XS Direct - Is it a scam?!
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zakary
Posts: 8 Forumite
Dear Readers,
I took out an insurance policy with this company last year. I paid for it through a comparison website and it came up with "insure your motor." I never realized this was just the broker until I had an accident in February this year.
It was a minor incident where I reversed into a car at less than 5mph. He was already close behind me so the impact was minimal. I called my insurance company (insure your motor) who redirected me to XS Direct. This is the first time I heard of them.When I called them they informed me that I had an all section excess of £3000 which meant I was liable to pay up to this sum which I never realized.
They than called me a few days later saying the other party was claiming for injury so they sent someone to investigate my car and take pictures.
I did not hear from them again until this week (3 months later). They said they posted a letter to me (which I never received) so they emailed me on Thursday stating it was the last date of payment for the full £3000. I was shocked! I was abroad so I called them on my return on Friday. They agreed to give me another 2 weeks to sort out the payment, but advised if I paid before the end of the month they could give me a 10% discount which I found quite strange.
I asked them to send me a break down of the charges thinking I was paying for injury compensation but when they sent me the breakdown the total amount was all for repair works carried out on the car. I think they have made all of this up! But not sure what to do...Do I have to pay? Is there any way around this? Anyone else dealt with this company before? Pls help!
I took out an insurance policy with this company last year. I paid for it through a comparison website and it came up with "insure your motor." I never realized this was just the broker until I had an accident in February this year.
It was a minor incident where I reversed into a car at less than 5mph. He was already close behind me so the impact was minimal. I called my insurance company (insure your motor) who redirected me to XS Direct. This is the first time I heard of them.When I called them they informed me that I had an all section excess of £3000 which meant I was liable to pay up to this sum which I never realized.
They than called me a few days later saying the other party was claiming for injury so they sent someone to investigate my car and take pictures.
I did not hear from them again until this week (3 months later). They said they posted a letter to me (which I never received) so they emailed me on Thursday stating it was the last date of payment for the full £3000. I was shocked! I was abroad so I called them on my return on Friday. They agreed to give me another 2 weeks to sort out the payment, but advised if I paid before the end of the month they could give me a 10% discount which I found quite strange.
I asked them to send me a break down of the charges thinking I was paying for injury compensation but when they sent me the breakdown the total amount was all for repair works carried out on the car. I think they have made all of this up! But not sure what to do...Do I have to pay? Is there any way around this? Anyone else dealt with this company before? Pls help!
1
Comments
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Dear Readers,
I took out an insurance policy with this company last year. I paid for it through a comparison website and it came up with "insure your motor." I never realized this was just the broker until I had an accident in February this year.
It was a minor incident where I reversed into a car at less than 5mph. He was already close behind me so the impact was minimal. I called my insurance company (insure your motor) who redirected me to XS Direct. This is the first time I heard of them.When I called them they informed me that I had an all section excess of £3000 which meant I was liable to pay up to this sum which I never realized.
They than called me a few days later saying the other party was claiming for injury so they sent someone to investigate my car and take pictures.
I did not hear from them again until this week (3 months later). They said they posted a letter to me (which I never received) so they emailed me on Thursday stating it was the last date of payment for the full £3000. I was shocked! I was abroad so I called them on my return on Friday. They agreed to give me another 2 weeks to sort out the payment, but advised if I paid before the end of the month they could give me a 10% discount which I found quite strange.
I asked them to send me a break down of the charges thinking I was paying for injury compensation but when they sent me the breakdown the total amount was all for repair works carried out on the car. I think they have made all of this up! But not sure what to do...Do I have to pay? Is there any way around this? Anyone else dealt with this company before? Pls help!
What does your documents state the excess amounts are ?0 -
Did you not realise this charge because you went for the cheapest cover and didn't read the Terms and conditions?? This is a common reason for the cheap cover, higher excess"It is prudent when shopping for something important, not to limit yourself to Pound land/Estate Agents"
G_M/ Bowlhead99 RIP0 -
This is the first time I was taking out car insurance so to be honest I didn't even know what an excess meant..If I had understood I'd rather have paid more and not end up in this situation. I agree this is my fault. What I want to fight is the bill that they have sent me amounting to repairs over £3k. The two cars barely touched so I know its impossible for the repairs to have amounted to this much.0
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There is a long running complaint thread on the motor insurance page of Consumer Action Group. Worth reading. Complaint has been with the Financial Ombudsman for over a year.The comments I post are personal opinion. Always refer to official information sources before relying on internet forums. If you have a problem with any organisation, enter into their official complaints process at the earliest opportunity, as sometimes complaints have to be started within a certain time frame.0
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Am I missing something here... your excess is only for your own repairs so if the damage is , as you say , so slight just pay for a repair.
As far as the other party your insurance have to settle any claims and there's no excess involved ??0 -
Yes, you're missing the XS direct policy terms which applies an excess to all sections. Buyer beware.0
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XS direct is underwritten by a large US Insurers via Gibraltar.
They are bringing US style Insurance to UK market and needs to come with a big health warning.
Younger drivers taking out these policies are not realising they are contracting to a potential debt. If they are at fault for an accident XS Direct pay the third party and then send a bill to their policyholder for up to £3000, which is the all sections excess.The comments I post are personal opinion. Always refer to official information sources before relying on internet forums. If you have a problem with any organisation, enter into their official complaints process at the earliest opportunity, as sometimes complaints have to be started within a certain time frame.0 -
@huckster have you got the link for this pls?0
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You don't need a link Zakary. You need to look at your insurance documents.0
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@huckster have you got the link for this pls?
Link here
https://www.consumeractiongroup.co.uk/forum/showthread.php?477150-XS-Direct-3k-Total-Excess-Worried-regarding-Debt-Collectors(1-Viewing)-nbsp
Have a read of it all.The comments I post are personal opinion. Always refer to official information sources before relying on internet forums. If you have a problem with any organisation, enter into their official complaints process at the earliest opportunity, as sometimes complaints have to be started within a certain time frame.0
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