I called my car insurance provider today to change my address and was told I would have to pay £35 for them to do this. Seems very steep. Is this standard?

Is the new address a higher risk area? That could be why you are charged more. Which insurer/broker are you with? Some companies do charge just for changing the address on the system even if there is no increase in the risk, but I doubt that would account for the full £35.

Hi Lemontwist and thanks for the response. Just to clarify this charge is purely for the change of address as they don't even tell you if it changes your premium until you have paid it, so it is purely an 'admin' charge.

I thought in the light of the bank charges debarkle that insurance companies would be all to aware of charges having to be 'fair and proportionate', so it strikes me as odd that it costs £35 to change your address on a policy.

Problem is of course if I don't pay it my insurance could be invalidated.

Yes, £35 does seem rather steep. I'm assuming you must have bought your insurance through a broker, as their amendment fees are often higher than those charged by direct insurers. Most direct insurers charge around £15 for policy amendments.

You may be better off just cancelling the policy and starting a new one somewhere else, although there will almost certainly be a cancellation charge, which you would need to take into account if you decide to move insurer.

Hi

Please forgive me if this is in the wrong place but I didn’t know where to put it.

My situation is as follows,

I have a credit agreement with a finance company in respect of my car insurance as I pay by monthly instalments rather than one up front lump sum.

A payment was due to leave my account on 26 April 2010 but failed as I had changed bank accounts.

On 28 April 2010 the finance company send me an arrears notice and a default notice.

Which I had fourteen days to comply with.

I didn’t comply with this as I was on holiday and have only discovered all of this upon my return.

They have now cancelled my account and I do not know what the status of my car insurance is

(I will find out tonight).

I therefore have the following questions:

• What constitutes ‘arrears’ under the CCA 74, I thought it was missing two payments, surely it has to be more than a payment two days late?
  
• Don’t they have to give you an arrear notice before they default you? Surely they can’t send the first arrears notice and the default at the same time?
  
• I think the default notice is invalid anyway, how do I check this?
  

Thanks!

bump