Insurance policy after total loss

mark5

My girlfriend was recently in a bump in her car her fault and the insurer is Moja part of Axa.

If its declared a total loss which it looks like it might as copart have her car will her remaining 11 month’s of insurance end with the pay out or can she use the same insurance on her next car until the policy expires?

Aretnap

She won't get a refund for the remaining months but yes, the insurer should allow her to transfer the remaining period to amreplacement car.

This is subject to a couple of caveats such as getting the new car in a reasonable period of time, the new car being one that the insurer would normally be willing to offer her cover for, and possibly an extra payment if the new one is more expensive to insure than the old one. So it's worth checking these points with the insurer when she's choosing a replacement car, to make sure there are no nasty surprises when she asks to transfer the policy.

sheramber

There is normally a time limit for continuing insurance on the existing policy. Our ‘s was one month after thr payout was agreed.

sheslookinhot

Best read the T’s & c’s or ask your insurer.

Aretnap

sheslookinhot said:

Best read the T’s & c’s or ask your insurer.

The terms and conditions might simply say that the policy ends on a total loss payment, however the rule that the insurer should still allow the balance of the policy to be transferred to a replacement vehicle comes from the Financial Ombudsman Service and applies in spite of the terms and conditions.

flashg67

A friend successfully argued for a pro rata refund after a total loss on a month old policy which was originally denied by the insurer