Car insurance cancelled/terminated

markrc_2

My new insurance company (Zurich) requested an explanation as to why I'd requested quotes in the past using a different purchase date for my vehicle (I don't have a clue why, probably a typo years ago on a price comparison site). Underwriting also instructed me to send on copies of:

• Purchase receipt
• V5
• Driving licence
• Proof of NCB

Due to being busy/away I didn't get to contact them until the day before the deadline set out. I rang them to inform that my licence is lost so they granted an extra two weeks for that.

The next day (deadline day) I sent an email with the requested docs. Unfortunately in my haste I sent it to ...@zurich.o.uk rather than ...@zurich.co.uk

Fast forward 5 days latter I received an email stating my policy has been cancelled (5 days previously)!

Upon figuring out my mistake with the email address I contact them, but they seem unmovable on the fact the policy has been cancelled and that's the end of the matter.

Two issues are, firstly I was driving around for 5 days unaware I had no insurance. But more worryingly now, I've now got to disclose to insurance providers that I've had a policy cancelled. This means half of them wont touch me leaving me with policies double the price. I'm being treated like a fraudster. As far as I can make out this situation is now for life!

I've sent an email of complaint in stating that I don't feel like they've acted withing the FCA guidelines of treating customers fairly (on three points).

I however have a horrible feeling that they won't budge on this.

I've already been taking this up with them for the last two days, and now it'll be a good day or two into next week before they respond. Meanwhile I have no insurance so can't drive my car.

Has anyone had a similar experience... do you really have to declare when taking out any form of insurance you've had a policy cancelled in the past? This could have serious implications.

Quentin

markrc wrote: »

... do you really have to declare when taking out any form of insurance you've had a policy cancelled in the past? This could have serious implications.

It would have serious consequences if you didn't declare this.


It would come to light (either soon after starting the policy if the insurer checks every application or (worse) after a claim when the claim would be rejected (or in the event of a third party claim, paid out but then you chased to reimburse the insurer).


You would also get the policy cancelled, meaning 2 cancellations on your record!


In your situation, you say you have sent in a complaint. After they respond to you (or 8 weeks, whichever comes sooner) you can escalate to the FOS (not FCA) for their adjudication at no cost to you.


This can be a very long process so in the meantime you will have to find someone to cover you, assuming you need to be on the road.


See if a local broker (not Swinton) can help with a better quote than you have been getting

Aretnap

Small consolation I know but there are mainstream insurance companies (Direct Line spring to mind) who only ask if you've had a policy cancelled in the last 5 years, so if the worst comes to the worst and you don't get this overturned the situation is not necessarily for life. That said very many insurers do ask if you've *ever* had a policy cancelled, so you'll have to read the questions carefully.

sh0597

Remember to SORN it and leave it off road if you are going to leave it uninsured.

mills705

Using different information with the same name etc can trigger anti fraud mechanisms which insurers have in place.
A year or purchase is asked as they can give you a discount based on how long you have had a car for. An experience discount so to speak.

They gave you extra time originally.... then as you didn't respond within the correct time frame. Granted it was a mistake. How were they to know? As it wasn't received. Many insurance companies can't reverse a cancellation once the policy is cancelled then it's cancelled there is no undo button.

I don't see what they did wrong or how they didn't treat you fairly?

InsideInsurance

mills705 wrote: »

Many insurance companies can't reverse a cancellation once the policy is cancelled then it's cancelled there is no undo button.

Never come across an INSURER that cannot, after all insurers do make mistakes occasionally and so need to be able to resolve those sorts of problems. Brokers are slightly different as they dont have ultimate control of the policy.