Insurers asking for more money after paying in full

[royzor]

I renewed my car insurance with first direct in March. I paid the premium in full that they quoted. During the quotation i was asked for what i thought was the lowest quote I had been given and i gave them this.

I have today recieved a letter asking for a further £87.58 as they are saying they asked for my previous insurers quotation which was £79.48 more than they quoted me.

If I do not pay within 7 days they will cancel my policy.

 

Could someone please advice me were I stand and what I need to do?

 

Roz

[honeybee13]

Hi there. I'm sure some experts will be along soon, but in the meantime, could I just ask a question please? The premium you quoted, was it with your previous insurer or someone else, and did you have it in writing?

 

HB

[vusys1]

call them back and log a complaint and then ask to escalate it. You had a renewal price, which you thought was a bit high, I assume you went through to the retention unit as you had had cheaper quotes elsewhere? they said they will try to reduce your renewal price. They gave you a figure,you agreed & paid in full. Job done.Their calls ARE recorded,ask them to listen to it. Whilst a complaint it open they cannot cancel your policy until resolved. Also mention the FOS,this also speeds things up.

[royzor]

this is a quote from the letter i received

,

"Whilst we have received your previous insurers renewal document, The renewal premium states £249.46 however the the premium we were provided with £147.34 (This was the lowest quote i had been quoted). We would like to advise you that everything matches on a like-for-like basis with the exception of your no claims bonus protection. We would love to continue your policy with the guaranteed saving, howevern as per the terms of the offer this must be based on the renewal premium of your previous policy." it then goes on to say that the additional premium due within the next 7 days is £87.58.

[vusys1]

Sorry I mis-read your OP and thought it was Direct Line.

[royzor]

Hi there. I'm sure some experts will be along soon, but in the meantime, could I just ask a question please? The premium you quoted, was it with your previous insurer or someone else, and did you have it in writing?

 

HB

 

Hi HB.

 

I just want to add that the insurance quotes were for my dad but I dealt with everything.

 

It was a quote from some1 else but at the time of doing quote I assumed like most insurers it was asking for other quotes he had been given. Although thay did not beat his other quote I did but notice the excess and other perks were better than his lowest quote hence the reason for accepting.

 

They wrote and asked for proof of ncb and he sent his renewal letter to them, this is how they found how out much the renawal was. They never asked him to send anything else.

 

Roz

[Mossycat]

They are trying it on, and in a cheeky way.

 

It is entirely possible that you had a lower quote when you were ringing around (like a lot of people do) and the quote you told them about was NOT that given by the previous insurers on the renewal form but one you had on the telephone, and so cannot provide written proof of it.

 

It's a basic contract law argument, they offered you something at price X, you declined and stated you had received a better quote, so they then offered to sell you it at price Y, you offered to buy it at price Y and they accepted your offer to buy it and sold you it.

 

If they sold you the policy at price Y and made no mention of it being subject to proof of the a lower quote then they do not have a leg to stand on, try a letter like this to them

 

Dear Sirs

 

Further to your request for additional premium I note that your request is based on the renewal price quoted on the proof of NCB.

 

This was not the lowest quote I received when looking for alternative quotes prior to renewal and you matched a price I obtained over the telephone from another insurer.

 

To now ask for additional premium is outside the realms of basic contract law, the premium you accepted for my motor insurance was not subject to me providing proof of a lower quote, so to try and introduce such a clause now is not acceptable.

 

I await your written confirmation that my policy will remain in force for the contract period and also that you no longer seek any additional premiums, I reserve my right to take this matter to the FOS if you disagree.

 

Yours faithfully

 

 

 

That will probably do the trick

 

Mossy

[royzor]

They are trying it on, and in a cheeky way.

 

It is entirely possible that you had a lower quote when you were ringing around (like a lot of people do) and the quote you told them about was NOT that given by the previous insurers on the renewal form but one you had on the telephone, and so cannot provide written proof of it.

 

It's a basic contract law argument, they offered you something at price X, you declined and stated you had received a better quote, so they then offered to sell you it at price Y, you offered to buy it at price Y and they accepted your offer to buy it and sold you it.

 

If they sold you the policy at price Y and made no mention of it being subject to proof of the a lower quote then they do not have a leg to stand on, try a letter like this to them

 

Dear Sirs

 

Further to your request for additional premium I note that your request is based on the renewal price quoted on the proof of NCB.

 

This was not the lowest quote I received when looking for alternative quotes prior to renewal and you matched a price I obtained over the telephone from another insurer.

 

To now ask for additional premium is outside the realms of basic contract law, the premium you accepted for my motor insurance was not subject to me providing proof of a lower quote, so to try and introduce such a clause now is not acceptable.

 

I await your written confirmation that my policy will remain in force for the contract period and also that you no longer seek any additional premiums, I reserve my right to take this matter to the FOS if you disagree.

 

Yours faithfully

 

 

 

That will probably do the trick

 

Mossy

 

Thankyou so much MC, Fantastic letter I will print it off tonight & get it posted in the morning.

 

I will try ringing them tomorrow again as they were closed when I tried today due to the easter holiday. I am taking vusys1 advice and informing them that i am making a complaint so his insurance does not get cancelled before they receive the letter.

 

Thankyou for all replies much appreciated. I will let you know how I get on.

 

Roz