Breakdown cover - cooling off period applicable on auto-renewal?

Sachy

Hi all, hopefully someone will be able to clarify for me...
I took out breakdown cover just under 12 months ago and didn't realise it had auto-renewal enabled. I have arranged to go elsewhere with my breakdown, however current breakdown have auto-renewed and taken payment. This wasn't due to start until 4 days later and the payment was only taken the day before I noticed and therefore contacted them. They are refusing to refund anything at all and state that a cooling off period does not apply for auto-renewals, even though the policy hasn't even started yet.
I then went to my 'new' breakdown providers to cancel (as that one is still within the 14 days cooling off period) and they are charging a £9.99 fee which was stated in the documentation and I'm happy to pay for as a result but then it also states "You will receive a quotation that will tell you about any other fees relating to any particular insurance policy before any fee’s are charged" and have therefore added more fees on top (to the point where I am only due a quarter back of what I paid in the first place) - this seems a little open for them to additionally charge whatever they want - is this possible? If that's the case then surely a cooling off period is pretty much pointless?!

DoaM

No - renewals are a continuation of a contract with revised pricing, so there's no cooling off period. The only way you could cancel without liability is if they also changed the terms of the contract at the same time.

Car_54

Isn't there an obligation to send a renewal notice, even with auto-renew?

DoaM

Not sure on that ... only if the contract price changes I think. If all policy terms remain unchanged then I think they only need to send one if the terms state so.

DoaM

Sachy said:

I then went to my 'new' breakdown providers to cancel (as that one is still within the 14 days cooling off period) and they are charging a £9.99 fee which was stated in the documentation and I'm happy to pay for as a result but then it also states "You will receive a quotation that will tell you about any other fees relating to any particular insurance policy before any fee’s are charged" and have therefore added more fees on top (to the point where I am only due a quarter back of what I paid in the first place) - this seems a little open for them to additionally charge whatever they want - is this possible? If that's the case then surely a cooling off period is pretty much pointless?!

I didn't notice this earlier ... you cannot be held to terms which are not clearly expressed. If the £9.99 is clearly mentioned then they can charge that ... any other charges must also be clearly expressed, either as defined values or how such values will be calculated. If these additional charges were not clear (prior to contract formation) then these were unfair terms and can be ruled as void. Get back on to them and demand your full refund (less the £9.99) if the additional charges were not clear.