TVR insurance refund

[wildego1]

A well known TVR broker is telling me it takes 8 weeks for a refund after I cancelled.
Also they are unwilling to tell me how much the refund will be.
Am I being shafted do you think or is this typical?

[trooper1212]

wildego1 said:

A well known TVR broker is telling me it takes 8 weeks for a refund after I cancelled. Also they are unwilling to tell me how much the refund will be. Am I being shafted do you think or is this typical?

Yes you are being shafted, and yes it is typical

[TeGriffic]

No you're not being shafted really, it just seems reasonable to you that you are, but let's consider it thus: Insurers (for whom the brokers are nothing more than an intermediary) are under no legal obligation to refund premium in part or full. Under the Acts in force, once an insurer has gone on risk they can keep the whole lot even if you (or they, in fact) cancel - standard contract law, premium is the consideration and going on risk is the contract performance - done deal. Refunds are nothing more than a favour that exists in the motor insurance markets - it's just assumed by the man on the street to be the normal thing becuase that's the impression given when a premium is paid monthly - but it ain't the case. It's not a straight risk pro rata either if you think about it. The eight week wait is probably due to normal quarterly accounting and because the insurer ultimately determines the refund amount. After all your privity of contract is with the insurer, not the broker, why should the broker fund your premium return ? Be grateful, there is at least one well known TVR insurer who won't give you diddly squat refund. And no, before you ask, I don't work for a broker or a motor insurer. Gees, I'm smug.


>> Edited by TeGriffic on Monday 19th April 02:23

[InsBro]

Some facts

Brokers do a monthly account.
Insurerers are not the fastest at entering credits onto accounts so the broker is allowing 2 months.
The cancellation terms are given on the proposal or at quote stage.
Some Insurers only give pro rata refunds in the 2nd year unless you buy somthing they will not insure then they have to give you pro rata.
The return amount takes a few minutes to calculate or at worst a phone call.

And yes I am a Broker

Jeremy