was anything she can do.

She took out a new policy in August last year with Asda, paying monthly. A couple of months into the policy, Asda wrote to her asking for proof of her no claims bonus (she has two years). For reasons known only to her, she did not provide this straight away. After a delay, she contacted her previous insurer (Elephant) who told her Asda could get the information directly from them. She then informed Asda of this.

Yesterday, she informed me that she was shocked to notice her monthly insurance payment had rocketed from £52 to £135. I went through her statements with her and it appeared this £135 payment had been taken each month since December. Upon querying this with Asda, they informed her that due to non-disclosure they had upped her premium from around £570 to nearer £1300. They claimed she was informed of this by e-mail, however she claims to have never seen the e-mail (no idea this would have gone into a spam filter etc).

So, she has now cancelled the Asda policy, paid the cancellation fee and taken a policy with a new insurer. Is there anything that can be done with regards to claiming any money back, or making a complaint about the hike in premium? Or is this just something she'll have to take on the chin and learn a lesson from?

Many thanks.

Quentin

She should disclose whatever it was she did not do to Asda to her new insurer, otherwise the same issue will arise again.

Depending on what it is she is not disclosing other insurers may not just allow her to cancel, but take action themselves.

Fargo1

Quentin wrote: »

She should disclose whatever it was she did not do to Asda to her new insurer, otherwise the same issue will arise again.

Depending on what it is she is not disclosing other insurers may not just allow her to cancel, but take action themselves.

As mentioned above, it was her proof of no claims. Believe me, I've already made sure her new insurer has already been sent this.

My question is around the upping of the premium on her previous policy. Is this the common thing to do? She feels, as do I, that at the very least a letter would be expected to say the premium would be more than doubling as a result. Is an e-mail considered sufficient in these circumstances?

As I say, if it's entirely her fault and there's nothing she can do, so be it. She was slack over something and it has bitten her. I'm just a little surprised myself at the hike in premium, changing of monthly payments and lack of communication.

newbie1980

i cant see why you cancelled the asda policy
would they not have acepted it was a mistake by yourselves and allowed you to produce the correct info

forgotmyname

The next insurer may cancel the policy instead of increasing the premium.

Failt to spot that one and it could end in tears, Car impounded and 6 points.

What was the undisclosed issue? Accident or points?

thegirlintheattic

Non-disclosure is not not providing them with NCB. What is she hiding? Accidents? Convictions?

Quentin

Fargo1 wrote: »

As mentioned above, it was her proof of no claims.......

The OP says they put the premium up due to "non disclosure".

This would tie in with the increase.

(2 years NCD won't reduce the premium from £1300 to £570!)

Has she convictions and/or claims/incidents she hasn't disclosed?

Fargo1

Allow me to clarify:

Asda upped the premium purely as a result of her failing to provide proof of no claims. Apologies if I used the wrong terms to describe this, but Asda said over the phone they considered not having provided this proof to be "non-disclosure" - I was on speakerphone during the call.

She has no other convictions, points or undeclared accidents. There are no undisclosed issues.

Asda would not reduce the premium, so the only option was the cancel.

Quentin

You need to get this clarified.

The difference in premium they made equates to around 56%. Asda won't be normally allowing such a large discount for just 2 years ncd.

Ask them to itemise the increase and take it from the reply.

dacouch

Send Asda proof of the no claims bonus, ask them to amend the policy and refund you and reduction in premium.

Your new Insurer will want proof of no claims bonus from Asda and not from Elephant so doing the above will produce no claims bonus acceptable to your new Insurer. Not doing the above could cause similar problems with your new Insurer