Life cover Insurer won't discuss premium with me - only via GP?

matei72

Hi all,

I've been using Vitality for several years for both life and health cover. Several months ago they cancelled my life policy by accident, when I rang to cancelled two different policies (replaced them with cheaper but more advantageous ones - also via Vitality but through a different broker).


We didn't notice that my policy was cancelled until we discovered that no money was going out to cover the monthly premiums. Alarmed, I rang in to explain the situation - however I was told that I could reinstate the policy by bringing the premiums up to date and taking a physical/blood test.


About a week after the physical took place I received a letter stating that my policy could be reinstated - however the premium had gone up by nearly 50%. I rang their customer service to ask what the basis for the increase was, was told at the time that they'd look into it and then get back to me.


After another week, I receive an email (and several days later a letter) stating that due to medical reasons uncovered during the physical, Vitality can no longer honour their original offer and as such had to increase the premium. These discoveries can't be discussed with me, rather only through my GP... hence I had to make a an appointment, take time off of work etc.


Sadly the letter never arrived at the GP, so that was all in vain.


Has anyone else ever experienced this? Only two months ago had blood tests run, quite extensive tests, and everything came back clear. I would assume that if there was some hidden danger, my GP would've already contacted me.


I've asked for the results of the blood test that Vitality ordered and they refuse to send it, saying - again - that only a qualified medical professional is allowed to see them.


Curious if anyone else has ever experienced or heard of this... I don't smoke, only drink moderately, live a fairly healthy lifestyle etc and I feel great - so I'm thoroughly puzzled.


That being said - in light of the shoddy customer service (I didn't go into all the details here) I'm 99% certain I'm taking my business elswhere. We spend hundreds of pounds a month to insure my family with these clowns - and I personally don't feel they deserve the business after this.

dunstonh

Be aware that all future applications will need you to declare that you have had terms offered on a modified basis.

Vitality is not conventional in the way it prices premiums. It prices on your lifestyle and health. So, if you say you something to them to set their price and it turns out you were not doing it then you do not get the discounts/premium.

Curious if anyone else has ever experienced or heard of this... I don't smoke, only drink moderately, live a fairly healthy lifestyle etc and I feel great - so I'm thoroughly puzzled.

The things you mention are things considered on conventional insurance. However, what about all the things that vitality use for pricing?

matei72

Thanks for the reply.

When you say that I'll have to declare that I have had terms offered on a modified basis, this is in reference to any/all policies going forward with different insurers as well?


Is there some central database that tracks this sort of thing? I've never been in this situation before, so it is a bit puzzling.


Regarding the things that Vitality use for pricing - I have no idea what they are, as I don't work for Vitality.


In between the time the life cover was accidentally cancelled, I had developed a minor case of vitiligo and had seen a consultant re. a sinus infection - but their health insurance arm was aware of this.


As for "other things"... I couldn't imagine what they could be.

dunstonh

When you say that I'll have to declare that I have had terms offered on a modified basis, this is in reference to any/all policies going forward with different insurers as well?

Yes. Any life or medically related insurances.

Is there some central database that tracks this sort of thing? I've never been in this situation before, so it is a bit puzzling.

Its checked if a claim is made on the policy. It shows on your GP record. So, no point not declaring it.

Regarding the things that Vitality use for pricing - I have no idea what they are, as I don't work for Vitality.

The person who sold it to you does. Go back to them and ask them.

Chris_Pollard

Matei - I can appreciate Vitality's refusal to provide information or results is very frustrating for you. There are tacit agreements between the British Medical Association (BMA) and the Association of British Insurers (ABI) relating to how insurers use medical information and/or discuss medical matters with their customers, or potential customers. Put simply, most underwriters are not medically qualified doctors and have no place discussing your medical situation, or interpreting and discussing the results of any tests - even if obtained at their request. It is therefore usual practice for the underwriter to write to the GP and explain their concerns and the action they have taken as a result - in some cases this will be asking for a higher premium, excluding parts of the coverage or deferring accepting the risk until further information or investigations are concluded.

The latter can be a cause of some distress and inconvenience. I clearly have no knowledge of what tests may, or may not, have been performed, nor the results. In many instances an initial test - be it a urine test, or blood test might show some unexpected results. GP's would be required (and expected) to follow these up. How they might do this is a decision entirely down to them, hopefully in partnership with the patient. The insurer will (patiently) await the results of any follow up to ensure they know what they might be dealing with, and what impact it might have on their assessment of your application.

I completely understand you are disillusioned with dealings thus far, and you would be perfectly entitled to make a formal complaint. However, as the earlier poster has said, you would be required to declare an adverse underwriting decision and another insurer would likely make the same enquiries of your GP. I would suggest (and I know it require more effort from you) that you make an appointment with your GP. Hopefully he will share the information and you will have an open and appropriate conversation and both work out what to do next.

Underwriting practices and policies do vary slightly from one company to the next, but I would be surprised if an underwriter would be willing to take on a risk if they might be a question unanswered as a result of the information Vitality received. Perhaps progress with your GP, and once the matter is resolved consider shopping elsewhere.

I wish you luck and hope it all works out.

Weighty1

Personally, I think if the error was their then there shouldn't be any underwriting required to reinstate the policy. If they hadn't made their error then the cover would have continued as it was.

That's the basis that I'd be using to make a complaint and getting them to reinstate the cover at the same cost as the original plan.

lisyloo

matei72 wrote: »

As for "other things"... I couldn't imagine what they could be.

I presume you've ruled out BMI, blood pressure?
I agree with the last post. It should simply be re-instated on previous terms due to admin error.
Make a formal complaint then ombudsman.

csgohan4

OP did you request a copy of the GP report, might be useful?? I generally don't to speed things up and I have nothing adverse to declare

matei72

Hi all - thanks for the advice.

Vitality ended up faxing the report to my GP. GP rang me, said that the only result that was out of the normal range - and then only slightly - was cholesterol. It was so slightly above the normal range that the GP said that she would've just told me to ensure I do plenty of walking etc. Everything else - BP, etc - fine.


My height and weight haven't changed at all since I first started the policies years ago (we have quite a few polices - life and health - for our family through Vitality) - and these were obviously clearly stated when the policies were opened.

As a matter of fact - my cholesterol has been pretty much constant for years she added.

GP did say that while she isn't an insurance expert, based on her dealing with these queries, it shouldn't warrant a near 50% increase in my life/serious illness cover. She calculated that I have a 4% risk, based on my current state, of developing issues in the future.


Vitality - on their part - also sent me a letter on Friday stating that they claim their records show I also wanted this policy cancelled in February, and if I don't like it I can take it to the ombudsman.


We've spent over £17K in fees, premiums etc since the polices were started several years ago. We're taking our business elsewhere. To be fobbed off in such a disinterested way is truly disappointing. Their loss.

dunstonh

Vitality ended up faxing the report to my GP. GP rang me, said that the only result that was out of the normal range - and then only slightly - was cholesterol. It was so slightly above the normal range that the GP said that she would've just told me to ensure I do plenty of walking etc. Everything else - BP, etc - fine.

Remember that Vitality is not priced like conventional life assurance. The target market for Vitality are those that aim to be extra healthy. Going to the Gym, healthy diet etc. High Cholesterol tends to come from being overweight and/or not healthy eating.

however I was told that I could reinstate the policy by bringing the premiums up to date and taking a physical/blood test.

Most life assurance can be reinstated with a health declaration. Is there something in your medical history or information you may have given them that would make them request a physical and blood test? (perhaps the medical questions and lifestyle questions you answered on the first application were sufficiently different on the second one).

GP did say that while she isn't an insurance expert, based on her dealing with these queries, it shouldn't warrant a near 50% increase in my life/serious illness cover. She calculated that I have a 4% risk, based on my current state, of developing issues in the future.

That would be correct with conventional life assurance. However, Vitality is not that.

Vitality - on their part - also sent me a letter on Friday stating that they claim their records show I also wanted this policy cancelled in February, and if I don't like it I can take it to the ombudsman.

They would listen to the call and that is a fairly factual piece of evidence.

To be fobbed off in such a disinterested way is truly disappointing. Their loss.

The complaints process is regulated and regimented with a set process and wording. So, its not a case of being fobbed off. If the evidence shows you told them to cancel and they did just that then they have done nothing wrong.

My gut feeling on this is that your original application probably overstated your healthy lifestyle and you were priced on that basis and the second application probably gave sufficiently different answers that suggested you were not maintaining that lifestyle. Hence the price difference.

Conventional Life assurance may be a better option for you. Although you will now to record your higher cholesterol level on the application to a new provider as well as disclosing that an insurer has offered terms on a revised basis (usually the last question asks if any previous application has been refused or had modified terms offered - the answer is yes to that).

matei72

Super - thanks for the advice :-)