Car Insurance Cancellation

TheGreySection

https://forums.moneysavingexpert.com/discussion/comment/82114281#Comment_82114281

I've gotten over the cancellation cost (save for the erroneous additional £35 charged as a result of their assertion they cancelled the policy).

I'm more concerned about their registering that they cancelled the policy and how that will affect me moving forward if not changed.

Jumblebumble

https://forums.moneysavingexpert.com/discussion/comment/82114135#Comment_82114135

Thats all very well but what if the insurers had said we want £10000 to not cancel?

I think we should all stop scaremongering speculation as we have absolutely no idea if option 3 is what actually happened or if it was simply an incompetent agent or as in the cited by me that the cancelation instructions to agents did not match the companies T and C or other reason and let the OP ask them and go to the FOS if necessary

My previous advice to make a formal complaint still stands

Ditzy_Mitzy

https://forums.moneysavingexpert.com/discussion/comment/82114294#Comment_82114294

The OP probably should make a formal complaint if he so wishes. 1st Choice may well waive the cancellation fee on a without-prejudice basis to make him go away — it's the sort of thing I used to do when I handled complaints for a living. It would be classed as a 'commercial decision'.

TheGreySection

https://forums.moneysavingexpert.com/discussion/comment/82114294#Comment_82114294

Thank you. I have made a formal complaint along with the DSAR and intend to go to the FOS if the response is not satisfactory.

I have to say, with the exception of a couple of contributors, the responses here have been very unhelpful and, as you say, scaremongering.

flaneurs_lobster

I have to say, with the exception of a couple of contributors the responses here have been very unhelpful and, as you say, scaremongering.

What do you expect for free from a bunch of randoms on the internet?

Next time you make a mess of buying an insurance policy and don't like the company's attitude then take it to a consumer rights lawyer and let them charge you £300/hr (plus VAT) for advice.

MyRealNameToo

https://forums.moneysavingexpert.com/discussion/comment/82114294#Comment_82114294

The FSA, as it was, did an investigation into cancellation charges a long time ago, I know as I co-authored my employer's at the time response to the request. Back then the conclusion was that flat or banded cancellation charges were much more preferable to some individual T&M type calculation which would mean the insured was unable to gauge the costs in advance. Secondly that anything up to £50 was likely to be justifiable - that isnt to say something over £50 wasnt justifiable just it may need further consideration.

The fact it was the FSA rather than FCA should give a feel for the timescales involved and therefore what inflation is likely to have done to those costs.

The OP's case will depend heavily on whats actually been said, after a decade in call centres the only thing I truly trust is the call recording as I've read an agents notes, I've read what a customer complained about and claimed was said and often both had inaccuracies -v- the call recording.

Its certainly not one of the cases where I would say they have no chance in hell, and we get a lot of those here. The OP hasnt said exactly which product they bought from 1st Central, they have about a dozen varients of their Motor policy. Looking at the Core version the General Terms do have a clause saying that if they discover the insured has carelessly or unintentionally given wrong information then an additional premium is due (paraphrasing heavily). So there is the legal basis for charging the AP, its contractual.

The FOS do also generally consider being given the ability to pay the shortfall is the better route and no insurer is going to let the policy go on because they remain the RTA insurer.

Where there is mileage is in the question of who cancelled the policy, as the terms do vary the cost for doing so depending on if its them for misrepresentation or the OP themselves. This is where hearing the call and seeing their rationalisation of why they are considering it that they cancelled the policy rather than the OP cancelling it. My assumption is that its a refusal to pay which would breach the general terms but Im going at it cold

TheGreySection

https://forums.moneysavingexpert.com/discussion/comment/82114312#Comment_82114312

Thanks, another helpful contribution.

I would question the purpose of this forum and being a regular contributo if your motivation isn't to help consumers but maybe that's just me.

MattMattMattUK

https://forums.moneysavingexpert.com/discussion/comment/82114323#Comment_82114323

One thing to keep in mind is whilst some of the responses might feel harsh, they are making clear the risk of the situation. Having an insurance policy cancelled by the provider for submitting incorrect details has long term implications, including much more expensive future premiums, inability to get a quote from many insurers and also potential issues with any work insurance polices if they apply. The people telling you a complaint will resolve this may be right, but they probably are not, they might be giving you the information you most want to hear, but it may not be the most accurate or useful in the long run.

Jumblebumble

https://forums.moneysavingexpert.com/discussion/comment/82114329#Comment_82114329

If you mean me then of course I have no absolutely idea if a complaint will resolve this or not and neither do you but it would be ludicrous for the OP not to try because I don't begin to understand what risk you or anyone is talking about about if the OP does complain.

( If you had said possible reality rather than risk then I would agree with you 100%)

My view is that if the OP complains there is no risk as they will be no worse off and may be considerably better off

The problem is that OP has declined the increased premium and the policy is cancelled and it is already apparently deemed to be a insurance initiated cancellation so as you say the OP is already in the possible realm of lifetime declaration although again no one knows if the insurance company have made a mistake in logging it that way

We have all said they should pay the £80.00 to settle up what they owe from being on risk to stop that separate issue from escalating

TheGreySection

https://forums.moneysavingexpert.com/discussion/comment/82114288#Comment_82114288

No, I want people with knowledge of the industry, legislation or regulations or with direct experience of such a situation to provide their insight or advice.

It is objectively not helpful to present speculative opinions on the subject as fact if the contributor has no idea what they are talking about or experience of the issue.

I'm not trying to persuade anyone. I'm trying to elicit whether the contributors have any useful knowledge to impart that is worth taking into account.