cancelled insuance - time and cover

tir21

I cancelled my car insurance after 76 days. The broker has said the underwriter has charged time and cover plus £25 cancellation fee

However after doing some calculations I seem to be paying more than the 76 days I was covered for

When I pointed this out to the broker they said I had been charged extra via something called short term cover rate.

Should I just have to pay for the days I was insured plus cancellation fee?

It also seems a bit rough having to pay 2 cancelation fees. I paid 243 pounds and after cancelling after 76 days I get 45 back.

Thanks

InsideInsurance

Ask them to provide a full breakdown of the cost and if you arent happy with it complain and if you arent happy still then take it to the ombudsman.

The £25 cancellation fee is low, most are around £50 and you can also get a similar charge as a commission clawback from the broker themselves but time on cover appears to be over 3 times what it should be

forgotmyname

You are probably being charged the short term policy rate not the 12 month rate.

Nodding_Donkey

Seems reasonable. £25 as a cancellation charge is well cheap and charging for time ON cover at short term rates is normal.

arcon5

The policy documents usually always have the refund policy and state exactly what you'd get back