Onesure insurance cancelation

luaive

Hi, my husband took out a policy (traders car insurance) on 23rd august, then decided it wasn't what he wanted and cancelled it on the 4th September (13 days) they have now sent him a letter (after he paid 200 quid to cancel) saying he owes another 44.73 this is the breakdown in costs


Insurers charge for time held on cover 61.89
Arrangement fee 50.00
direct debit arrangement fee 12.50
loss of commission charge 183.06
total 244.95


Now I am under the impression that you are allowed 14 days cooling off? And yes they can charge a SMALL fee but I don't see how 244.95 for a week of insurance is a small fee! Is it right that he had/has to pay this amount? Because he is within the cooling off period.

Quentin

I doubt they will have said in their ts + cs they merely charge a "small" fee when cancelling!


Read up all the conditions that were agreed when he took out the policy and see what happens when you cancel. If they have made incorrect charges he should dispute them by way of a formal complaint.


But when you use a broker there are often 2 sets of people to be paid when you cancel - the insurer and the broker.

InsideInsurance

luaive wrote: »

Now I am under the impression that you are allowed 14 days cooling off? And yes they can charge a SMALL fee

Yes, you are allowed to cancel in the cooling off period and indeed you have been allowed to cancel.

There is no stipulation on what the size of the fee they charge is but as per standard contract law it must be proportional to the cost they have incurred.

If you arent happy then complain and, assuming the business is small enough, take the matter to the Ombudsman if you are still not happy after the brokers response.

luaive

The broker has just sent a letter to say thanks for cancelling, no fees they don't charge within the 14 days, all the charges are from Onesure.

Quentin

One sure are brokers.

Who presumably lost their commission?

InsideInsurance

Quentin wrote: »

One sure are brokers.

Who presumably lost their commission?

One Sure, I believe, are similar to Towergate in that they are an intermediary in addition to being a broker and so have MGAs with certain insurers or panels of insurers and bespoke wordings/pricings etc that are sold via other brokers.