Cancelling insurance when giving up driving

TomsMom

I'm about to get rid of my car, I rarely use it now and no longer enjoy driving so it's an unnecessary expense.

My insurance is up at the end of June. I've just checked my policy and it says

In the event of the policy being cancelled outside of the cooling off period we will retain a cancellation fee of £35.

I am assuming that this relates to my situation, I've had the insurance with this company for 10 months and I'm just giving up driving altogether, it's nothing to do with me moving to a different company or getting another car.

Would it be OK to just let the insurance continue until June and then not allow the auto renew (I will get written notice of that) or should I inform the company and pay the fee?

ariba10

I see no problem in letting it run out.

Make sure you inform them in plenty of time that you are not going to renew,

topdaddy_2

You paid it all up front? If so you will get a refund for the remainder minus the 35 quid.

molerat

With my insurance £35 would be more than double the remaining 2/12ths premium so I would just let it run.

TomsMom

topdaddy wrote: »

You paid it all up front? If so you will get a refund for the remainder minus the 35 quid.

Yes that's right, all paid in one lump sum last June. As there's only 2 months left I'm not sure there's much to refund. Total cost including legal protection was £175, so if it's done pro rata then 10 months insurance = £145 so only £30 refund and a cancellation fee of £35. Not sure how they would go about it, their system might require you to pay the fee and then they'd refund anything owing, but maybe not worth the bother. It seems easier to just let it run out but I wanted to make sure that it was OK to do this.

jackieblack

molerat wrote: »

With my insurance £35 would be more than double the remaining 2/12ths premium so I would just let it run.

Ditto

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TomsMom

molerat wrote: »

With my insurance £35 would be more than double the remaining 2/12ths premium so I would just let it run.

LOL - cross posted but a similar situation. Thanks, looks like I might let it run then.

Hintza

It was pointed out on another thread recently the downside of not cancelling and that was if the car was later driven with out insurance during the period it was still insured by the OP and was in an accident the OPs insurers MIGHT be liable affecting their premiums for 5 years going forward (might not be an issue if OP doesn't intend to drive again.

OP why not just make use of the last couple of months and go and have a couple of nice jaunts in the car and then market it with a few weeks of insurance still to go?

Joe_Horner

We have a policy running on a car that's been off road (and SORN'd) for nearly 2 years because it's cheaper than laid-up insurance. All it's doing is collecting no-claims

TomsMom

Hintza wrote: »

It was pointed out on another thread recently the downside of not cancelling and that was if the car was later driven with out insurance during the period it was still insured by the OP and was in an accident the OPs insurers MIGHT be liable affecting their premiums for 5 years going forward (might not be an issue if OP doesn't intend to drive again.

OP why not just make use of the last couple of months and go and have a couple of nice jaunts in the car and then market it with a few weeks of insurance still to go?

Because it's been arranged that my car is going in part-ex, along with my son's car, to get a better car for him and his family, and the changeover is imminent. In exchange I get a chauffeur if ever I need one .

arcon5

Joe_Horner wrote: »

We have a policy running on a car that's been off road (and SORN'd) for nearly 2 years because it's cheaper than laid-up insurance. All it's doing is collecting no-claims

So your paying yearly for insurance despite it being SORNed to keep ncb going? And this is cheaper than loosing it?