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Changing insurer mid-claim

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Hi all,
We have a current claim open with Peppercorn insurers for an accident that was our fault. Peppercorn have just sent an email saying they will be cancelling our policy at the renewal date, which is in 3 weeks time, as their underwriters can no longer cover us. (We are in our 40s and have over a decade of no-claims, so this was a suprise!) Anyway, it's not ideal finding a new insurer mid-claim, but I know it's both necessary and possible. My question is regarding our NCD. I did take out NCD protection on this current policy that I'm claiming on. With this in mind, what do I need to declare when applying for a new insurer? Do I say I have NCD? Explain that I have NCD, but have an open claim, but have protected NCD? Any guidance much appreciated! Thanks :)

Comments

  • First, and most important - it's not a CANCELLATION, it's simply a refusal to quote for a new policy.

    Cancellations have to be declared on quotes for new policies.
    Refusals to quote happen every single time you run a comparison engine - you just aren't aware that, say, Saga don't quote for you because you don't fit their criteria.

    Your NCB is at risk all the way until the claim is concluded in your insurer's full favour, so you will can't use the full lot on any new quotes. You probably need to speak to insurers, instead of just meerkatting it. Is the protected bonus the FULL amount, or just two year max hit?
  • Aretnap
    Aretnap Posts: 5,761 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Your insurers should provide you with a letter saying how many years NCD you have (you might have to ask them for it). You declare however many years it says on that letter to the new insurers - it's the letter that you'll use if they ask for proof. If your NCB is protected it should be the same number as last year, regardless of whether the claim has been settled.

    Independently of that you will have to declare the accident as an ongoing open claim, under the question about accidents or claims in the last 5 years.
  • DullGreyGuy
    DullGreyGuy Posts: 18,613 Forumite
    10,000 Posts Second Anniversary Name Dropper
    First, and most important - it's not a CANCELLATION, it's simply a refusal to quote for a new policy.

    Cancellations have to be declared on quotes for new policies.
    Refusals to quote happen every single time you run a comparison engine - you just aren't aware that, say, Saga don't quote for you because you don't fit their criteria.

    Your NCB is at risk all the way until the claim is concluded in your insurer's full favour, so you will can't use the full lot on any new quotes. You probably need to speak to insurers, instead of just meerkatting it. Is the protected bonus the FULL amount, or just two year max hit?
    To add to the above, some websites do ask if your insurer has ever declined to offer you a renewal quote, for any asking this question you would now need to answer yes. For the traditional question about cancellation or avoided then you can still answer no.

    Assuming this is your first claim of any sort in the last 3 years then the NCD Protection will mean the NCD will remain the same but you do still have to answer the questions asked honestly which includes declaring the claim and its current status. 

    Switching insurance mid claim on Motor is not problematic, and if its a fault claim its of little consequence. It can be a touch more awkward if you believe if its a non-fault but the claim is still open.
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