Home insurance cover.

langmad

Hi Guys,
I hope you can help with my dilema. My current home insurance policy only covers for leaving my home empty for up to 30 days. We are concidering a holiday of 42 days. I telephoned my company to see if I could increase cover. They said no because I have claimed this year and said that if we were to go on this holiday they would cancel my policy! If I was to get another policy from a different company with the right cover and keep my existing policy until it expires in a few months time. Is it legal to do so and if I needed to make a claim and only claimed from my new policy would that be a problem? I do not want my exsisting company to cancel my policy or cancel the policy myself as I believe that both of those options would count against me. Or am I incorrect. What should I do?
Regards

Quentin

There will be no problem in you cancelling your current policy and taking out a new one (though do make sure your new insurer allows t house to be left for in excess of 30 days)

langmad

Hi Quinten,
Thanks for your reply. I have just read that there is a £50 penalty if you cancel your policy. Would it be ok to leave the old policy running?

forgotmyname

If you claimed this year is the full premium due because of the claim?

Will the new company still cover you if you tell them you already have a policy active? Fail to tell them and both policies maybe void.

Quentin

langmad wrote: »

Hi Quinten,
Thanks for your reply. I have just read that there is a £50 penalty if you cancel your policy. Would it be ok to leave the old policy running?

Yes.


The only issue will be if you need to make a claim whilst both are running.


The insurers would then share the cost of the claim (though would sort it out between them)

paddyandstumpy

Quentin wrote: »

Yes.


The only issue will be if you need to make a claim whilst both are running.


The insurers would then share the cost of the claim (though would sort it out between them)

Not necessarily. If one insurer excludes cover whilst the property is unoccupied for more than 30 days; they could refuse a claim whilst the property is unoccupied.
The second insurer would still only be liable for half of the claim, if the property is insured twice.
Most insurers have a wording something along the lines of "If there is any other insurance covering the same claim, we will only pay our share of the claim, even if the other insurer refuses the claim."

Alot of insurers are flexible to longer term unoccupancy, especially for existing clients. However, if they are refusing to cover more than 30 days, they will ask for the policy to be cancelled.
Point to note; if the insurer is asking for the policy to be cancelled, they have to give a pro rata refund; regardless of whether they have paid out on a claim or not. And they can't charge fees, if they are instigating the cancellation.

langmad

So for clarification - What should I do? As I do not want to go away without cover on my property!

paddyandstumpy

Personally, I'd forgo the premium you've paid to this year's insurer and cancel (they won't charge you £50 extra to cancel, they would deduct that from any refund due, and if you've claimed you wouldn't be due anything back anyway), and take out a new policy with a longer unoccupied period. Alot of insurers nowaways offer 60 days, so it shouldn't be too hard to find one.

langmad

Hi Guys,
Many thanks for your help with this problem. I have now cancelled my old policy and started a policy with a new company. They offer cover for up to 60 days unoccupied. I incurred no additional costs because the old policy was cancelled due to them being unwilling to cover.
Best regards