does distance selling apply to car insurance?

Hariboy

Hello,
I recently bought car insurance off the internet, i have since had to cancel the policy, which i did within 7 days. After reading this site, i noticed a section called distance selling rules which gives you the right to cancel goods or services and get a full refund as long as you do it within 7 days
I had to send in my insurance certificate and have been told that they will refund me my insurance minus the days it has taken for them to recieve the certificate. As there was a postal strike and also possibly delays their end it has taken 2 weeks before they have recieved the sertificate - i also think i am going to be liable to a £30 cancellation fee. Does anyone know where i stand? i don't mind paying for the days insurance as i guess they would have still been insuring me (even though i phoned them up), but don't feel the £30 is justified?

Any clarification out there?

olly300

Insurance policies generally have a 14 day cancellation period.

If there was a postal strike that delayed you receiving or cancelling the policy by as long as you can prove this (i.e. newspaper report, print out of bbc webpage, apology letter from Royal Mail) then if they try and charge you £30:
1. Phone them up and try and get the amount removed
2. If it's not removed follow the company's complaints procedure, enclose a photocopy of the proof of the postal delays and at the end of your letter threaten to take them to the Financial Ombudsman. Send any letters by recorded delivery/fax so they cannot deny receiving them.
3. If after following the complaints procedure they don't refund the money take them to the Financial Ombudsman. It will cost the insurance company more money to have an Financial Ombudsman investigation so they are likely to refund the £30.