Learner car insurance cancelled by insurer

paul_c123

https://forums.moneysavingexpert.com/discussion/comment/81861802#Comment_81861802

That's my understanding too. When insurers ask the question "have you ever had insurance cancelled….blah blah blah" I think the underlying meaning is, have you been sufficiently dishonest, rude or annoying, or done something weird (like not paying on time) and they've reached the end of their tether and expelled you from their customer base. Not, as must happen in other circumstances too (for example, changing vehicle to one they won't insure, moving house, etc), a change in circumstances which no longer meets a specific narrow type of cover they were providing (at an appropriate rate).

But words are words, they've used the word "cancelled". I don't know if its possible to tick "yes" to the question but also be able to explain the specific circumstances and have the quote(s) manually reviewed in the future. I imagine their algorithms will not cope with that very well.

Bigwheels1111

My car insurance last year had issues.

As a carer I was given, SDP, commuting and buisness.

I qualified as a bus driver ( passed my PCV ) they only wanted to give me SDP.

Same day as I passed. Called to check.

No good as I need to drive to work.

They offered to end my cover and refund me without exit fees as was there underwriter issue.

So its not a "cancelled" policy.

I could continue without commuting if I wanted.

Like yours its was a not fit for purpose.

HillStreetBlues

The contract (therefore insurance) ended when your son passed his test, it came to its natural conclusion, so there is nothing to cancel.

WobblyBitsGalore

https://forums.moneysavingexpert.com/discussion/comment/81862193#Comment_81862193

@HillStreetBlues , thanks, that's interesting. That makes sense to me but those often don't… Is this the established legal position or does it depend on specifics of contract?

If that's the case, would that mean that their letter is indeed "theatre" to collect their cancellation fee, then?

Grey_Critic

Perhaps it is intended to help. I have no doubt some people will not realise - not having reat the T&Cs.

You did say it was a nice letter

HillStreetBlues

https://forums.moneysavingexpert.com/discussion/comment/81862397#Comment_81862397

As like most on here it's a personal opinion.

Your son might have broken the T&Cs he signed up to by not informing them when he passed.

Sorry if I missed it have they stated they wanted a fee for cancelling, who's the insurer?

Okell

https://forums.moneysavingexpert.com/discussion/comment/81862397#Comment_81862397

I think if I were you I'd advise my son to contact the insurer and ask them whether - as they used the term "cancelled" - when asked in future if he's ever had an insurance policy cancelled, can he answer "No" or will he have to say "Yes"

angrycrow

This is completely standard in the motor insurance world.

Learners have to be supervised so are considered lower risk and insurance premiums are correspondingly lower.

The moment they pass their test they can go out unsupervised and potentially show off their new freedom to their mates. 17 year olds in Corsas or fiestas are considered a particularly high risk. The insurer therefore wants to charge an appropriate premium likely north of £3000.

All learner policies are worded so cover automatically ends the moment they pass their test. It is not cancellation in the sense that is being asked about when an insurer says have you ever had a policy cancelled or voided, cover has simply ended as per the terms and conditions. You can therefore answer the question with a no.

sheramber

The only people who can confirm if they have logged it as a cancelled policy is the insurance company concerned.

daveyjp

OP will confirm, but the big difference between learner insurance and normal policies is they offer far more flexibility as no one knows how long they will be a learner for.

You therefore buy insurance in periods of time and don't have to buy a full year. For my daughter we purchased a couple of three month blocks and that was enough as she passed her test and the policy was 'cancelled'.

This is not the same as buying a typical annual policy and it then being cancelled mid term for dishonesty either in obtaining or claiming, which is when cancellation really has an impact.