Cancelling policy before they start, help please

dottyqueen

I have critical illness and life insurance taken out years ago, which is no longer adequate for our needs. Recently had dealing with a broker who cold called me (argh I was sucked in). Anyway he gave me some price quotes on new life insurance and critical illness policy based on a rough estate of what was left on the mortgage. I had said i wanted a decreasing policy on both. It wasn't till a few days later i found i had a decreasing life insurance policy. And a second life and critical illness policy for 1/3 of mortgage amount. I don't want two life policies. I rang roughly 2-3 days after first speaking to him to say the figures i gave were wrong the mortgage was £15000 lower and a year shorter on term. He said he would let me know the figures which he hasn't done. He rang to say good news it was all going ahead , we had been accepted that the direct debit would be set up and i could cancel my old policy ( which I didn't as i hadn't had all the paperwork or any actual figures). I still hadn't got new figures so rang him and left a message asking him to ring me back with new figures. The new policy is £ 20 a month more. He did not ring back for a further 10 days meanwhile direct debit was set up and letters arrived saying when monies would be taken. I cancelled everything sent cancellation forms etc . He rang today saying there is an administration fee of £200 pounds.

My question is do I have to pay this administration fee as i did not get what i had asked for . Also the second fees quoted are vastly different for less amount and term , than he quoted.?

Quentin

Read up your agreement with the broker on what happens when you cancel, and take it from there.

(If you didn't agree to pay any admin fee, then don't pay one now!)