Insurance Help required for a plonker!

Insurance Help required for a plonker!

Author
Discussion

sabre

Original Poster:

106 posts

285 months

Tuesday 23rd September 2014
quotequote all
Firstly this should be a lesson to look at your documents CAREFULLY, I have only checked the dates, address and vehicle detail when my certificates come through!
I am a named driver on my wifes car and two accidents I had in 2010 and 2011 (one my policy one a hire van) were not informed to her insurers through oversight. Each year we we look at the cost and have calls with Diamond, search the usual comparison sites, and my wifes details never changed. So our calls to Diamond never brought the discussion about me up, which compounded the situation. (BTW way comparison usually get a reduction).

We have never attempted to hide the details as its all on the comparison sites, my insurers know and I am named driver on my sons policy and they know. (With Admiral same group as Diamond).

So the issue is Diamond decide to do checks this year ( I assume following our usual challenge to get a £80 reduction) and find me on my sons policy.
They now want to charge me £250 pound approx for underpaid charges for the last 3-4 years! Even though no claim etc has ever been made on Diamond.
They have never made checks before even though they say they do or I wouldnt be in this position. So its their oversight as well IMO, but is now all placed upon me to pay. Personally I find it difficult to accept this has never been discussed with Diamond in the last 4 years.

Now obviously I think its outrageous to go back 3-4 years. I might also add, if I am on or off my wifes policy the fee remains the same!

So I am looking for some sensible advice on if they can do this, if I should contest it etc. I could refuse to pay and go to court etc but thats not financially sensible and we could end up with CCJ ro whatever on credit registers.

So I know its my failure to pay close attention to received documents and am sure I will get some abuse for being a plonker, but would like to save £250.

Can they really do this? is it worth contesting?

So in case I am not the only plonker make sure everything is noted on tyour certificate etc.

Thanks embarrased of Newbury





Drumroll

3,774 posts

121 months

Tuesday 23rd September 2014
quotequote all
Well you could try contesting, but you have failed to disclose relevant facts to your insurer. So they would be well within their rights to cancel the policy.

Then you will have to get a new policy and when they ask the question have you ever had a policy declined or cancelled, just wait to see how much that will cost. One hell of lot more than £250 and it will stay with you for years.

sabre

Original Poster:

106 posts

285 months

Tuesday 23rd September 2014
quotequote all
Thanks thats a good bit of advice. Appreciate that thought.

Snollygoster

1,538 posts

140 months

Tuesday 23rd September 2014
quotequote all
I could be wrong here, but this is what I'd do in your situation.

First look at the wording when taking out a new policy. It is to my understanding, they need to make necessary check. For instance, if you say you have a 6 year NCD, but only have 5, they should request proof. In this instance, and similar to yours, it is down to a simple mistake by inputting something in incorrectly.

On my insurance, I remember reading that although they provided my insurance instantly, they would double check my details and could reject my insurance and would give me 14 days notice.

Now going to the back to the issue underpaid insurance. Insurance fundamentally is the same cost for everyone. It then varies depending on different risk factors. Such as car, age, gender, driving history etc, address etc. When you take out a policy, they will look at your risk, and charge a relevant premium. If you have understated your risk, I would have thought your insurance would not be valid in the event of a claim.

I would therefore argue you have been driving that car uninsured for the last 3-4 years, and simply paying the insurance company that difference doesn't make up for that. Ergo, I don't think they can now charge you for that.

Buff Mchugelarge

3,316 posts

151 months

Tuesday 23rd September 2014
quotequote all
That's a bit like trying to charge someone four years later for a job you just realised you undercharged for?
I'd tell them to jog on myself!?

sabre

Original Poster:

106 posts

285 months

Tuesday 23rd September 2014
quotequote all
Thanks guys, all help much appreciated.


surveyor

17,857 posts

185 months

Tuesday 23rd September 2014
quotequote all
As an aside of your going to fight it I'd cancel the policy and move now, so that they don't have the opportunity to cancel the policy.....

ETA I see the downside of this I they'll help themselves from the refund.

Oldandslow

2,405 posts

207 months

Tuesday 23rd September 2014
quotequote all
No doubt if you'd had and accident during that period and they discovered your omission they'd have said you weren't covered. Now they want paid for cover they wouldn't have given you?

Seems a bit have your cake and eat it to me.

Raize

1,476 posts

180 months

Tuesday 23rd September 2014
quotequote all
Snollygoster said:
I would therefore argue you have been driving that car uninsured for the last 3-4 years, and simply paying the insurance company that difference doesn't make up for that. Ergo, I don't think they can now charge you for that.
Incorrect. Regardless of the validity of an insurance policy, the insurance company cannot waive their obligations to pay out to a third party. What they CAN do in the case of a fraudulently obtained policy, is to pursue the policyholder for their costs.

sabre

Original Poster:

106 posts

285 months

Tuesday 23rd September 2014
quotequote all
surveyor said:
As an aside of your going to fight it I'd cancel the policy and move now, so that they don't have the opportunity to cancel the policy.....

ETA I see the downside of this I they'll help themselves from the refund.
Cheers its an installment policy. The policy is only £148 with me on or off the cover!! So coughing up another 250 is mad.
To be honest I would be happy with a compromise as none of the risks mentioned so far become relevant to us in the future.

I am annoyed at myself as much as Diamond, its just I think they hold some responsibility, as mentioned here, with their checks. I have asked for the recordings of the calls to see if there is any leverage there. I have never hidden or lied about any of it for the very reason of no cover in an accident.
Both my others car insurers have the knowledge, but will be checking all docs tonight ;-)

Thanks all for your knowledge and help

Blue Oval84

5,276 posts

162 months

Tuesday 23rd September 2014
quotequote all
Can't add much other than to agree with above posters that you need to avoid them cancelling the policy at all costs (I'm not sure if they can retrospectively cancel the previous policies but I bet they can)

SteBrown91

2,390 posts

130 months

Tuesday 23rd September 2014
quotequote all
I would probably pay to make it go away. Is the risk of it all causing you massive agro and extra expense/stress worth attempting to save 250 quid?

I know it grates but it guarantees there will be no more issues with insurance in the future.

Then at the end of the policy trot off to another insurance company.

sabre

Original Poster:

106 posts

285 months

Tuesday 23rd September 2014
quotequote all
SteBrown91 said:
I would probably pay to make it go away. Is the risk of it all causing you massive agro and extra expense/stress worth attempting to save 250 quid?

I know it grates but it guarantees there will be no more issues with insurance in the future.

Then at the end of the policy trot off to another insurance company.
Hi SteBrown 91, TBH this is the sensible thing, and I am asking for a compromise from them on the fee.
I think the risk of them retrospetivly cancelling previous policies for under payment is the biggest spectre....the cancellation risk is the biggest threat to future costs. Cant imagine trying to insure a TVR or something in the future with a cancellation over my head. (the Cerbera was enough without that)

TBH honest just chatting to the forum has been worth the 250, its great to hear from a decent group of enthusiasts.
Really appreciate you all taking time to reply.
Thanks
Steve

SteBrown91

2,390 posts

130 months

Tuesday 23rd September 2014
quotequote all
sabre said:
Hi SteBrown 91, TBH this is the sensible thing, and I am asking for a compromise from them on the fee.
I think the risk of them retrospetivly cancelling previous policies for under payment is the biggest spectre....the cancellation risk is the biggest threat to future costs. Cant imagine trying to insure a TVR or something in the future with a cancellation over my head. (the Cerbera was enough without that)

TBH honest just chatting to the forum has been worth the 250, its great to hear from a decent group of enthusiasts.
Really appreciate you all taking time to reply.
Thanks
Steve
No Problem. If I was in your position I would pay it (begrudgingly) But if you can get them to knock a bit off it wont hurt smile

dacouch

1,172 posts

130 months

Tuesday 23rd September 2014
quotequote all
Snollygoster said:
I could be wrong here, but this is what I'd do in your situation.

First look at the wording when taking out a new policy. It is to my understanding, they need to make necessary check. For instance, if you say you have a 6 year NCD, but only have 5, they should request proof. In this instance, and similar to yours, it is down to a simple mistake by inputting something in incorrectly.

On my insurance, I remember reading that although they provided my insurance instantly, they would double check my details and could reject my insurance and would give me 14 days notice.

Now going to the back to the issue underpaid insurance. Insurance fundamentally is the same cost for everyone. It then varies depending on different risk factors. Such as car, age, gender, driving history etc, address etc. When you take out a policy, they will look at your risk, and charge a relevant premium. If you have understated your risk, I would have thought your insurance would not be valid in the event of a claim.

I would therefore argue you have been driving that car uninsured for the last 3-4 years, and simply paying the insurance company that difference doesn't make up for that. Ergo, I don't think they can now charge you for that.
The only bits you got correct are


Snollygoster said:
I could be wrong here

On my insurance, I remember reading that although they provided my insurance instantly, they would double check my details and could reject my insurance and would give me 14 days notice.

xRIEx

8,180 posts

149 months

Tuesday 23rd September 2014
quotequote all
Buff Mchugelarge said:
That's a bit like trying to charge someone four years later for a job you just realised you undercharged for?
I'd tell them to jog on myself!?
Not really, as the op stated he didn't inform them of accidents that would have influenced the premium or acceptance of the risk.

A better analogy would be stealing from a supermarket, then they find out and ask you to pay for the goods instead of prosecuting you.

sabre

Original Poster:

106 posts

285 months

Wednesday 24th September 2014
quotequote all
Hi thanks again for the views. Not sure I agree with the analogy of stealing from a supermarket, that would be a dleiberate act which mine is not.
I have aksed for reconsideration of the amount they want.

They have failed in thier due diligence, in previous years in checking the history (as they have done this year) so I feel this stupid situation could have been identified much sooner.

the bottem line is I am a plonker for not reading my documents VERY carefully.
Expensive lesson, but much less than if we had been in an accident in this period.
Cheers all.
Steve

pork911

7,197 posts

184 months

Wednesday 24th September 2014
quotequote all
THEY failed in their due diligence? wink


TwigtheWonderkid

43,438 posts

151 months

Wednesday 24th September 2014
quotequote all
Buff Mchugelarge said:
That's a bit like trying to charge someone four years later for a job you just realised you undercharged for?
I'd tell them to jog on myself!?
It's nothing like that. It's like asking for the correct price for a job you've completed when you agreed a lower price because the person you did the work for misled you about what needed doing.

OP, supposing you found out after 4 years that despite telling your insurers you have a BMW 318, they charged you for an M3, all be it thru a genuine error. You'd be on them in a flash asking for a retrospective rebate and if they looked into it and found you were right, they would give it.

sabre

Original Poster:

106 posts

285 months

Wednesday 24th September 2014
quotequote all
TwigtheWonderkid said:
OP, supposing you found out after 4 years that despite telling your insurers you have a BMW 318, they charged you for an M3, all be it thru a genuine error. You'd be on them in a flash asking for a retrospective rebate and if they looked into it and found you were right, they would give it.
Hi Twig,
yes I think this seals it, very well put. I will cough up and accept I am the failure ;-)
Thanks all
Steve