Am I liable to pay without a credit agreement?

CombleWomble

Hi any help gratefully received

The question is - am I liable for this?

It's a year tomorrow that I gave instructions to renew my house insurance and only a week ago the broker let me know that there had been no credit agreement or DDs taken.

I give the insurance broker instructions to renew and paid an admin fee, but the credit broker didn't get in touch and neither a credit agreement entered into or DD set up.

It's now 12 months later and the credit company are telling the broker they want all the premium in one go and an extra % slightly reduced as it's their 'clerical error'

How do I stand legally. Am I liable?

This year I've gone with another company and set DD up with no problem!

Penguin_

If they had taken the DD's twice all year, where would you stand? Would you let them off or would you ask for the money to be rightly given back to you?

DE_612183

Have you had a certificate of insurance?

If so then I guess you should pay for it - it depends on how the contract is worded - if they state the policy would have been invalid had you claimed because you hadn't paid - then I would guess you shouldn't pay.

dunstonh

How do I stand legally. Am I liable?

If the policy was in force, then you are legally required to pay it.  However, if you don't have the money, they should agree a payment plan with you.   Typically, you can set the payment plan over the same period as the delay. i.e. in this case, 12 months.

An error in the collection method does not give you any rights to avoid paying.   

Seeing as its been a year, you no doubt knew you were not paying it.  So, you should have the money available to cover it unless your finances are really badly managed.

born_again

CombleWomble said:

Hi any help gratefully received

The question is - am I liable for this?

It's a year tomorrow that I gave instructions to renew my house insurance and only a week ago the broker let me know that there had been no credit agreement or DDs taken.

I give the insurance broker instructions to renew and paid an admin fee, but the credit broker didn't get in touch and neither a credit agreement entered into or DD set up.

It's now 12 months later and the credit company are telling the broker they want all the premium in one go and an extra % slightly reduced as it's their 'clerical error'

How do I stand legally. Am I liable?

This year I've gone with another company and set DD up with no problem!

Yes.

Did you not notice the payments not being taken for the year?

If you can't afford to pay, then you need to ask for a payment plan.
But not paying could lead to a world of pain in terms of your credit history & also they could mark it as a cancelled policy, as you had not paid. Meaning any insurance going forward will be far more expensive.

CombleWomble

DE_612183 said:

Have you had a certificate of insurance?

If so then I guess you should pay for it - it depends on how the contract is worded - if they state the policy would have been invalid had you claimed because you hadn't paid - then I would guess you shouldn't pay.

Thanks
I have no documentation from them or their credit company.
I have requested both.

born_again said:

CombleWomble said:

Hi any help gratefully received

The question is - am I liable for this?

It's a year tomorrow that I gave instructions to renew my house insurance and only a week ago the broker let me know that there had been no credit agreement or DDs taken.

I give the insurance broker instructions to renew and paid an admin fee, but the credit broker didn't get in touch and neither a credit agreement entered into or DD set up.

It's now 12 months later and the credit company are telling the broker they want all the premium in one go and an extra % slightly reduced as it's their 'clerical error'

How do I stand legally. Am I liable?

This year I've gone with another company and set DD up with no problem!

Yes.

Did you not notice the payments not being taken for the year?

If you can't afford to pay, then you need to ask for a payment plan.
But not paying could lead to a world of pain in terms of your credit history & also they could mark it as a cancelled policy, as you had not paid. Meaning any insurance going forward will be far more expensive.

Thanks for replying
I actually thought I'd paid in full already last year.
The ability to pay is not the issue.
I've already got a new policy for the forthcoming year and paid in full at a third of the price.

What I want to know is if they hadn't sent any insurance documents or a DD request or bill of any kind am I liable to pay?


 born_again said:

HampshireH

If you haven't ever received any documentation of a certificate of insurance (either email, post or online portal - have you checked all 3)?

Then I would definitely challenge whether you were insured or not.

However, presumably you have told your new insurer you were for the purposes of "how many years no claims do you have"

If suddenly they say you were not insured you may find your current policy increases.

Did you not notice you never received what you thought you had paid for?