stolen car, claim successful - does it count as cancellation?

400ixl

It has never been the cased that a policy is by default terminated when a claim is made and it results in a total loss. Your own link does not say such a thing. You have to pay the full policy value, which is true, but most allow you to use that towards the replacement car, they do not cancel the policy as you claim.

You don't need links for something which is the norm. It can be the case the policy does get cancelled and people need to be aware that it can happen, but it is far from the norm and never has been, nothing has changed.

It would be all over the forum if people were getting policies cancelled following a total loss claim.

Aretnap

The Financial Ombudsman's guidance certainly used to be explicit that insurers should give customers the option of transferring the balance of a policy on a written-off car to their replacement vehicle. This would apply regardless of exactly how the termination clause in the contract was worded.

http://web.archive.org/web/20140628144925/http://financial-ombudsman.org.uk/publications/technical_notes/motor-valuation.html

This is an old version of the guidance as the current version on their website has been made more "user friendly" by having most of the useful information stripped out if it, but AFAIK the underlying policy hasn't changed. If anything the ombudsman tends to become more consumer-friendly over time. Obviously this would be subject to the replacement car being one that the insurer would normally be happy to cover you to drive - if your Ford Focus is written off and you decide to replace it with a Ferrari your insurer would be within their rights to say "no, we don't insure Ferraris" or "yes, but only for this whacking extra premium".

If the OP had replaced his car fairly soon after the accident the advice would have been to go back to Admiral and ask them to cover his replacement (and make a complaint if they didn't), but it's a bit late for than now.

Search engine optimisation text on commercial websites is not a particularly credible source - it is generally written by non-experts, with the intention of attracting Google traffic to the website rather than informing, and frequently contains inaccuracies or at least only tells half the story.

diystarter7

400ixl said:

It has never been the cased that a policy is by default terminated when a claim is made and it results in a total loss. Your own link does not say such a thing. You have to pay the full policy value, which is true, but most allow you to use that towards the replacement car, they do not cancel the policy as you claim.

You don't need links for something which is the norm. It can be the case the policy does get cancelled and people need to be aware that it can happen, but it is far from the norm and never has been, nothing has changed.

It would be all over the forum if people were getting policies cancelled following a total loss claim.

Thank you
Because you chose to post an edited version of my post earlier and omitted the independent insurance source link and quote I posted that agreed with my stance, I will ask you one last time, please post a link where a well know company etc, even a few percent do not write off the policy if, when a car is written off.

I posted a link when I slighlty doubted what I posted in my initial post here and you know what your response to that was, so it would be helpful if you would - if not, there is nothing more to say.
"All over the forum," not really as its nothing new and most people are aware of that.

Thanks in advance.

400ixl

Just one example found in 10 seconds.

https://www.lv.com/car-insurance/continue-insurance-on-another-car-after-made-a-total-loss-claim

As I say, the default is that you can continue the policy on a replacement vehicle if you purchase it within a reasonable time frame (in this case 60 days).

You may have to pay a mid term adjustment cost for administration costs or if the new vehicle has a higher premium. If you don't cover another vehicle then you have to ensure the policy is paid if on instalments either with a lump sum, reduction in settlement or completion of instalments even if the policy has been terminated. You don't get any premium back if you choose not to insure another vehicle.

diystarter7

400ixl said:

Just one example found in 10 seconds.

https://www.lv.com/car-insurance/continue-insurance-on-another-car-after-made-a-total-loss-claim

As I say, the default is that you can continue the policy on a replacement vehicle if you purchase it within a reasonable time frame (in this case 60 days).

You may have to pay a mid term adjustment cost for administration costs or if the new vehicle has a higher premium. If you don't cover another vehicle then you have to ensure the policy is paid if on instalments either with a lump sum, reduction in settlement or completion of instalments even if the policy has been terminated. You don't get any premium back if you choose not to insure another vehicle.

I got mine is 5 seconds and standig by that.  So it is within 60 days only? What about if you are not getting another car - you get your money back, I doubt it as per my link
Thnaks

wongataa

diystarter7 said:

400ixl said:

Just one example found in 10 seconds.

https://www.lv.com/car-insurance/continue-insurance-on-another-car-after-made-a-total-loss-claim

As I say, the default is that you can continue the policy on a replacement vehicle if you purchase it within a reasonable time frame (in this case 60 days).

You may have to pay a mid term adjustment cost for administration costs or if the new vehicle has a higher premium. If you don't cover another vehicle then you have to ensure the policy is paid if on instalments either with a lump sum, reduction in settlement or completion of instalments even if the policy has been terminated. You don't get any premium back if you choose not to insure another vehicle.

I got mine is 5 seconds and standig by that.  So it is within 60 days only? What about if you are not getting another car - you get your money back, I doubt it as per my link
Thnaks

Read to bolded bit again.  It answers your question about money back.  Also reading your policy documents will explain all this.  Time frame will be down to the insurer.