car insurance cancellation fees

yogi_brrr

I took out a policy last year with eSure, paying upfront for the whole year. 10 months into the policy I got rid of my car so cancelled the insurance. Just received a letter demanding cancellation fees of approx. £50. I was not expecting this. I was expecting them to deduct the fees from the two months remaining on my policy, and they would refund me the difference. But now it seems I owe them ! I would have been better off if I hadn't cancelled !? I could kick myself right now. I suppose cancelling the cancellation is out of the question at this stage isn't it ? :O(

wealdroam

yogi_brrr wrote: »

I suppose cancelling the cancellation is out of the question at this stage isn't it ? :O(

Why don't you ask them?

Be prepared for "re-setup administration fees" though.

yogi_brrr

yeah, wouldn't surprise me

stevemLS

If you cancel part way through you get charged short-term rates which are more expensive than for annual policies.

So, no refund of premium will have been due and they will have detailed a cancellation/change fee.

They are sneaky sods.

InsideInsurance

When you phoned them to cancel the policy did they not advise you of the fee/ what return premiums there were etc at the time?

Quentin

Them charging a fee if you cancel should be set out in the policy docs.


If not you have grounds for complaint. See the policy docs for their complaints procedure.


If you are unhappy with their reply to your complaint you can escalate it to the FOS for their adjudication (all at no cost to you)

yogi_brrr

InsideInsurance wrote: »

When you phoned them to cancel the policy did they not advise you of the fee/ what return premiums there were etc at the time?

Yes, they advised that there would be a fee (as broker) and that the insurer (Highway) would also charge a fee, but I honestly took it for granted that the fees would be greater than the remaining time left on my policy. :mad: