Refusing to provide proof of No Claims Discount

Kieron26

Hello,

I have been with my insurance company for 1 year and 4 months.

I had a years policy with them that was paid for monthly and was completed and paid fully.

I decided to renew with them as I still had the Peugeot hence the 4 months

I sold my Peugeot and bought an Astra which had a bigger engine.

They wanted a huge amount to change to this car so I cancelled the policy and went into a payment arrangement of £20 per week to clear the £125 cancellation fee and started a new policy with a new company.

The new company have asked for proof of my 1 years NCD and I only have so many days to provide this.

I called old insurer and they said until my cancellation fee was paid in full they will not send me my proof of NCD.

My argument is that the first year policy was a completely different contract and is now finished and paid up fully, hence me renewing with them.

I could understand if I was only 4 months into a policy then it is obvious I would not be entitled to proof of NCD for a year.

The fact that the cancellation fee applys to the 2nd year contract of insurance how can they be refusing to give me my NCD for the first year.

I'm in a desperate rush to get the so please can anyone help me as I cannot afford to have my insurance cancelled having just paid a £187 deposit and need the car to travel 22 miles to work each day.

Whilst on the phone I asked them to put it in writing to me via email, below:

"Dear Mr Theed,

Further to our telephone conversation today, I am writing to confirm that until the outstanding debt is cleared on your policy that we cannot release your no claims bonus confirmation. This is also stated in our terms of business.

If you have any further queries please do not hesitate to contact us on the details below.

Kind Regards,
Bryony"


Thank you in advance

dacouch

How many payments have you made on the payment plan?

I assume it's one or none

Kieron26

Hi DaCouch,

I am due to make first payment on Friday when I get paid.

I feel though the its irrelevant as this cancellation is for the second policy. I am asking for the proof from the first year.

AdrianC

They're not denying you have the NCB. They're just saying that they won't consider your current policy closed - and the bonus "freed" - until you've finished paying what you owe on it. Until that policy's "closed", the bonus is still in use on it. You can't use bonus on two policies at once. Never have been able to, unlikely you ever will.

dacouch

As you have not made a payment they're worried about getting their money.

If they have some way of guaranteeing the money they may play ball.

Do you have someone who could pay all of the money on a card, alternatively if you have someone who could pay £60 or £70 of the money and you agree to pay the balance they may agree.

Be friendly and polite with their staff and explain the problem you're in and ask for their help or suggestions.

Kieron26

I asked them for a letter to show my new insurance company and they said they won't give me it until I pay the remaining balance.

katielouisej

Do you have a previous renewal letter? It'll be on there (:

Kieron26

http://www.markerstudy.com/pdfs/tobA/The-Insurance-Factorys-TOBA.pdf

It does state about no claims bonus in two parts. Surely this must only apply to the current contract between me and them. I'm asking for April 2013 to April 2014 so that policy is complete.

AdrianC

Again (since you seem to have ignored post 4) - yes, that policy IS complete. But that's irrelevant. Nobody's denying you earned that bonus.

BUT - and this is the important bit - the NCB you earned during that policy is currently in use on your 4/14-on policy. Until you pay the cancellation fee, they're regarding that policy as ongoing, so won't release the NCB - so it isn't currently available for your new policy.

You earn one "set" of NCB, you can only use it on one policy. You can't use it on two policies - and, until you complete the cancellation of this 4/14-on policy by paying the cancellation fee, that's what you're trying to do.

bugeyed

£125 cancellation fee ?? wow they saw you coming a long way off

oh and AdrianC is totally correct

dacouch

AdrianC wrote: »

Again (since you seem to have ignored post 4) - yes, that policy IS complete. But that's irrelevant. Nobody's denying you earned that bonus.

BUT - and this is the important bit - the NCB you earned during that policy is currently in use on your 4/14-on policy. Until you pay the cancellation fee, they're regarding that policy as ongoing, so won't release the NCB - so it isn't currently available for your new policy.

You earn one "set" of NCB, you can only use it on one policy. You can't use it on two policies - and, until you complete the cancellation of this 4/14-on policy by paying the cancellation fee, that's what you're trying to do.

I doubt it's being with held due to the no claims bonus being used on the policy in question and / or being used twice. After all the OP is being asked to pay a cancellation fee which is raised when a policy is cancelled