Can I cancel insurance mid-term if provider change their cover even if I have claimed?

benwrigley

Hi Everyone,

I have a Health care insurance policy; one where you can claim back dental and optical etc. up to a certain limit for each category. 

The policy has a 30 day cooling-off but also a clause saying they can cancel or change cover limits at any time with a few weeks notice.

Does anyone know what my cancellation rights are if this were to happen mid-term and I have already claimed for some treatment?

For example, say I'm paying £30 a month and I can claim £200 a year on dental and  £200 on optical. Say after 2 months, the company decide to change their limit to £100 for each. At this point I've paid £60 and say I have already claimed £120 for optical.

Firstly, am I allowed to cancel now at all?
Secondly, if I can cancel, would I have to repay the £120 I had claimed? And also lose the £60 I've already spent?
Lastly, if I chose to stay at that point, could the insurance company ask me to repay £20 given I'm now over their new limit?

Thanks for any thoughts!

Aylesbury_Duck

Are these eventualities covered in the policy documents?  I'd have thought so.

Otherwise, I'd just ring and ask.

benwrigley

 Aylesbury_Duck said:

Are these eventualities covered in the policy documents?  I'd have thought so.

Otherwise, I'd just ring and ask.

Thanks for replying so fast! 

No, it simply says they have the right to cancel or change with four weeks notice, but nothing more about my right to cancel at this point. So I'm wondering what the default position is.

I would normally call and ask but I'm in a wrangle with this company already, where I have have taken out the policy in good faith, and subsequently been told that my understanding of the cover was wrong. I've challenged this in many emails to them and subsequently their underwriter. We have finally agreed that my understanding was correct. However, I think they may now simply change the level of cover mid-term.

DullGreyGuy

Read your policy book, looking at Bupa's standard cash plan though you can cancel:

• Within 21 days of the Start Date for a full refund back to inception
• Within 21 days of any change they make to the policy with a refund back to the date of the change
• Any time after with a refund to your cancellation date

If your policy is the same you can cancel at any time, just what refund you get depends on if its in the cooling off period, after a change they've made or you are doing it on a whim. 

benwrigley

DullGreyGuy said:

Read your policy book, looking at Bupa's standard cash plan though you can cancel:

• Within 21 days of the Start Date for a full refund back to inception
• Within 21 days of any change they make to the policy with a refund back to the date of the change
• Any time after with a refund to your cancellation date

If your policy is the same you can cancel at any time, just what refund you get depends on if its in the cooling off period, after a change they've made or you are doing it on a whim. 

Thanks! Yes I've been through the policy carefully. The only wording is in the cooling off period:

Cooling off period – You have 30 days from the date We issue Your policy documentation to review it. If You are not satisfied with the policy, simply notify Us in writing within the 30 days and We will cancel Your policy. Provided a claim has not been paid We will refund any premium collected. If you wish to cancel this policy at any other time write to [company].

powerful_Rogue

Name of the company so people can look?

benwrigley

powerful_Rogue said:

Name of the company so people can look?

The company is Hive. Documentation is all here: 

https://hiveinsure.co.uk/individuals-couples-and-families/medical-cash-plan/

These are the same documents that are provided when the policy is taken out.

DullGreyGuy

Are you paying monthly?

Its poorly drafted but appears you cancel at any time just the difference is a cancellation in the cooling off period gets you a full refund if no claims have been made whereas a cancellation after that doesn't generate a refund.

user1977

Have they actually changed their cover?

benwrigley

DullGreyGuy said:

Are you paying monthly?

Its poorly drafted but appears you cancel at any time just the difference is a cancellation in the cooling off period gets you a full refund if no claims have been made whereas a cancellation after that doesn't generate a refund.

Yes I'm paying monthly. And I read it the same as you, but that would mean I could in theory claim all my benefits in the first month (which would be hundreds of pounds as there are three people on the policy) and then cancel without repaying anything. I'm surprised there isn't more written in to protect the company which then made be doubtful of my cancellation rights.

benwrigley

user1977 said:

Have they actually changed their cover?

They have said that they will be in the near future as they had misunderstood their agreement with the underwriters and so are now revising the terms. At the moment the terms are great for me and I want to stick with them and then cancel if/when they change the terms.