Insurance issues to be aware of

Zolablue

Hi all
I have recently encountered an issue affecting insurance that could happen to you and you may not be aware of. 
If someone supplies your registration number to their insurance company following an accident, either by mistake or by being malicious, then this will cause problems for you - even if you weren't anywhere near the accident in the first place.

About a month ago I received an email out of the blue from my insurance underwriters asking why I had not supplied details of an accident - the simple reason was that I hadn't been involved in an accident. Someone had supplied to their insurance company my registration number and now my details appear on the claims register. The accident happened approximately 300 miles from where I was on that particular day and approximately 250 miles from my home. My car was sitting outside my house during the whole of the period that it was supposed to be in an accident.

Despite informing my insurance company that I was not in an accident I was not believed and they are sending an engineer to examine my vehicle for damage.  It appears that I am expected to prove my innocence in this matter. THis has so far gone on for over a month and I am still on the claims register

In the meantime my motorcycle insurance is due for renewal. I spoke with the broker today and my premium has increased by a shade under 50% just because my details appear, incorrectly, on the claims register and there is nothing that I can do about it.

So, just because you are a safe driver and never get in to any accidents don't think that you can't end up on the claims register and have to fork out a load of cash - and there is nothing that you can do about it. You are at the whim of the insurance companies and rely entirely on them sorting the whole mess out - and they don't appear to be in any hurry to do so.

AdrianC

Zolablue said:

Despite informing my insurance company that I was not in an accident I was not believed and they are sending an engineer to examine my vehicle for damage.  It appears that I am expected to prove my innocence in this matter.

No, you're simply expected to go along with them in confirming your innocence.

Imagine what would happen if everybody could do a runner, then say "Me? <innocent wide eyes> No, I was nowhere near, honest..." and just be taken at face value.

I presume your car will show no signs of damage when the engineer visits...?

Zolablue

AdrianC said:

I presume your car will show no signs of damage when the engineer visits...?

You presume correctly.
Of course it would be difficult to accept anyone's word for it but common sense might be useful and a timely end to the process should also be a reasonable requirement. Also, as I have been denying involvement perhaps this should mean that I am assumed innocent (and my details not put on the claims register) until it is shown that I am lying?  Of course, if they could show that someone is lying, then their details should go on eth claims register but not until that point.

Anyway, after a little over a month, I have been assured by my insurer that I have now been taken off of the register (and they have, apparently, cancelled today's engineer's visit) as the other insurance company have accepted that I was not involved and that their client had made a mistake. 

Sandtree

Most of these cases are that of genuine error... someone scribbles down a registration plate and the handwriting is difficult to read later etc.

As Adrian has said, insurers do not assume you are innocent or guilty they just note that someone is attempting to make a claim against you and they investigate. How long it takes depends as much on the claimant as anything... when you tell us that you werent involved we go back to the other insurer and ask a lot more details and any evidence, most the time they then have to go back to their insured and ask the same. A fortnight or so later we get a copy of the note that was apparently left under the windscreen and depending on what it shows will dictate if we pushback, ask our insured to provide a handwriting sample or one of a host of other options. 

All claims go onto CUE, if your insurer subscribes, and are updated as the case progresses. Whilst you may prefer they wait until the end of the claim that leaves too much opportunity for someone to end their insurance and take out a new policy without declaring the ongoing claim.

Glad to hear that your own claim has now been resolved. 

Username03725

My (late) mother once had a call from a police force at the other end of the country in connection with a murder enquiry. Her registration number had been provided by an eye witness at the scene... She didn't do it, honest...

Zolablue

Sandtree said:

Most of these cases are that of genuine error... someone scribbles down a registration plate and the handwriting is difficult to read later etc.

As Adrian has said, insurers do not assume you are innocent or guilty they just note that someone is attempting to make a claim against you and they investigate. How long it takes depends as much on the claimant as anything... when you tell us that you werent involved we go back to the other insurer and ask a lot more details and any evidence, most the time they then have to go back to their insured and ask the same. A fortnight or so later we get a copy of the note that was apparently left under the windscreen and depending on what it shows will dictate if we pushback, ask our insured to provide a handwriting sample or one of a host of other options. 

All claims go onto CUE, if your insurer subscribes, and are updated as the case progresses. Whilst you may prefer they wait until the end of the claim that leaves too much opportunity for someone to end their insurance and take out a new policy without declaring the ongoing claim.

Glad to hear that your own claim has now been resolved. 

I don't doubt that they are genuine error. I know that stuff happens - that's life, but it shouldn't be the innocent party in the error that gets the runaround and has issues with insurance renewals. That is really my point (I think!)

Hopefully my details have been removed from the CUE (I assume that is the claims register that my motorbike insurers told me about) but I won't know for sure until I try and resolve my motorbike insurance as, obviously, I am not able to search the thing myself (nor should I be able to).

Your point about the system flagging all ongoing claims just emphases that the system is not fit for purpose. Given current technology, it shouldn't be beyond the wit of man to have a system that presumes innocence and only records the claim when it is an actual, genuine, claim. Surely a system can be designed whereby, when a claim is confirmed and put on the CUE then each insurance company is notified immediately of that confirmed claim and any policies they have raised with the "offender" could be questioned and/or cancelled. Maybe insurance companies will say that this is too much of a burden on them and its better to inconvenience innocent parties than have to do any additional work.

ontheroad1970

Zolablue said:

Sandtree said:

Most of these cases are that of genuine error... someone scribbles down a registration plate and the handwriting is difficult to read later etc.

As Adrian has said, insurers do not assume you are innocent or guilty they just note that someone is attempting to make a claim against you and they investigate. How long it takes depends as much on the claimant as anything... when you tell us that you werent involved we go back to the other insurer and ask a lot more details and any evidence, most the time they then have to go back to their insured and ask the same. A fortnight or so later we get a copy of the note that was apparently left under the windscreen and depending on what it shows will dictate if we pushback, ask our insured to provide a handwriting sample or one of a host of other options. 

All claims go onto CUE, if your insurer subscribes, and are updated as the case progresses. Whilst you may prefer they wait until the end of the claim that leaves too much opportunity for someone to end their insurance and take out a new policy without declaring the ongoing claim.

Glad to hear that your own claim has now been resolved. 

I don't doubt that they are genuine error. I know that stuff happens - that's life, but it shouldn't be the innocent party in the error that gets the runaround and has issues with insurance renewals. That is really my point (I think!)

Hopefully my details have been removed from the CUE (I assume that is the claims register that my motorbike insurers told me about) but I won't know for sure until I try and resolve my motorbike insurance as, obviously, I am not able to search the thing myself (nor should I be able to).

Your point about the system flagging all ongoing claims just emphases that the system is not fit for purpose. Given current technology, it shouldn't be beyond the wit of man to have a system that presumes innocence and only records the claim when it is an actual, genuine, claim. Surely a system can be designed whereby, when a claim is confirmed and put on the CUE then each insurance company is notified immediately of that confirmed claim and any policies they have raised with the "offender" could be questioned and/or cancelled. Maybe insurance companies will say that this is too much of a burden on them and its better to inconvenience innocent parties than have to do any additional work.

How else do you think they can manage it?  Come after you after you have started your next period with them or someone else? It's far from ideal as it is, but what's the alternative?

Sandtree

Zolablue said:

Sandtree said:

Most of these cases are that of genuine error... someone scribbles down a registration plate and the handwriting is difficult to read later etc.

As Adrian has said, insurers do not assume you are innocent or guilty they just note that someone is attempting to make a claim against you and they investigate. How long it takes depends as much on the claimant as anything... when you tell us that you werent involved we go back to the other insurer and ask a lot more details and any evidence, most the time they then have to go back to their insured and ask the same. A fortnight or so later we get a copy of the note that was apparently left under the windscreen and depending on what it shows will dictate if we pushback, ask our insured to provide a handwriting sample or one of a host of other options. 

All claims go onto CUE, if your insurer subscribes, and are updated as the case progresses. Whilst you may prefer they wait until the end of the claim that leaves too much opportunity for someone to end their insurance and take out a new policy without declaring the ongoing claim.

Glad to hear that your own claim has now been resolved. 

I don't doubt that they are genuine error. I know that stuff happens - that's life, but it shouldn't be the innocent party in the error that gets the runaround and has issues with insurance renewals. That is really my point (I think!)

Hopefully my details have been removed from the CUE (I assume that is the claims register that my motorbike insurers told me about) but I won't know for sure until I try and resolve my motorbike insurance as, obviously, I am not able to search the thing myself (nor should I be able to).

Your point about the system flagging all ongoing claims just emphases that the system is not fit for purpose. Given current technology, it shouldn't be beyond the wit of man to have a system that presumes innocence and only records the claim when it is an actual, genuine, claim. Surely a system can be designed whereby, when a claim is confirmed and put on the CUE then each insurance company is notified immediately of that confirmed claim and any policies they have raised with the "offender" could be questioned and/or cancelled. Maybe insurance companies will say that this is too much of a burden on them and its better to inconvenience innocent parties than have to do any additional work.

How many thousands of these types of cases have you dealt with to dispute that the majority are genuine errors? 
There are certainly other reasons... cloned number plates, malicious targeting, genuine accidents by a ND or family member who hasnt told the PH, random targeting of a vehicle that was near the scene at the time.  By far the most common in my claims days was just wrong reg recorded... though did uncover two affairs where ND was "away for work" with their partners cars but instead were off somewhere else with their bit on the side. Claim initially denied by PH as not in the area but subsequent photos showed car (and in one case, car + girlfriend) was without doubt theirs.

CUE only holds factual details about claims, it is up to individual insurers to decide how they wish to interpret it. Plus CUE is only there to validate what you've told your insurers and isnt meant to be the primary source of information. Insurers don't want to be writing policies and finding out about historic facts after the policy is bound... firstly it would be a nightmare with arguments over fees and increased premiums when CUE sent out an update (not to mention all those that cancel the policy as the revised data is outside the risk appetite) and secondly those that simply refuse to pay create RTA risks for the insurer because the person has a certificate of motor insurance.

The correct process is that you tell your insurers up front about the alleged incident/claim on your other policy. They will tell you how they are going to interpret it, they validate with CUE that there are no other claims you've not confessed to, and if they've said come back to us when its resolved and we'll discount your premiums then they do that.