Car insurance refund help

stoopyftm

Hi
I had insurance with ensure and recently had an accident which was my fault, although the damage wasn't much the car was old and of little value and was subsequently deemed beyond economical repair.

The insurance paid out but I also thought that as the insurance still had over six months to run I would be due a refund. I've had been onto them a couple of times to be told it was ongoing and would be sorted out soon.

Today I've been told there is no refund as I cancelled the insurance which isn't technically true. I was asked if I wanted to transfer it to another car but I already had access to one which was insured so it was a bit pointless and so I would 'cancel' as it was insurance on a car that didn't actually exist anymore.

Then I was told there was no refund as its policy not to refund if it's an own fault accident.

This seemed a bit odd as if they were offering to transfer the insurance surely that negates the second point and I should be due a refund. As far as I know your premium doesn't count towards recovering the money paid out from an accident and I had already had an excess deducted from the settlement.. I tried to enquire further but it was all a bit vague and I was getting nowhere, just general answers with no particular proper explanation.n

I had paid the premium in one go so no chance of stopping the dd

Just wondered if anyone has had a similar experience or worked within the industry that could tell me if this is the norm or I am within my rights to ask for a refund on the six months unused insurance.

Thanks.

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You "used up" the insurance when it paid out. Esure's part of the contract is they pay out on your claim, your part of the contract is you pay them the full year's premium.



They would have allowed you to transfer it to another vehicle (through gritted teeth, but they have no choice as it is now a requirement that they do- subject to them accepting the replacement) but they are certainly not giving you half your money back when they are down the payout on your old car.


(If you paid by instalment, they would have either asked for any remaining premium, or stopped it out of your settlement)

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Oh, and the reason it was made that they have to allow a transfer for a total loss payout was because say an 18 year old with a £2000 premium and a £250 excess had their £300 Corsa stolen in the first month, the insurance would pay them £50, close the policy and be quids in. (Which was a little unfair)


However even now that 18 year old would still be down £2250 if they didn't get another car to transfer it to.

foxy-stoat

If you take a look at your policy documents you will see that in the event of a total loss the full premium becomes payable whether its on installments or annual payment and you cannot have a car insurance policy running without an insurable car.

stoopyftm

Thanks for your replies, that makes sense now you have explained it.


I guess the answer is if you want a refund make sure you have another car to transfer it to!

atrixblue.-MFR-.

stoopyftm wrote: »

Thanks for your replies, that makes sense now you have explained it.


I guess the answer is if you want a refund make sure you have another car to transfer it to!

And any other vehicle that your a driver of that doesn't list you as a named driver on now leaves you open to being stopped for no insurance.


If your borrowing a car on the premise of being covered on your own policy that policy now no longer exists hence not insured.

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stoopyftm wrote: »

I guess the answer is if you want a refund make sure you have another car to transfer it to!

They normally allow you a couple of weeks to get one, you don't have to have a stack of cars on your drive ready to swap onto the next one on the off chance you suffer a total loss.