Previous Car Insurance Policy Voided due to Address Confusion - Action?

[J_Hughes]

A car of mine was recently driven into whilst stationary. Although the damage is minor, I had comprehensive cover for the vehicle and (after various wild goose chases with the recommended accident management companies - not interested in my business as I didn't want a hire car) instructed my insurers to pursue the 3rd party at fault so that I could repair my car. I took out the policy via a broker, but they apparently do not correspond with the insurer on my behalf.

 

On sending in the usual documents, the insurer queried the fact that the address on my driving licence was different to the address where the car is insured. As I split my time backwards and forwards between the two addresses and have various correspondence going to each, I explained this and thought no more of it.

 

It now appears that the insurers have retrospectively voided my policy (I'm currently covered by a different company) because I failed to disclose a so-called "linked" address.

 

I have never previously been asked about any other addresses I am "linked" to, and insure the car at the address where it is usually kept, as I was asked to when taking out the policy.

 

This is understandably very worrying - not only are the insurers refusing to deal with the claim, it appears that I may incur higher insurance costs in future because of their decision.

 

As I have never withheld any information and have always answered all questions asked fully and accurately, is it not unreasonable for the insurer to behave in this way?

 

Should the broker have asked me about any linked addresses when I first took out a policy with them several years ago?

 

This is my first contact with insurers in respect of a claim and hasn't been a pleasant experience - any advice is gratefully received.

[unclebulgaria67]

Your complaint should be made to the broker, as they were responsible for setting up the policy. I don't think the Insurers are acting reasonably, so you might also want to phone the FOS for advice. The broker should help you resolve the complaint.

 

I think the FOS would say that the Insurers should not have voided the policy for the reason given, as they could have recalculated the premium if they believed the vehicle was kept at an address which was a higher risk.

[J_Hughes]

Thanks for the quick response - my broker has told me that they can't (and won't) help, I will have to try to speak to someone more senior.

 

If this is such an important issue you would think that it would be a simple matter of course for any broker or insurer to enquire about linked addresses before taking your money.

[unclebulgaria67]

I have never heard of Insurers asking of linked addresses. They want to know where the vehicle is normally kept when not in use. They would also want to know about any commuting or business use. If you were using the car to travel to different places of work that would be relevant to Insurers.

[J_Hughes]

The car is insured for Social, Domestic and Pleasure - no commuting or business use at all.

 

After reading around, I'm far more concerned about the fact that I have had cover voided and will be punished by future insurers accordingly, rather than the minor damage to the car.

[unclebulgaria67]

This is from the FOS, which might help you.

 

http://www.financial-ombudsman.org.uk/publications/ombudsman-news/46/46_non_disclosure_insurance.htm

[J_Hughes]

Thank you, that's very useful.

 

The most annoying issue about all of this is that I'm not even trying to claim from my own insurance ...

[J_Hughes]

My current underwriters in respect of the vehicle have agreed that the situation will not lead to either a cancellation or a voiding of my policy (although they cannot provide cover at the "linked" address).

 

I hope that this will strengthen my case in the complaint that I'm preparing.

 

I'm also quite surprised that the underwriter who has voided my previous policy is in part basing their decision on incorrect information sourced from a well-known public directory website ...