The Great 'Car Insurance Cancellation & Administration Fee' Hunt

Porcupine

Some more examples:

Provident Thirty Plus (via Motorquote Direct)
Cancellation fee: £35
Source : http://policysummary.cdlis.co.uk/policysumm/Provident_PC_PS0809_ThirtyPlus-2009-11-23-13-10-38.pdf

Sabre (via Motorquote Direct)
Cancellation fee: £25
Source : http://policysummary.cdlis.co.uk/policysumm/Sabre_PC_PS0310_Std-2010-03-04-09-50-06.pdf

The Key Facts don't specify admin fees for changes.

dacouch

Porcupine wrote: »

Some more examples:

Provident Thirty Plus (via Motorquote Direct)
Cancellation fee: £35
Source : http://policysummary.cdlis.co.uk/policysumm/Provident_PC_PS0809_ThirtyPlus-2009-11-23-13-10-38.pdf

Sabre (via Motorquote Direct)
Cancellation fee: £25
Source : http://policysummary.cdlis.co.uk/policysumm/Sabre_PC_PS0310_Std-2010-03-04-09-50-06.pdf

The Key Facts don't specify admin fees for changes.

The above would be in addition to Motorquote's own fees which are listed. http://www.motorquotedirect.co.uk/Motorquote.pdf

The following charges will apply in addition to any due to the insurer:
Administration set-up fee for new policies and
/ or renewals – you will be advised of the
amount before you commit to the insurance.
Up to 35% of the insurers annual premium

Alterations and / or additions Up to £150.00, subject to a minimum charge of £12.50
Professional charges for legal policy Up to £90.00

Renewal administration Up to 35% of the insurers annual premium

Cancellation of policy Up to 25% of refund

Copy of voice recording £25.00

Duplicate documents £21.50

n3phi1im

You can add Chaucer Direct to that list. They just quoted a £65 cancellation charge for a car insurance policy!

Of course I am going to argue with them, I accept that there may be an administrative cost here but I think this is excessive. If they refuse to reduce the charge I will complain to the FSA.

dunstonh

If they refuse to reduce the charge I will complain to the FSA.

The FSA dont handle consumer complaints. You would need to complain to Chaucer.

surfinsaint

Post Office
Administration Fee : £20 [belindah]
Cancellation Fee: £35 [belindah]

er I have cancellation bill in front of me for £125!

Had a Ford Fiesta 1.3, but suffered irrepairable engine/gearbox damage, so disposed of it, and had to insure my other car, which is a 4x4, but it's an Import so they wouldn't insure it, meaning I had no choice but to cancel the policy.

Stuck betweeen the devil and the deep blue sea, the remaining payments were only about £140, which, if they had informed me at the time of the cancellation, would have given me my 10th year of No Claims, but now have to pay £125 and get absolutely nothing in return!

dunstonh

Post Office
Administration Fee : £20 [belindah]
Cancellation Fee: £35 [belindah]

er I have cancellation bill in front of me for £125!

That probably means that £35 is due to the cancellation fee and £90 is for outstanding premium not yet paid.

Stuck betweeen the devil and the deep blue sea, the remaining payments were only about £140, which, if they had informed me at the time of the cancellation, would have given me my 10th year of No Claims, but now have to pay £125 and get absolutely nothing in return!

Did you ask them how much it would cost to cancel the policy before agreeing to it or did you just look up the cancellation fee?

losgiganteskid

dadsma wrote: »

marmarama, thank you for your thanks.

Perhaps Dunstonh would like to comment on my post #147

Deathly silence ??

dunstonh

losgiganteskid wrote: »

Deathly silence ??

You copied and pasted an FOS publication that backs up what we have been saying (no surprise as the FOS publications are often the source of our comments). I didnt know you wanted a response to it.

mikey72

Well the post #147 suggests the refund should be in the region of £90, the pro rata of £140 remaining less the maximum of £50. Hopefully only £35 as that's what they have stated, altough they could arguably try to put the £20 admin cost on as well.
Sounds like surfinsaint has a complaint to be made to the FOS if the post office won't refund correctly.

mrsbeetlebum

I have messed up and taken out a new policy and realised that I have used the NCD from the wrong car within the hour I called to let them know I needed to cancel. The policy inception date is in 2 days therefore the policy is not current. They want to charge me £50.00 admin for what? I understand if the policy had been incepted and issued and posted to me and had cost the insurance company anything at all I would have to pay cancellation but to buy online find my mistake within the hour and try to rectify it surely this canot be lawful.