Cancelling auto renew

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Hannah1106
Hannah1106 Posts: 6 Forumite
in Consumer rights
Hi,

I'm wanting to turn auto renew off from a breakdown cover policy. I paid in full and it's due to expire in October. They are wanting to charge me £4.99 admin fee and another £4.99 to the insurance company to turn autorenew off.

My contract with them is for 12 months, I don't understand how they can charge to stop autorenew. Please can I have some advice.
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  • dreamypuma
    dreamypuma Posts: 1,338 Forumite
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    Who is this with? Please don't be Autoaid.
    My farts hospitalize small children :o
  • Hannah1106
    Hannah1106 Posts: 6 Forumite
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    Nova direct
  • [Deleted User]
    [Deleted User] Posts: 5,186 Forumite
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    Hannah1106 wrote: »
    Hi,

    I'm wanting to turn auto renew off from a breakdown cover policy. I paid in full and it's due to expire in October. They are wanting to charge me £4.99 admin fee and another £4.99 to the insurance company to turn autorenew off.

    My contract with them is for 12 months, I don't understand how they can charge to stop autorenew. Please can I have some advice.

    Unfortunately according to the T&C's you agreed to they can charge £4.99 for cancellation which is your cheapest option in order to turn off the renewal option. It's clause 34:-

    https://www.nova-direct.com/terms-and-conditions/
  • Hasbeen
    Hasbeen Posts: 4,404 Forumite
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    Hannah1106 wrote: »
    Hi,

    I'm wanting to turn auto renew off from a breakdown cover policy. I paid in full and it's due to expire in October. They are wanting to charge me £4.99 admin fee and another £4.99 to the insurance company to turn autorenew off.

    My contract with them is for 12 months, I don't understand how they can charge to stop autorenew. Please can I have some advice.

    From the terms and conditions that you agreed to.

    Our cancellation fees are detailed within our Terms of Business, which you confirmed that you had ‘read, understood and accepted’ at the time you completed your insurance application process with us online. These terms have been opted into and as per your acceptance, you have confirmed that you understood that ‘Ignorance of these terms post payment will not be deemed a valid defence against being held accountable by them’.

    Your policy is an automatically renewing policy. This means that the contract continues until the cancellation process is followed. In order to cancel your policy a £4.99 fee is payable and a written request to cancel your policy must be submitted to us formally requesting cancellation. Once the process is followed your policy will be cancelled and the renewal monies will not be deducted from you. This condition is opted into during your quote process under the renewal clause, and is detailed within your policy wording.
    The world is not ruined by the wickedness of the wicked, but by the weakness of the good. Napoleon
  • Hannah1106
    Hannah1106 Posts: 6 Forumite
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    I am not pleeding ignorance, I understand they are in the t and cs. Ive never come across a company that charges for autorenewals cancelling. The information that they have sent me says its £9.98 and not £4.99 like you have stated so even more fees being added to a policy that was £35 for the year.

    "To process a cancellation there is a £4.99 administration fee payable to Nova Direct and a £4.99 fee payable to the Insurer PEX Insure, who are the policy administrators. This fee is non-refundable and must be paid in full prior to a cancellation request being processed"
  • Aylesbury_Duck
    Aylesbury_Duck Posts: 14,003 Forumite
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    But you wanted to know how they could charge in the first place, which suggests you hadn't read the terms. Are you sure the second £4.99 isn't in the terms as well?

    £35 is incredibly cheap for a breakdown policy so I'm not surprised there are extras.
  • Hannah1106
    Hannah1106 Posts: 6 Forumite
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    Maybe i worded it wrong. I have never had this before and it just seems wrong (even if it is in there t&cs)
  • Aylesbury_Duck
    Aylesbury_Duck Posts: 14,003 Forumite
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    Unfortunately it's not wrong if you agreed to it and it's not unreasonable.

    At least you know what to look out for next time. Cheap insurance policies of any kind are cheap for a reason.
  • Hannah1106
    Hannah1106 Posts: 6 Forumite
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    Thank you all for your help x
  • dreamypuma
    dreamypuma Posts: 1,338 Forumite
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    I'd just diarise the renewal date on your phone or diary, with a reminder 4 weeks in advance. Then contact them closer to the date and as for the policy to just lapse.
    My farts hospitalize small children :o
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