Car insurance cancelled due to wrong occupation

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Replies

  • Kshah786 wrote: »
    The accident happened on 25th of may and the cancellation date was 31st may which was yesterday. The insurance said they will keep the insurance premium and put it towards other partys claim. Should they pay for the 3rd party claim because my sister was insured at the time of the accident. The insurance was only voided yesterday 31st may. I dont care if my car is written off. I just can't afford to pay for the 3rd partys repair and Personal injury.

    I have not slept since yesterday. Its i didnt think it would make this much difference.

    Any help would be appreciated.

    Who do you think should pay? Your insurance company, who only covered you because you lied? The victim, who did nothing wrong?

    There is an argument that your sister should pay, I suppose, as she is the one who crashed.
  • z1az1a Forumite
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    No sympathy whatsoever.
  • dacouchdacouch Forumite
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    Kshah786 wrote: »
    The accident happened on 25th of may and the cancellation date was 31st may which was yesterday. The insurance said they will keep the insurance premium and put it towards other partys claim. Should they pay for the 3rd party claim because my sister was insured at the time of the accident. The insurance was only voided yesterday 31st may. I dont care if my car is written off. I just can't afford to pay for the 3rd partys repair and Personal injury.

    I have not slept since yesterday. Its i didnt think it would make this much difference.

    Any help would be appreciated.

    If they cancelled it after the accident date then they will likely pay the other claim, however there is a chance they will try to void the policy from before it started if they decide you acting fraudulently.

    This would mean they won't pay the claim (Although might be on the hook via MIB) and ultimately your Insurers or the other insurers or possibly the MIB may be looking to retrieve the claims costs from you
  • Kshah786Kshah786 Forumite
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    At first i had a text message and an email to say insurance has been cancelled. When i rang them up today they said it has been voided. They changed it.
  • Kshah786 wrote: »
    At first i had a text message and an email to say insurance has been cancelled. When i rang them up today they said it has been voided. They changed it.
    Then your sister was driving uninsured and is liable for all the costs. If she does not pay you back for crashing your car you will have to pay for a new one yourself, but you are unlikely to be able to get insurance for it, so it may be back to public transport for a few years.
  • Kshah786Kshah786 Forumite
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    The car was insured up until yesterday. She was insured to drive on the day of her accident..the police came also and verified she had insurance.
  • marlotmarlot Forumite
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    Kshah786 wrote: »
    The car was insured up until yesterday. She was insured to drive on the day of her accident..the police came also and verified she had insurance.
    They might still pay out to the third party and come after you for you to repay them.
  • Kshah786Kshah786 Forumite
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    This is what they said will happen. How ever my argument is that the lady from Eldon insurancr said thst they will ammend the policy with my current occupation and ill pay the difference in premium.
  • BlibbleBlibble Forumite
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    Kshah786 wrote: »
    This is what they said will happen. How ever my argument is that the lady from Eldon insurancr said thst they will ammend the policy with my current occupation and ill pay the difference in premium.

    This was back when the insurer thought you had made an honest, unintentional error. Subsequently, it's transpired that you have made a dishonest, intentional choice to mislead the insurer.
  • angrycrowangrycrow Forumite
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    Policy voidance means the policy is cancelled from the date it started as if it the policy never existed. The driver is considered to be uninsured and if the police find out they can prosecute although unlikely for your sisters situation. If you were the driver and the other other party tips them off expect to be prosecuted.

    Your insurers are required to pay the third party in the place of the MIB but they gain an automatic right of recovery against you. This is why they can retain the premium paid to offset against this loss. They do not have to pay the other insurer who will pursue you directly for their outlay.

    You will also need to declare on all future applications that you have had insurance cancelled with no current time limit on this.

    This will prove extremely expensive for you. Even a modest injury claim will be over £2000 plus the damage to the cars.
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