Car insurance- cancellation fee?

Quentin

Some times you don't have the option, as your current insurer may not be prepared to offer cover on the new car.

dunstonh

Quentin wrote: »

Some times you don't have the option, as your current insurer may not be prepared to offer cover on the new car.

That happened to me last year. My car was a new model and high insurance group and my insurer at the time refused to offer cover on the vehicle. So, as they could not offer continuation they cancelled the policy with no cancellation or amendment charge levied.

shelly

Quentin wrote: »

Some times you don't have the option, as your current insurer may not be prepared to offer cover on the new car.

I agree, you don't always have the option and I may have read the post I quoted wrong but it seemed like OP's husband was just going to cancel without seeing if insurance could continue.

I was just pointing out that changing cars doesn't automatically mean you have to cancel a policy.

money_saver_4

Thank you once again for all the replies. I accept the point that I should have read the terms and conditions in details. I'm not looking for an excuse, but with a very young baby who unfortunately suffers from a condition which leaves me with no time to sometimes even go to the toilet, reading small print is a luxury. Like I said before, I also run my own business, so all in all, no time for looking for hidden charges.

And that brings me onto my next point. This is a HIDDEN charge. In my opinion (yes, I know that my opinion doesn't matter, but will express it anyway), these sorts of charges should be highlighted in the same way that, for example, a balance transfer fee is highlighted when transferring a balance onto a credit card. In this way I can compare like with like when taking out a policy.

lisyloo

Smart answers like "if the small print was too small to read you have had years to request a large print copy" are not why this MoneySaving forum is here.

Hi Quentin,

I understand what you are saying.
I try to avoid making smart comments and sticking to advice and help.
I just feel that sometimes people need to accept responsibility for their actions and mistakes.
Not to make the rest of us feel superior in putting them down but because unless you recognise you made a mistake (albeit understandable) then you can't learn anything from it.

Perhaps I should have not made "smart" comment but I don't personally feel that comments about small print are justifiable.
These charges are not hidden or too small to read.
The truth is often that the person has not prioritised reading the contract.
In this case that may be totally justifiable but it doesn't mean that it's someone else's fault when things go wrong.

raskazz

I disagree that the cancellation terms are "hidden".

The terms are clearly stated in plain, intelligible English in Elephant's KeyFacts sheet.

http://www.elephant.co.uk/Policy/eleKeyFacts.pdf

Quentin

You would think that they would abide by their keyfacts instead of overcharging the op, then trying to justify the overcharge by telling that nonsense about having to pay £45 to the DVLA.

The OP should dispute the charge, and the reasons given and ask for a refund and see what they have to say!

The admin will cost them more than they are trying to scam off their policyholder, presumably thinking they won't bother complaining.

M0neysav3r

What was the reason for cancelling? Was there a replacement vehicle? Or just sold the car not to get another??

Most Insurers will give a pro-rata refund if they refuse to insure you (if you change you vehicle / add a higher rated driver etc)

So if the reason for cancelling was no fault of your own then maybe you could query a pro-rata refund?

If not, then I'm affraid they're within their rights to charge cancellation fee's.

money_saver_4

Quentin wrote: »

You would think that they would abide by their keyfacts instead of overcharging the op, then trying to justify the overcharge by telling that nonsense about having to pay £45 to the DVLA.

The OP should dispute the charge, and the reasons given and ask for a refund and see what they have to say!

The admin will cost them more than they are trying to scam off their policyholder, presumably thinking they won't bother complaining.

Having thought about the matter, I am actually quite angry about the whole thing. It took Elephant 10 months to refund the premium and only after me chasing them. They also went on to charge my credit card this year's premium, even though the policy was cancelled 10 months ago. Like Quentin said, they don't seem to be sticking to the contract themselves, so I don't see why I should be expected.

With this in mind, I've just written to them demanding a refund.

fumken

I took a policy with Tesco in Feb. I stated that I had a no claims bonus. I got a letter from them asking for proof of this - I contacted my last Insurer who said that I would not qualify because I have not had Insurance for two years in THIS country, though I previously had one, it becomes invalid. called Tesco and explained. I told her I had been abroad and she checked the Country I had been and told me that Tesco does not accept their No Claims. I was told by the adviser that I could find an alternative company which I did and found a cheaper quote. I called to cancel today only to be told I had to pay 120pounds cancellation because it was over 21days, but I could write to customer service.
Please advice what do I do. They sent the request AFTER 21 days otherwise we would have discovered the problem earlier.