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My wife has just received a letter demanding £170 from said insurers. We had a policy with them about 8 months ago but due to being on benefits and them losing a form sent to them they stopped the benefits. I contacted the insurance company to try to get them to change to third party fire & theft cover, but they said that we would have to cancel the fully comp one then take out the new one.

I told them this was not possible due to the benefits being stopped at the time and asked if i could call them when benefits had been sorted out (2 days later) they started to get really rude and un helpfull and basically said tough **** if you cant pay now we will cancel the policy and that is what they did, now they want the rest of the premium. I don't think they should be able to do this as we did not ask them to cancel and we just cant afford any more payments to anyone.

Any advice would be helpfull

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No they can't do this.

 

The best they can hope for is to recover any administrative expenses they might have been put to by your actions. It won't be much.

 

In the circumstances begin a formal complaint through the Ombudsman.

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Send a letter sating that you deem their calls to be harassment and as such they will reported to the police and you will reserve the right to initiate a claim for compensation for the distress caused by said harassmnent. Section1 and 2 of the Protection from Harassment Act 1997.

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