Car insurance - Does a reinstated lapsed policy count as cancelled?

X-Ray

Afternoon all, this is the first time on this site, so if not in the right place I apologise!

My problem is this:

Background
Due to an administrative error on my part documents pertaining to an imported vehicle didn't make it to the insurance company and the policy lapsed, I was working away and didn't receive the correspondence. I subsequently received a FPN and 6 points. (This isn't the issue).

The policy was reinstated as soon as I was stopped and my car recovered the following day and insured (and renewed) with the same company.
The next year I changed insurers and due to the logic that the policy had been renewed I didn't count it as cancelled and got insurance with another company. I then claimed on this policy, and read up on the subject on various websites. I realised I may had been wrong when stating that the policy hadn't been cancelled. I immidiately contacted my insurer who asked me to write a letter explaining my circumstances. They were more than helpful and stated that the underwriters would continue to insure me and I was only required to pay an admin fee (£25). My claim was also paid.

Present day
I've just had my points scrubbed from my license, and am looking to forget this nightmare of the last 4 years.
I never really got an answer from the insurance company as to whether they thought it was cancelled, just that it would continue as normal. I am looking to get insured on my missus car as a named driver, my issue is, I'm loathed to speak to my missus' insurance and explain in case they decline me and that's another thing to worry about.

Does a reinstated policy count as a cancellation?
Who is best placed to offer me a definitive answer, the original insurance company?

Many thanks.

InsideInsurance

Lapsed and cancelled are two separate things.

Lapsed is just it coming to its natural end, ie typically in 12 months time from the date of inception.

Cancelled is where its terminated mid way through, when an insurer does this it is typically done for breach of contract/ fraud etc (eg not providing documents in timescales, non-payment, fake claim)

You can also get a concluded policy, which is where a total loss is paid out and so there is nothing left to be insured or in some otherway the things its covering is over.


You say they lapsed the policy, did you mean that, ie it simply didnt renew at the end of the agreed insurance period or that they cancelled it for you not providing the docs?

Quentin

It looks like you do have a cancelled policy on your record. Assuming you wrongly used the word "lapsed" in paragraph 3 of your OP.

This does have to be disclosed for ever more, though as you have found out it depends on individual insurers how they deal with it. (Your insurer made no premium adjustment, but charged you a mid term admin fee for not disclosing this when originally completing your application).

I've just had my points scrubbed from my license, and am looking to forget this nightmare of the last 4 years

Although the points are "scrubbed" after 4 years, you must still disclose the conviction to any insurer you approach for a quote (insurers require details of convictions over the last 5 years)

X-Ray

Quentin wrote: »

It looks like you do have a cancelled policy on your record. Assuming you wrongly used the word "lapsed" in paragraph 3 of your OP.

Although the points are "scrubbed" after 4 years, you must still disclose the conviction to any insurer you approach for a quote (insurers require details of convictions over the last 5 years)

Yes they stopped the policy mid term and i was required to restart it.

As for the points, of course they need disclosing, but thankfully my policy renewal is after the date of the offence!

It really has been a real pain in the !!!! and cost a lot of money. I'd recommend anyone to be ultra anal about insurance admin!

System

If a policy automatically ceases because some condition is not met, is that lapsing or cancellation?
Arguably you can't cancel something if it is already set to self-end.

InsideInsurance

Clifford_Pope wrote: »

If a policy automatically ceases because some condition is not met, is that lapsing or cancellation?
Arguably you can't cancel something if it is already set to self-end.

Its a cancellation as the original term was a normal 12 months and it was terminated early due to the OP not providing documents when requested.

If they had been given a short policy initially with a view that this would be renewed or extended if documents are provided then this would be a lapse if those documents were never provided.