Log in

No account? Create an account
spikey eye bw



Musings, questions and brief essays. The normal.

Previous Entry Share Next Entry
A Question
spikey eye bw
Car insurance... you pay for a year, right? Well, if you surrender the policy before the end of that year shouldn't you get some money back?

I wrote asking the policy to be cancelled immediately and just got word (rather later than I expected) that they have cancelled it and will not debit me for another year when it is due for renewal. Er... right. What about a refund? Don't I get one? I mean, what's the point of cancelling if I don't gain anything by it? Hmph! My insurance ain't cheap and there were 4-5 months left to run on it!

  • 1
You should get a refund. Get on the phone and complain.

Yay! The knife pic is back!

I re-read the email. It contradicts itself. It says that the policy has been cancelled as I requested "with immediate affect"(sic) and a few lines later it says it will be cancelled from the renewal date. I've written back. And if I get no joy by Friday then I move up to the phonecalls. They're an online insurer - they prefer email contact, and to be honest I prefer email to phonecalls myself, but I'm not going to have them keep me hanging on forever.

I think that I'm right in saying that, generally, they have no obligation to refund you if you cancel your policy part way through. In fact, if you're on one of those "pay per month" ones, they can generally insist that you keep making the payments (although in practice they will at the very least transfer you to a really cheap policy - see below)

What usually happens, and what they are generally happy to do, is that you cancel your policy and then take out a new one, with the same company. In that case, they will waive the remaining payments on the existing policy, or off set your "refund" against the cost of the new policy.

I hate to say it, but I think that you'll be very lucky to get a full refund. If you pester and complain enough, you may get, say, half of it. But it's unlikely that they are required to do so.

That's kind of the reason for the contradiction - the policy won't be cancelled until the end date, and therefore you won't get a refund.

One of those funny insurace thingies.

They asked me to send back my insurance documents! Sod that! They aren't getting them if it isn't actually cancelled!

I'm not particularly surprised that it's possible I won't get anything back but it's worth a try. It just annoys me when you get poor English and contradictions in official stuff like this. I want somebody educated to be the one to tell me "Tough shit, you're getting nothing".

The other thing that you have to watch is that sometimes the ones where you pay per month are /really/ reluctant to give you your documents, because you haven't really paid for them...

I don't know how it works in the UK, but in the US, (a) you usually pay per six months, and (b) if you don't want to renew you tell them so, but they're under no obligation to pro-rate you back the money.

You're unlikely to be entitled to anything back, though you certainly won't get it if you don't ask. You've entered into a contract to pay them for a year, you see.

Car insurers are bastards. I used to work for one, remember.

Remember? I don't think I knew to start with. If I did it's one of those things that leaked out of my head.

I was going to say that ...

I'd remembered and I was going to suggest asking you as the closest thing we've got to a resident expert (or should that be "the closet thing to a resident evil" <grin!> (ok, not *that* funny, but it amused me!)

I got a refund when I came here because I had paid for the whole year. I remember asking my broker about it when i'd thought about changing my policy earlier [for a cheaper one] but they advised against it coz the cheaper company wouldn't have given me a refund...so I think it 'depends' on all sortsa stuff, [no surprises there then...]

Unfortunately, If you check in your policy document it will probably lay out the surrender terms. After 8 months a cancellation would almost certainly result in no refund being owed. The 1st month costs ime about 1/3 of the annual policy and after about 4 months the entire annual amount is owed.
As far as their request for the insurance document back, since it has been cancelled as per your request you are , i believe, legally obligated to return it.

I've told people before the S really stands for Smallprint not Scary ;-)

Yeah, well, first I'd have to find it. If they want to send someone round to look that's fine by me. But meanwhile what they gonna do - invalidate it? Hah.

When I cashed in my car insurance after selling the Mini, I got a refund but I had to return the certificate. I think I got about 2 months premiums back (having sold the car about 4 months before I should have renewed). That might just have been due to me screwing up the paperwork, though.

  • 1