Recently paid 1yr Insurance - But Failed MOT 2 months later

00nnewbe

Hi All,

I renewed my Car Insurace 2 months ago paid in full for the year.

Recently just had my MOT done and I basically got a DNS (Do Not Resuscitate) from the Mechanic.

My car is only worth 150 quid and to fix it will cost £500-£1000 so essentially its a write off.

I won't be able to afford a new car for a good 6 months.

I was wondering if you can get your money back from the Insurance Provider if you no longer have a car inside your policy dates?

Alter_ego

You'll probably get some back, after cancellation fee, admin fee, short term rates applied etc.

dannyrst

ring your insurer. They may put it on hold for a number of months.

societys_child

I was wondering if you can get your money back

Have a look at the policy booklet (cancellations section) it may detail how much rebate you can expect after 2 months use (it'll be much less than 10 months)

agrinnall

Is it not the case that premiums have to be returned pro-rata? So if the OP has used 2 and a bit months the basic calculation will be to return 9/12ths of the total premium, but then charges will be deducted from that before actually refunding what's left.

engineer_amy

agrinnall wrote: »

Is it not the case that premiums have to be returned pro-rata? So if the OP has used 2 and a bit months the basic calculation will be to return 9/12ths of the total premium, but then charges will be deducted from that before actually refunding what's left.

That's the way I would calculate it and what I would expect back, but we all know that insurance companies tend to make up the rules as they go along.


OP check your policy documentation for the termination/cancellation section and see if it shows a rebate schedule and any applicable fees. Otherwise call them and see what they say - its possible they will have cancellation fees, admin fees, end of insurance fees, bank transfer fee for transferring the refund.....

mrmot

agrinnall wrote: »

Is it not the case that premiums have to be returned pro-rata? So if the OP has used 2 and a bit months the basic calculation will be to return 9/12ths of the total premium, but then charges will be deducted from that before actually refunding what's left.

I always thought that you took insurance out for 12 months at a time, Whether you pay monthly or in one go, your contract is to have it for 12 months.

agrinnall

mrmot wrote: »

I always thought that you took insurance out for 12 months at a time, Whether you pay monthly or in one go, your contract is to have it for 12 months.

Yes it is, but if the policy allows for cancellation (I've no reason the think that's not standard) then you only pay for the period when you were on cover.

motorguy

agrinnall wrote: »

Is it not the case that premiums have to be returned pro-rata? So if the OP has used 2 and a bit months the basic calculation will be to return 9/12ths of the total premium, but then charges will be deducted from that before actually refunding what's left.

No.

You buy a year long contract, not a monthly one.

motorguy

engineer_amy wrote: »

That's the way I would calculate it and what I would expect back, but we all know that insurance companies tend to make up the rules as they go along.

They dont make it up as they go along, it will be clearly defined in the policy booklet.

Rolandtheroadie

Alter_ego wrote: »

You'll probably get some back, after cancellation fee, admin fee, short term rates applied etc.

This is my experience of cancelling mid term, in my case, it cost the full premium.

OP, if you scrap the car, I'd be tempted (as long as I knew the car would definately be getting crushed) to leave the policy running and call up to change vehicle when I got my next car.