struggling to get car insurance since being on IVA

MummysBoy

Hi there,
I recently used comparison site to search for car insurance. Performance Direct quote came out the cheapest at £27 monthly or £244.24 and when i phoned to buy I was told that we couldn't set up monthly direct debit payments with them because we have an IVA. They would only accept payment in full!! My mum kindly sent me a cheque for the full payment and I phoned back Performance Direct yesterday to pay for the insurance. They said their underwriter Highway, part of LV, wouldn't cover us and they would phone this morning after asking other underwriters. I had to keep phoning Performance Direct. They wouldn't phone me like they'd agreed. They basically said none of their underwriters will cover us. At the same time, I found SIS in Manchester online, who are supposed to insure people who are bankrupt or on IVAs. They have quoted me £500!! :-0 Can anyone please advise us on what to do?? Thanks in anticipation

hamsterfan1

it'd my belief that you can't have credit whilst in an IVA so can't pay monthly - although I may be wrong . You should have no problem paying in full

mwarby

If you can try and save 30 a month into a savings account, come next year you can pay it one and have more choice

ilikewatch

My IVA recently ended after 5 years, I had no problem obtaining insurance and have always paid monthly. The companies I've used are: Tesco, Autodirect and Hastings. The only issue I've encountered which *may* be IVA related is that Co - operative insurance declined to quote and I can't think of any other reason why this might be.

I found very few car insurance companies who even asked whether I was in an IVA (though more home insurers did ask).

The terms of most (not all) IVA's allow you to have up to £500 credit without needing to get permission from your supervisor.

LoveLifeAgain

I thought that paying for motor insurance monthly was not credit. You pay for the month ahead and if you don't pay any more you are not insured so no debt, just you running around uninsured. Bit like paying rent, but I could be wrong.

tberry6686

LoveLifeAgain wrote: »

I thought that paying for motor insurance monthly was not credit. You pay for the month ahead and if you don't pay any more you are not insured so no debt, just you running around uninsured. Bit like paying rent, but I could be wrong.

Afraid not. You are buying an annual policy and are given credit to allow you to pay monthly rather than one lump sum.

mwarby

My IVA was £500 without permission from supervisor(ie the licensed insolvency practitioner). With my IP I would have been very surprised if credit for insurance was not approved(ie allowed to take if offered, doesn't mean someone has to give me credit)

debtfree2016

I've never had a problem with Insurance, in effect its not credit. If you fail to pay you're not insured' nice and simple. Try going direct with an insurance company rather than a comparison site. I'm with Swinton, best of luck.

adyj73

How bizarre. I never had any issues at all with home or car insurance whilst I was in my IVA and still got great deals.