NO FAULT ACCIDENT & INSURANCE NOT HONOURING POLICY

JeffMacbeth

Dear Forum Users, 

I have recently joined this forum, in order to post my dilemma. I own a Citroen Berlingo Coffee Van, and have Fully Comprehensive Van Insurance and separate business insurance, covering public liability. 

Just after Christmas 2020, I was driving my van along a busy A Road, with my daughter as a passenger. We were driving on the A Road, when an 83 year old man pulled out of a side road, to turn right onto our A Road. He pulled out at point blank range, and we had a head on collision. The police and ambulance attended and we were taken to hospital. My van is written off. 

4 weeks on, my insurance underwriters have contacted me saying that my insurance is invalid, as I failed to tell them I had modified my van, although I had told them about my sign writing. Prior to taking out insurance (with Admiral, through Money Supermarket), I checked on the DVLA website as what classed as a vehicle modification. They just listed things that changed the performance or appearance of the vehicle, such as spoilers, seat change, turbo booster etc etc. As neither the body, the colour nor the engine of my van had been altered, I assumed that my van wasn’t considered modified. I therefore ticked  the ‘no’ box to ‘has your vehicle been modified?’. I ticked the ‘yes’ box to ‘does your vehicle have sign writing’. Now my insurance are saying my policy is invalid as my vehicle was modified and I failed to notify them. 

 But, surely my insurance don’t have to pay, as the old man was at fault, so won’t it be his insurance? Also, I’ve emailed Admiral to say that if I’d made a mistake for not declaring my vehicle had been modified, it was a genuine mistake and I wasn’t trying to deceive or withhold information. I realise now that I should have looked into it more stringently. Surely a no fault accident shouldn’t affect my policy? 

Advice  most welcome. 

m0bov

Why are they saying its modified???

custardy

The DVLAs definition of modification isnt relevant to your policy's definition.
I assume the van is internally kitted out for the coffee business and this is the issue?

williamgriffin

JeffMacbeth said:

Dear Forum Users, 

I have recently joined this forum, in order to post my dilemma. I own a Citroen Berlingo Coffee Van, and have Fully Comprehensive Van Insurance and separate business insurance, covering public liability. 

Just after Christmas 2020, I was driving my van along a busy A Road, with my daughter as a passenger. We were driving on the A Road, when an 83 year old man pulled out of a side road, to turn right onto our A Road. He pulled out at point blank range, and we had a head on collision. The police and ambulance attended and we were taken to hospital. My van is written off. 

4 weeks on, my insurance underwriters have contacted me saying that my insurance is invalid, as I failed to tell them I had modified my van, although I had told them about my sign writing. Prior to taking out insurance (with Admiral, through Money Supermarket), I checked on the DVLA website as what classed as a vehicle modification. They just listed things that changed the performance or appearance of the vehicle, such as spoilers, seat change, turbo booster etc etc. As neither the body, the colour nor the engine of my van had been altered, I assumed that my van wasn’t considered modified. I therefore ticked  the ‘no’ box to ‘has your vehicle been modified?’. I ticked the ‘yes’ box to ‘does your vehicle have sign writing’. Now my insurance are saying my policy is invalid as my vehicle was modified and I failed to notify them. 

 But, surely my insurance don’t have to pay, as the old man was at fault, so won’t it be his insurance? Also, I’ve emailed Admiral to say that if I’d made a mistake for not declaring my vehicle had been modified, it was a genuine mistake and I wasn’t trying to deceive or withhold information. I realise now that I should have looked into it more stringently. Surely a no fault accident shouldn’t affect my policy? 

Advice  most welcome. 

If the third party is liable then it doesn't matter whether you have insurance or not, their insurance will still pay out.

If you have informed your insurance the van is sign written then someone needs to clarify why they think there is an undeclared modification. 

AdrianC

"Modified" is very simple. Is your van the same as it was on the day it rolled out of the factory, as a bog-standard van?
MoneySupermarket's quote asks the question like this...

A van with built-in coffee-making kit is modified. That coffee making kit does not come as standard on a new Berlingo. It has been added to the manufacturer's original spec.
If the coffee-making kit is just sat in the back, and can be easily moved in and out, then the van isn't modified.
If you could take your coffee stuff out the back and put it into a brand new vanilla van out the showroom, then you ticked the right box.

I don't know where on DVLA's website you looked, but DVLA have nothing whatsoever to do with what an insurer counts as modified.
DVLA simply don't care or track until modifications get VERY substantial.
Change the engine? They just need the new size and engine number. Change the wheels or fit a turbo or put a bodykit on? They don't care. Do REALLY substantial changes? You might lose the identity of the vehicle and need to get it tested to see if it meets construction regs.

You are, presumably, claiming directly off your insurer. That's why they're looking at your van and going "Hold on..."
You could, since liability is clear-cut, have claimed directly off the other driver's insurer.

Your insurer, however, can only void your claim if they can show they wouldn't have covered you at all if they'd known the truth.
I have no idea if Admiral would have covered a van with fitted coffee kit or not.
If they would, but would have charged more to do so, then they can only trim your payout by the proportion that you've underpaid your premium - if they'd have charged you twice as much, they'll pay out half the claim.

Sandtree

AdrianC said:

"Modified" is very simple. Is your van the same as it was on the day it rolled out of the factory, as a bog-standard van?
MoneySupermarket's quote asks the question like this...

That is the most common definition however Admiral for example ask for factory fitted optional extras to be declared too.

Your right to claim from the third party is unimpeded by any indemnity issues with your own policy, indeed you could have no insurance and still be entitled to claim. That however doesnt mean your insurers are obliged to help you in doing so if you have voided your cover through an intentional non-declaration of modifications.

You can get the third party's insurance details easily and contact them and they'll be more than happy to help assuming the claims been reported and no indemnity issues at their end.

Separate to that you obviously need to deal with your own insurer and try and convince them to not cancel the policy else you will have to declare that you (or your business if its a Ltd) have had insurance cancelled which will have a very nasty impact on future premiums. 

AdrianC

The policy's cancellation or not ongoing is almost certainly academic if the van's been written off, since most cheap'n'nasty policies will terminate the policy on a total loss.

williamgriffin

AdrianC said:

The policy's cancellation or not ongoing is almost certainly academic if the van's been written off, since most cheap'n'nasty policies will terminate the policy on a total loss.

It isn't at all academic if they decide to void it from inception. 

AdrianC

"ongoing"...

Sandtree

AdrianC said:

The policy's cancellation or not ongoing is almost certainly academic if the van's been written off, since most cheap'n'nasty policies will terminate the policy on a total loss.

Not academic at all, if the insurers cancel it for fraud/non-disclosure then the OP has to declare forever more that he has had previous insurance cancelled (or if its a policy in the name of a Ltd, his Ltd will have to declare the same)

JeffMacbeth

Thank you for your responses. You’ve been a massive help. I contacted my insurance to let them know of the accident, and the third party soon admitted liability, but my insurance have only just written to me about these new queries, when I queried if they’d cover the contents too and they asked what was in it. If I’d intentionally meant to lie about the changes, I wouldn’t have mentioned my stock and equipment. My insurance company have never offered or suggested that I claim direct through his insurance, and haven’t talked me through the process, so I was unaware of how it worked after an accident. 

The coffee machine can easily be removed, as could the fridge drawer and till. If you took them out, you’d be left with a drawer and a shelf. That’s the modification issue I suppose.