Question with reference automatic renewals

[redlizzie]

The last year has been a total nightmare for me, having been ill for most of it.. I am giving this information as it goes someway to explain my total confusion over my financial affairs (you will find my pen name under many threads on this site!) This query relates to car insurance.I took out a new car insurance policy last year in November, in a bit of a blind panic as I realised my last insurance had run out a few weeks earlier. For speed I applied to a different company on line. All sorted (I thought)

A couple of weeks ago I had to call my current insurers to change bank account details (to my parachute account!) and as a side comment was told that my next payment would be substantially higher as I hadn't yet replied to their request for proof of my no claims bonus. This lead to to call my old insurers who then told me I owed them money! How so I wondered? Because they had automatically renewed my insurance! They did write to me (apparently) to warn me and give me time to cancel if required, however I have moved from that address, so did not receive it. They them told me that the current resident had kindly returned all letters to them with "gone away" AND replied to them when they sent HIM a letter asking him where I was!

In order to get my valuable proof of no claims, I paid up, (£56) but my question is, is there any value in me pursuing this? I asked the advisor on the phone where it stated in any documentation they have sent me that the policy would automatically renew and she said it would be "somewhere". It is not (at least no where I can see it!) I ALSO had a problem similar to this the last time I renewed, but the other way about! For YEARS I have been with the same insurance company, and they HAD always simply renewed it in the past. However, their policy CHANGED, so again, I found I had been driving around uninsured... the only way I found out that was wondering why the d/d had not been taken from my account! I therefore had reason to believe it was NOT an automatic renewal!

So, is it worth me doing anything more about this? They say I should have notified them of a change of address (point taken) BUT they knew I had moved, and the policy was coming to an end anyway?

Advice gratefully received

[ab123uk]

Hi Redlizzie, write to their customer relations department, advising them if you dont get a satisfactory response, you WILL be taking the issue to the financial Ombudsman service, for the ombudsman to investegate, it costs them £400, so they're more likely to refund the £56 than pay that!!!

[redlizzie]

What a jolly good piece of advice! Thanks!

[Beanie1]

Hiya, nightmare eh, ask them to check the MID database for dual insurance. You are entitled to a 50% refund from each of the insurance companies from the date your policy renewed so you wouldnt be out of pocket.

If you were to write to their customer relations dept then you need to follow their complaints prodedure through to the end before you can refer to the ombudsman unless they provide you with a rubbish excuse.

Col

[redlizzie]

Thanks for that.. but I'm wondering does it make a difference that there was a gap between the two? As I said, I rushed into a new insurer on line as I thought I was uninsured.. and had been for a couple of weeks or so...

[redlizzie]

also very quickly... how should I word a letter to them then?

[Beanie1]

Originally Posted by redlizzie

Thanks for that.. but I'm wondering does it make a difference that there was a gap between the two? As I said, I rushed into a new insurer on line as I thought I was uninsured.. and had been for a couple of weeks or so...

oh right, in that case you may be charged for pro rata cover for the couple of weeks but for the time after you should be due a 50% refund. Also they may still charge you thr cancellation fee and ask for proof of insurance (although they can check the MID)

Was the policy on direct debit? when was the renewal date? when did you take out the new policy? a few questions but will try put a letter together for you sometime over the weekend.