Direct Debit not taken - is my insurance policy still live?????

[donnyboy75]

Hi

 

I wonder if anyone can advise on this, it actually relates to my father.

 

He took out an insurance policy for illness/sickness/accident 2 years ago, the policy lapsed and he then had a visit from the company to see if he wanted to start it again, he agreed in December 2009, they took a payment, he then completed a DD form which he has a copy of. Payments were then meant to be taken every month however it appears they have not, he is in the process of a claim due to an accident at work and noticed that the payments had not been taken from his account only today, he called the company in question who said as far as they were concerned the policy was still live but would be double checking..

 

My view is as follows - no cancellation documents or threat to terminate due to non payment were sent by the insurer, the company in question stated the policy was still live, the salesman who visited took the DD documents back to the insurer.

 

Therefore can I have some advice on if they insurer has the right to decline the claim?

If :-|they do could the FSA or ombudsman get involved?

 

Thanks in advance guys and gals

 

Donny Boy

[unclebulgaria67]

The Insurance company would have to confirm in writing that the policy cover would be cancelled in the event of non payment within 7 days.

 

If they have never done this, the policy is still live and the claim can go forward. The company will just arrange to bring the payments up to date.