Cancellation Clauses

[ajs444]

Anybody ever challenged the Insurance Companies for the costs of cancelling Car Insurance mid term.

 

I recently changed cars 3 month into my cover and looking at the renewal on my new car I thought it rather steep, so I started searching and came out with quotes saving me hundreds.

 

On contacting BISL who collect on behalf of the Post Office Insurance I was staggered at the amount of money they will charge me for exiting the policy, all in their T&C's they say, it works out that any savings I was making has been claimed by them.

 

I have asked them for a breakdown of their charges, anyone taken these [edit]s further?

Edited November 6, 2012 by honeybee13
Removing pejorative word

[unclebulgaria67]

The FOS agree with Insurers charging for cancellation admin costs, with £50 approx being acceptable. So don't bother challenging that, but see if there are any other issues for dispute.

 

You can ask for a breakdown of the overal cost of cancellation, which will also include a relevant time on risk.

[ajs444]

Thanks for your response.

 

When I asked for a breakdown of costs I was directed to their T&C's, on a policy of £440 that has been running for 4 months, they are cancelling for roughly £180, this is on a monthly installment plan.

 

Will be getting confirmation through the post from them, will see if they give a breakdown of charges, have cancelled Direct Debit so any charges will have to be processed by me.

[underdog13]

I thought penalty fees were illegal for cancellation and could only reflect their true costs; ie, price of a stamp, sheet of paper, ink and an envelope?

[ajs444]

Have SAR'd them this morning, have received letter from DCA:- C.A.R. so I am not very happy, have also asked for breakdown of cancellation charges (£145) and details of any £20 default charges and how that figure is arrived at.

[ajs444]

Well request returned by CAR, "Not our domain, please contact BISL for the details" seems they want to harass you but do not like when you reply.

 

Will have to SAR, BISL now, at least I got the £1.00 postal order back.