Penalised for not claiming.

Steve1981

hudster wrote: »

My wifes car was parked outside her mums house when is was hit by a drunk driver.

The police told us to inform our insurance company, which we did, but the driver turned up and said he would pay for any damage. So we didn't make a claim, and informed our insurance company.

Now our policy is up for renewal, she got the renewal notice with her no claims bonus statement showing she made a claim.
But we didn't, her insurance company, Diamond, say that we had and "Incident" and that even though we didn't make a claim with them, or receive any money from them, this "incident" has increased her premiums.

Now whenever she applies for car insurance she has to inform them that she made a claim, and this puts up every other policy we apply for.

Is there anything she can do about this or does she have to be penalised for someone else hitting her car?

this is absolute rubbish they are trying to pull a fast one here,

if you dont claim then it doesnt affect your no claims bonus, thats why the excess is there to disuade people from making little claims.
if a third party hit your wife and they paid out without the insurance, how can that have anything to do with your insurance company?

i've worked in Motor Insurance for a number of years and only recently have some companies started to try and pull this one.

raskazz

Steve1981 wrote: »

if a third party hit your wife and they paid out without the insurance, how can that have anything to do with your insurance company?

Because you are required to disclose all incidents, regardless of fault, which you would know if you had "worked in Motor Insurance for a number of years".

ravenfire_2

If you didnt actually make a claim through your insurance then it shouldnt affect your premium. I would suggest moving elsewhere if the company you are with continue with this stance.

raskazz

ravenfire wrote: »

If you didnt actually make a claim through your insurance then it shouldnt affect your premium. I would suggest moving elsewhere if the company you are with continue with this stance.

No, this is incorrect.

Many, if not most, insurers will load a premium for a non-fault claim. This is because there is actuarial data that shows that those involved in a non-fault claim are (slightly) more likely to make a fault claim in the future.

shelly

advantix wrote: »

And that is exactly why, if they found out you had not informed them you had been involved in an "incident", they could refuse to pay out on any claim you made in future as you had not disclosed "material facts"

I do know this but I still wouldn't tell them unless I was actually claiming.