Mobile Phone insurance and "connected contracts"

Ashleyshaw1980

We decided to look into our household mobile phone costs and discovered that we had been paying for mobile phone insurance since 2015 on two of our mobiles. Both contracts were "taken out" at the same time but with different cover levels. My husband and I have never required any mobile phone insurance as we both bank with Bank of Scotland and our Ultimate Reward Accounts (mine opened in 2005) has this benefit as an incentive. I have argued this with Vodafone who refused to repay the premiums and said we could complain to the Ombudsman. I did this and have now heard back from the ombudsman who says that they cannot take this forward due to an exemption for the sale of certain contracts of insurance, known as
‘connected contracts'.
I am astounded by this as to me this is a classic case of "miss-selling" when there is clearly no requirement for us to have the product.
Can anyone help?

pmduk

I'm not an expert on this area, but I can't see how Vodafone have missold these policies to you, how the heck could they be expected to know you already had cover elsewhere when you hadn't bothered to check yourself?

I think you need to step back and bear the cost yourself it's nobody else's fault.

ETA: which Ombudsman made this ruling? I suspect the 'connected products' comments means that the communications ADRs (OS:C and CISAS) cannot rule on insurance products as they are under the control of the FOS.

Ashleyshaw1980

Pmduk, the point I am making is that they never asked us if we wanted it at all they just added it to the cost of our new monthly phone contract.

pmduk

So why didn't you use the cool-off period to cancel it?

techquest

The ABI (Association of British Insurers) guide states:

"Customers should be presented with clear terms and conditions (that are in
plain English), and information about their cancellation rights when purchasing
mobile phone insurance."

This in mind I imagine Vodafone would have done so, if not it's your word against theirs. Sadly nowhere does it tell the provider it should ask if the customer has insurance already in place to cover the product.

It looks as though the ombudsman has returned the correct decision in your complaint to them. Don't understand why you should be astounded by their decision, they are merely going by the letter of contract law. In any event, as you have stated in your post, you clearly already had insurance cover through the bank and Ultimate Reward Accounts.

pmduk has stated the obvious question correctly, as you did have the opportunity to decline the insurance in the first place and had the opportunity to cancel within the period in place at the time.

mobilejunkie

It amazes me that people would rather end up paying for something for years rather than check their statements. I wonder what else they paying for and don't know about. Also amazes me they then complain about the company when they really have no-one to blame but themselves.

d123

Ashleyshaw1980 wrote: »

Pmduk, the point I am making is that they never asked us if we wanted it at all they just added it to the cost of our new monthly phone contract.

There’s no reference to the insurance on the contract you signed, any invoice you’ve received or in the terms you would have agreed to?

pmduk

Not having worked for Vodafone, I don't know their sales procedures, but, even in 2015, sales of mobile phone insurance was heavily controlled, the OP's issue is that the network's records are more likely to be thorough and credible than their memory after this period.

I still think the OP is unlikely to win this one after four years, sorry.

d123

pmduk wrote: »

Not having worked for Vodafone, I don't know their sales procedures, but, even in 2015, sales of mobile phone insurance was heavily controlled, the OP's issue is that the network's records are more likely to be thorough and credible than their memory after this period.

I still think the OP is unlikely to win this one after four years, sorry.

I’d agree, if the OP had read their paperwork it’s likely to include reference to the insurance.

macman

So you haven't looked at approx 96 bills for 2 phones over 4 years, all of which would have shown the insurance being added to the monthly bill?
Or a similar number of bank statements that would show that your DD was £x per month more than your contracted price?