Hi,

I am CitizenS and have recently (today) joint CAG. I am writing for advice on how to deal with Hastings Direct. I originally had an insurance policy with M&S. The requote was @£404. I searched the web using various comparison websites and settled on Hastings based on the cashback I would get through Quidco.co.uk. Insurance cost @£434 with some better terms. Cash back £53.50. I paid for this on the 30.10.10. Phoned M&S and they gave me a cheaper quote i.e. @£369. This original quote was apparently an administration error. We agreed for this policy and phoned Hastings back to cancel immediately. This could not be done because it was not on their system (apparently it takes 24 hours for the system to be updated( obviously they have an amazing IT system)). I phoned the day after 31.10.10 and was advised that my money would be returned minus £25 administartion fee. While being shocked I was able to advise them that this was illegal. They denied this as this was in their on-line terms and conditions which i had signed up to:mad2:. About an hour later, having calmed down, I phoned again and advised them that this was illegal and contradicted the insurance documents which I had downloaded from the internet. In it it is stated that the full premium should be refunded if the policy is cancelled within 14 days of taking out the policy. They ( the complaints department) said that they or their manager could do nothing about this and that this was the charge. I have started writing letters to both companies i.e. Hastings Direct and M&S, with copies to my MP. How can I resolve this matter quickly?

They can legally make the £25 cancellation charge. This has been challenged before.

If you are unhappy about this, give the FOS a call to check with them.

Many thanks unclebulgaria67 for your advice. However is this not contradictory to their paperwork? After all this is distance selling and the same 14 day rules apply. Bearing in mind the advice from this website, it would appear that the small claims court is the best route? What are your thoughts? By the way when people have challenged this before, what has been the outcome?

Citizen S

I am also with Hastings and took out my policy online.

I can confirm that the administration fee of £25 does appear in the terms and conditions.

The FOS would expect you to try to resolve things by the usual 8 weeks timescale before taking it up.

In the same way a Court would want to see that pre action protocols have been followed.

I suggest writing to Hastings and asking them to provide a breakdown of the Admin fee which demonstrates it is a true reflection of the cost in cancelling.

Keep a copy and send recorded delivery.

Hi Martin3030,

Thanks for your post. I will follow your advice and write to them within 8 weeks and ask for a breakdown of the administration fee. The chess game begins..........

Citizen S

The 8 weeks is their timescale for dealing-you are free to write straightaway.

I would also request a copy of their complaints procedure (as is a requirement if you are filing a complaint)

I did get a similar fee waived in the past by another well known car insurance firm,when I approached them in the same way.

If they cannot show this charge to be in proportion to their costs then it leaves the way open to challenge it as a penalty charge under Unfair Contract Terms.

Its incomprehensible to imagine they would want to go to Court over £25,but if this turns out to be the chosen route then you MUST demonstrate that you have exhausted dialogue with them to try and resolve it.

Heres their CC licence details which show address for correspondence and a list of names from which to write to.

Application / Licence Details

Licence Number:0421597

Licence Status:Current

Current Applicant / Licensee:

Business NameCompany Registration Number Hastings Insurance Services Limited03116518

Categories:

Consumer credit Consumer hire Credit brokerage Credit reference agency Debt adjusting/counselling Debt collecting

Right To Canvass Off Trade Premises:No

Trading Name(s) (Current):

Hastings Bike Team Hastings Direct Hastings Essential Hastings Local Hastings Van insure insure commercial insurebasics insureblue insurepink Likewise Insurance People's Choice Renew Insurance

Trading Name(s) (Historic):

Agenda Insurance Services Hastings Insurance 1st Advantage Insurance Services Call 2000 Plus Call 2000 Plus Insurance Services Toyota Insurance 121 Auto Insurance Services Auto 121 Direct Ridesure Insurance Services Insurepink Student Finance Company 1066 Direct 1st Advantage Angel Insurance Services Halo Insurance Management Powerline Insurance Services Ridesure 121 Auto 250/500 Insurance Services Aardvark Insurance Management Agenda Help Insurance Services The Automobile Insurance Service Centre

Issued Date: 08-Jan-1997

Expiry Date: 16-Feb-2012

Legal Formation:

Body Corporate (incorporated inside UK)

Current Individuals that run the organisation:

NamePosition Adrian Parry Anthony Stephen Leppard Edward Martin FitzmauriceDirector John Castagno Neil Alan Utley Paul Bryan Pavey Richard Mark Brewster Timothy Andrew Ablett

Historic Individuals that run the organisation:

NamePosition Alison Sarah PickupCompany Director Augustine HatchOFFICER Christopher John HopperOFFICER Claire Louise DayOFFICER David Guy GundlachOFFICER David John TitteringtonOFFICER David PyeOFFICER George Leslie FeltonOFFICER Graham SeymourOFFICER Ian GodfreyOFFICER Ian Ronald Sutherland Jeremy Peter KendallOFFICER Masanobu KobayashiOFFICER Michael HawkerOFFICER Michael Hutton Michitoki YokaiOFFICER Nicholas Potts Peter BaretteOFFICER Peter ConnellOFFICER Phil KnightOFFICER Robert George McKibbinOFFICER Steven Terence Hunter Griffin Tetsuro OgataOFFICER Toru MorotaOFFICER Yoshiaki YamazakiOFFICER

Historic Organisations that run the organisation:

NameCompany Registration NumberPosition CuggyVictoria LouiseCompany Secretary

Current Address(es):

Address TypeAddress CorrespondenceConquest House, Collington Avenue, Bexhill On Sea, TN39 3LW Principal Place Of BusinessConquest House, Collington Avenue, Bexhill On Sea, East Sussex, TN39 3LW Registered OfficeConquest House, Collington Avenue, Bexhill-on-Sea, East Sussex, TN39 3LW