Hi,

My son didn't pay the last monthly premium with a car insurance company and we have since set up a new policy with another insurer.

Can the old company refuse to send the discount proof until we pay up the outstanding balance?

Thanks, 1970.

Unless you pay the amount oustanding, then yes they will very likely refuse to issue you proof of NCB.

How many years did your son have before he went to the company?

if he has always been insured by that company and has built up a number of years, you could ask for a letter to confirm how long the policy has been in force and to note the number of claims made etc up to the date of the missed payment etc

As far as I am aware they have to provide you with this information for the period of cover you have paid for.

 

Can the old company refuse to send the discount proof until we pay up the outstanding balance?

Yes they can, it will be part of the terms and conditions of your policy and is standard practice.

Best thing to do is call them up, pay off whatever you owe and then they will send you your proof of bonus to give to your new insurer.

DA

i Thought they couldnt do that? if a customer had to say produce evidence of insurance to the Police etc, we cannot refuse to issue them a letter if they were on cover at the time and were fully paid.

I know Tesco has recently introduced this practice r.e withholding ND if there is a premium outstanding.

Hi,

 

My son didn't pay the last monthly premium with a car insurance company and we have since set up a new policy with another insurer.

 

Can the old company refuse to send the discount proof until we pay up the outstanding balance?

 

Thanks, 1970.

Yes they can refuse to send the proof, so it's best to try and pay the outstanding balance as soon as you are able to do so.

i Thought they couldnt do that? if a customer had to say produce evidence of insurance to the Police etc, we cannot refuse to issue them a letter if they were on cover at the time and were fully paid.

 

I know Tesco has recently introduced this practice r.e withholding ND if there is a premium outstanding.

In your first point, what you are referring to is an indemnity letter which is completely different to proof of no claims bonus. An indemnity letter is basically to prove to the police or a court that a person has insurance at a given time (to confirm that that the insurance company will indemnify them against loss, hence the name).

Proof of NCD is purely to prove to your new insurer that you have been claim free for XYZ time and is not a legal document in any way.

In regards to your second point, RBS insurance (umbrella company of tesco/churchill/direct line and many others) have had this policy since i can remember, and I've been there over 5 years so this is nothing new.

DA

i Thought they couldnt do that? if a customer had to say produce evidence of insurance to the Police etc, we cannot refuse to issue them a letter if they were on cover at the time and were fully paid.

Not exactly the same situation as what the OP is asking though is it?

Hi,

In the main, insurance policies are 12 month contracts and any instalment terms are purely for the convenience of the customer, So, if you do not pay an instalment you are breaking the contract and the insurer can be obstructive with producing any no claims discount evidence.

Likewise, if you have a claim, the full balance of premiums is due for the current year, even if the vehicle is a total loss.

H

None of the insurance act on their own policy wordings, if you look it does state that if your are paying by instalments and you miss a payment they will cancel within 7 days from the due date, no company follows this advice they will chase for nearly a month and then cancel when it suits them and charge the extra.