Cancelled car insurance

MajicMOLE

Afternoon all! After some advice!

Today, I received a letter from my car insurer stating my car insurance has now been cancelled due to a missed payment. 

For context, the insurance renewed in February and is paid annually. The bank details on account were old, so they were not able to take the premium.

However, the letter states they have sent 2 previous letters explaining they are having difficulty collecting payment. Which I’ve 100% not had. The online document portal also has no record of these letters, other than renewal letter and cancellation letter - nothing in between.

Ive been on the phone to them and they are adamant they’ve sent reminders. They also said they were emailed - again, from checking email, I have nothing from them.

They insist they can’t reinstate the cancelled policy and I would need to set up a new policy - the problem that I have is I don’t particularly want a “cancelled” insurance on my account, as it stays with me forever (I think?) and effects premium prices and what insurers are willing to insure me. Not sure if it affects my credit rating?

Where do I stand? I understand it’s my responsibility to ensure payment details are upto date, but my insurers have not sent me any correspondence that they have had problems and I feel it’s unfair for them just to cancel.

Does this “cancelled” insurance policy actually count as cancelled from the insurer that I would need to declare to future insurers, or simply that it wasn’t renewed?

lordmountararat

Cancelled insurance is not the same as refused insurance. Your insurance was cancelled because of an administrative confusion, not because you did anything wrong. You haven't been refused insurance, so I think if you explain the circumstances, and maybe offer to pay the whole premium up front, you'll be OK, but maybe best to organise it through a broker.

Brie

I'd start by taking screen shots of the online document portal where there's no record of letters.  Not saying they will try to manipulate things but it's a good bit of proof in my opinion.  Harder to prove no emails as they are easy enough for you to delete should you be lying (which I don't think you are)

With your evidence and information regarding when and who you talked to and what was said I would then file a complaint with them stating that you feel they have acted irresponsibly by not corresponding with you according to their procedures and that this ultimately will effect you financially.  Tell them that they need to either reinstate your policy on the same terms as previously or set up a new policy on the same terms (so no increase in premiums) and ensure that they erase the "cancellation" from their records as they have obviously done this in error.  

Tell them that this is an urgent matter as you need your car insured as you use it daily.  (and certainly don't drive it until this is sorted).  Tell them that their error will be costing you £XX each day as you need to borrow your OH's car, get a ride to work, take the train, whatever.  

Be prepared for them to come back and say it was up to you to notice that the payment wasn't taken (which is a good point) but there may be a good reason you weren't concerned about this if you switched accounts and assumed all your DDs were moved as well.  Perhaps you need to talk to your bank about why this failed too.  

Car_54

No money changed hands, so there was no contract to cancel?

born_again

MajicMOLE said:

Afternoon all! After some advice!

Today, I received a letter from my car insurer stating my car insurance has now been cancelled due to a missed payment. 

For context, the insurance renewed in February and is paid annually. The bank details on account were old, so they were not able to take the premium.

However, the letter states they have sent 2 previous letters explaining they are having difficulty collecting payment. Which I’ve 100% not had. The online document portal also has no record of these letters, other than renewal letter and cancellation letter - nothing in between.

Ive been on the phone to them and they are adamant they’ve sent reminders. They also said they were emailed - again, from checking email, I have nothing from them.

They insist they can’t reinstate the cancelled policy and I would need to set up a new policy - the problem that I have is I don’t particularly want a “cancelled” insurance on my account, as it stays with me forever (I think?) and effects premium prices and what insurers are willing to insure me. Not sure if it affects my credit rating?

Where do I stand? I understand it’s my responsibility to ensure payment details are upto date, but my insurers have not sent me any correspondence that they have had problems and I feel it’s unfair for them just to cancel.

Does this “cancelled” insurance policy actually count as cancelled from the insurer that I would need to declare to future insurers, or simply that it wasn’t renewed?

What do you mean by that?

A old & used account does not stop payments being taken.

cw8825

MajicMOLE said:

Afternoon all! After some advice!

Today, I received a letter from my car insurer stating my car insurance has now been cancelled due to a missed payment. 

For context, the insurance renewed in February and is paid annually. The bank details on account were old, so they were not able to take the premium.

However, the letter states they have sent 2 previous letters explaining they are having difficulty collecting payment. Which I’ve 100% not had. The online document portal also has no record of these letters, other than renewal letter and cancellation letter - nothing in between.

Ive been on the phone to them and they are adamant they’ve sent reminders. They also said they were emailed - again, from checking email, I have nothing from them.

They insist they can’t reinstate the cancelled policy and I would need to set up a new policy - the problem that I have is I don’t particularly want a “cancelled” insurance on my account, as it stays with me forever (I think?) and effects premium prices and what insurers are willing to insure me. Not sure if it affects my credit rating?

Where do I stand? I understand it’s my responsibility to ensure payment details are upto date, but my insurers have not sent me any correspondence that they have had problems and I feel it’s unfair for them just to cancel.

Does this “cancelled” insurance policy actually count as cancelled from the insurer that I would need to declare to future insurers, or simply that it wasn’t renewed?

As it stands. Yes you have had a policy cancelled. 

It seems you have received the renewal email and cancellation notice  so theirs is not any issue with them being able to contact you. M

on the renewal you received is there anything stated about how they will take payment?
if it confirms your old details and you haven’t acted that will go against your complaint. 

What is the time frame between the renewal and date of cancellation?
Past experience I would have expected any non payment to be noticed within the first 5-10 days. 

Then a reminder sent 
then a notice giving 7 days prior to cancellation

they should have a record of all correspondence sent out. You can ask for copies of those to help you complaint

but currently whilst insuring the truthful answer is yes you have had a policy cancelled

TooManyPoints

...but currently whilst insuring the truthful answer is yes you have had a policy cancelled

I'd take a slightly different view. It seems to me his policy expired and he chose not to renew it. After it expired, since he didn't renew it, it could not be cancelled. Unless, that is, the insurer provided cover after expiry without ensuring payment had been made. Then it would be arguable whether you were deemed, by default, to have renewed unless you told them you didn't wish to.

Mildly_Miffed

This is a renewal of an annually-paid policy, where the renewal didn't go ahead because the money couldn't be taken from last year's payment details?

Not a cancellation in the way they mean when they ask.

They mean "But you lied about your car being modified, your licence, the drivers, so we cancelled the policy when we found out."

cw8825

TooManyPoints said:

...but currently whilst insuring the truthful answer is yes you have had a policy cancelled

I'd take a slightly different view. It seems to me his policy expired and he chose not to renew it. After it expired, since he didn't renew it, it could not be cancelled. Unless, that is, the insurer provided cover after expiry without ensuring payment had been made. Then it would be arguable whether you were deemed, by default, to have renewed unless you told them you didn't wish to.

Mildly_Miffed said:

This is a renewal of an annually-paid policy, where the renewal didn't go ahead because the money couldn't be taken from last year's payment details?

Not a cancellation in the way they mean when they ask.

They mean "But you lied about your car being modified, your licence, the drivers, so we cancelled the policy when we found out."

The op states the policy renewed. was then cancelled for non payment. 

It does not appear they went out and had alternative cover presumably because they were of the belief the policy has renewed. 

The cancelled policy question also applies to non payment of oremium

HampshireH

Just put of interest which insurer was this? I ask because Flow (now Allianz) had significant payment issues  (still do). I had an old card linked for auto renew and their site couldn't remove or update it and refused to take 4 different bank cards for payment (mix of debit and credit)

Same thing happened when changing the vehicle and having to pay extra.

Aside of that I ddidnt know they did auto renew without the payment clearing moat insuers comms say cover will lapse. Not known an insurer to actually let the cover start without the payment.

knightstyle

Emails could have gome in spam which then deleted after 30 days???