Motorcycle Insurance cancelled after non fault accident

EnvoyExtreme

Hey there,

I took out a policy with Motorcycle Direct and insurer is LV. I payed the cost in one go.

On 20th March 2018 I was involved in accident and driver admitted fault and was charged that day by the police.

However on 15th June LV sent letter to motorcycle direct and to send it to me to cancel my policy. Rang up asking why and I was told because I was involved in a accident, made a claim and bike was written off then the policy is cancelled.

I went through mental health issues so wasn't up to dealing with it all but I'm planning get back on the road by Christmas.

I was told the circumstances I was in doesn't justify my policy being cancelled. Liability had been not admitted as his insurance dragged it out up to the court date and he was given points and a fine.

So should I contact LV and ask why as if what I was told is true then I'm double penalised. Was told my no claims isn't affected by the only said I had 2 years NCB as had a fault accident in May 2015. So it should be 3 years as LV wrote to me saying this accident doesn't affect my NCB as HE WAS AT FAULT AND WAS CHARGED, AND PENALISED BY COURTS, AND HIS INSURANCE HAS NOW SAID LIABILITY IS NO LONGER DISPUTED.

Do I have a case as I think I been double penalised for a accident I wasn't at fault. Because of this, if I try to get a quote I got to mention the policy was cancelled and the price has doubled

DoaM

Your bike was written off. Your policy will have had a clause allowing you a defined period in which to acquire a replacement bike in order for your policy to continue - you didn't do that therefore your policy was cancelled as there was no bike to insure.

Has the claim closed as non-fault? Did you receive a partial refund of your premium for the "unused" months?

Norman_Castle

Was told my no claims isn't affected by the only said I had 2 years NCB as had a fault accident in May 2015. So it should be 3 years as LV wrote to me saying this accident doesn't affect my NCB

If the policy ended during the third year that year wouldn't be included in your ncb as it wasn't a full year. Not affecting your ncb means you keep your two years.


If his insurers have accepted liability your insurer should be able to claim their costs from his insurer and you may be able to claim for the lost portion of your premium.

EnvoyExtreme

Claim with insurance was closed as a non fault as at time he was highly likely to be non fault eventhough he admitted fault from day 1 but his insurance didn't due to the huge payout from personal injuries (Done separate to a motorcycle personal injury solicitor).

Nothing was mentioned to me about that gap and read through documents and nothing was mentioned about that. I recorded all my phone calls and would use that when I ring LV on Monday.

I see it as they slides a lot of things passed me like paying £200 excess just for making the claim end up paying £650 excess which I got back. But I read through document and nothing was mentioned about that and no I didn't get a refund from unused premium. Only had policy for 3 months and they waited until month 5 to cancel but not once they mention I could swap it to as had a project bike when they paid for the bikes value

Norman_Castle

Contact your insurer and ask if you can claim from the third party for the 7 months of policy that you lost.

EnvoyExtreme

Will ask about that but it ain't right just to cancel the policy because I had a non fault accident and payed for a year but then don't get a refund on the premium. If I was at fault then makes sense of them cancelling all together but I'd they try mention about liability then I just send copy of what his insurance sent to my solicitor.

EnvoyExtreme

Either way I won't recommend Motorcycle Direct or LV as they were !!!! as a whole in handling the accident. Even made a complaint to them and they said I was wrong but when I was legally right.

Looking to go with bikesure as had a friend who had a accident with them. Not as serious as me but they were Excellent with him and prices are usually the best besides MCE who to avoid all together

Norman_Castle

Will ask about that but it ain't right just to cancel the policy because I had a non fault accident and payed for a year

I think the policy has been ended early rather than cancelled as the insured vehicle is no longer owned by you. You can't be insured on a non existent vehicle.

It would have been helpful for your insurer to explain your options a bit better but from your responses on here it appears you're annoyed with them and as such they may not have had the time or patience to give all the advice they can. They're just an insurer, they didn't injure you. Try working with them, you're likely to get a better result.

AdrianC

EnvoyExtreme wrote: »

I took out a policy with Motorcycle Direct and insurer is LV.

On 20th March 2018 I was involved in accident

However on 15th June LV sent letter to motorcycle direct and to send it to me to cancel my policy. Rang up asking why and I was told because I was involved in a accident, made a claim and bike was written off then the policy is cancelled.

Yep. It's in your policy documents. You agreed to them doing it when you bought the insurance, and didn't cancel it within the 14 day cooling off period.
http://www.motorcycledirect.co.uk/documents/mcd_policy_doc_180525.pdf
Page 12

Cancellation by us or MotorCycle Direct
We or MotorCycle Direct may cancel this policy by sending 7 days’ notice to you at your last known address (and in the case of Northern Ireland to the DVANI) or to your last known e-mail address if you have chosen to receive your MotorCycle Direct documents electronically.

You will be entitled to a refund of the premium paid, subject to a deduction for the time for which you have been covered. If we or MotorCycle Direct do so, you will be entitled to a refund of the premium paid (unless you have made a claim). This refund will be subject to a charge for the period of cover you have received, plus a cancellation fee, details of which can be found in the MotorCycle Direct ‘About Our Insurance Services’ document. There may also be a charge of up to £40 charged by us. This amount may vary depending on your insurer.

We have listed below some examples of why we and MotorCycle Direct will cancel your motorcycle insurance policy. The list is not exhaustive but we and MotorCycle Direct will:

* Give 7 days’ cancellation notice if your motorcycle is deemed a total loss in the event of a claim

Nothing particularly unusual about any of that.


But, no, this is not what's asked for when the quotes ask if you've ever had cover refused.

facade

I thought that automatically terminating a policy in the event of a total loss wasn't allowed now, and they had to allow a transfer within a short period, as it is an unfair clause that you could pay £2000 for a policy on a Monday, write off a £500 bike with a £500 excess on the Tuesday and have lost £2000 and the bike by Wednesday.

EnvoyExtreme

The whole 7 days is all good but they waited 3 months to do it. I was always calm and polite to them even when on phone for hours going from person to another then another and at the end up back to same person I started the call with and nothing new came out of it.

That's what I think they can't just cancel after a total loss for a non fault accident.

There was no warning or notice of cancellation of the policy.

Get of not keeping policy when bike been collected and probably now in eastern Europe. They could say about transfer but didn't.

Either ways I get bottom of it on Monday and if nothing comes from that call then it straight to the ombudsman as because of this getting a new policy has doublwd because I gotta disclose that a policy has been cancelled based on unreasonable grounds.