SWINTON - automatic renewals

ellbee_3

hhmmmm so advice please, I had a one year bike insurance with Swinton Insurance fpr 2014 / 2015 -
when my mum died at the end of 2014 I didn't need the bike or insurance anymore, but paid the balance to the end of the contract in 2015. I then discovered that Swinton Insurance had automatically renewed it for 2015 / 2016 . I complained and said I didn't sign up for 2015 / 2016, and i did NOT choose to opt in for automatic renewal. they said I couldn't cancel and had to pay . I said no ... lots of to-ing and fro-ing but in the end the 'supervisor' said they would re-claim the premium from their 'under-writers. I said OK .
another few weeks rolls by and then I get another letter from Swinton saying pay us for insurance 2015 / 2016. I wrote a letter back saying NO explaining the circumstances and the discussion that had taken place by telephone. More weeks later and I now have a letter from a credit agency saying they will take me to court on behalf of Swinton ... can this be right - how can i be sued for something I haven't used - it's not even the end of 2015 yet ?? ??
it seems absurd to me ... Please share and see if anyone can advise.

dunstonh

More weeks later and I now have a letter from a credit agency saying they will take me to court on behalf of Swinton ... can this be right

yes it is right.

how can i be sued for something I haven't used - it's not even the end of 2015 yet ?? ??

The letter with the renewal notice tells you what to do if you do not wish to renew. You didnt tell them that you were not renewing. So, the policy auto-renewed as they said it would in the letter.

I complained and said I didn't sign up for 2015 / 2016, and i did NOT choose to opt in for automatic renewal.

You agreed to auto-renewal when you bought the policy.

Your best bet is to complain and hope they waive the charge as a goodwill gesture. However, to avoid this in future, read your renewal letters. It is not hidden in any small print. It will be in the main letter content.

GingerBob_3

Auto renewal is a scam. Yes, I know it's in the T&Cs and people should read them. But most people aren't T&C train-spotters and simply don't. The insurance industry (and I use the term "industry" loosely here) realise this and take advantage of it. Their tack is that they are saving you from your own stupidity in failing to re-insure, thereby fending off those bloodsuckers at the DVLA. Well, that's their excuse. It's utter claptrap of course. They don't care in the least if you're uninsured. They are simply taking advantage of the situation known as inertia selling.


It's about time they were forced to make auto-renewal opt-in.

dacouch

Send Swintons a letter headed "Official Complaint" they're duty bound to properly investigate your complaint and reply to you within eight weeks.

They also have to stop chasing the debt whilst dealing with the complaint.

Keep your letter polite, concise and stick to the facts. Try to keep emotion out of the letter, however I would mention your mother but don't as a reason you were distracted but don't dwell too much on it.

If you sold the bike prior to the renewal, mention this and ideally include proof as this will demonstrate you would not have made a claim.

If the bike was placed on SORN, mention this and ideally include proof.

Keep the letter clear and mention at the end the solution you would be happy with.

You have a reasonable chance of Swinton's refunding all or a significant portion of the premium

dunstonh

Yes, I know it's in the T&Cs and people should read them. But most people aren't T&C train-spotters and simply don't.

On renewals, it is not good enough for them to be hidden in the T&C. It has to be in plain text clearly on the main renewal letter. If not, the FOS will rule against firms. Whereas if it is in the letter clearly they will reject.

Their tack is that they are saving you from your own stupidity in failing to re-insure, thereby fending off those bloodsuckers at the DVLA.

There are posters here who have confirmed that they have benefited from auto-renewal. Most people do renew, so auto-renewal helps. All that said, I personally don't like it.

However, if people are too lazy to read the renewal letter then there is little you can do to protect them.

GingerBob_3

dunstonh - what is your view on making auto-renewal compulsorily opt-in? I'm guessing you're in favour, since you don't like it.

dunstonh

GingerBob wrote: »

dunstonh - what is your view on making auto-renewal compulsorily opt-in? I'm guessing you're in favour, since you don't like it.

I think consistency is needed. So, it should be auto-renewal for all or none at all. Not the mix and match it currently is.

If there is auto-renewal, then there should be a requirement for the provider to have an online method for the policyholder to refuse the renewal without the need to make a phonecall. Some do but many force you to ring.

GingerBob_3

dunstonh wrote: »

I think consistency is needed. So, it should be auto-renewal for all or none at all. Not the mix and match it currently is.

If there is auto-renewal, then there should be a requirement for the provider to have an online method for the policyholder to refuse the renewal without the need to make a phonecall. Some do but many force you to ring.

Thanks. I'd go along with that.