Backdated Insurance Charge - £450!!
Backdated Insurance Charge - £450!!
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Discussion

Zeemax_Mini

Original Poster:

1,235 posts

281 months

Tuesday 13th November 2012
quotequote all
Hey guys,

My insurance policy expires next week, but I got a letter this morning from Bell telling me that due to a discrepancy they've found in my policy details they're charging my card for an extra fee of £450. It turns out my Dad had a crash 2 years ago that I didn't know about (I don't live with him) and as he's a named driver on my policy (but hasn't actually ever driven my car!), this £450 is the increase in premium from the beginning of the policy last November. I know it's my responsibility to make sure the details on any policy are correct when I take it out, but A) I didn't know about his accident and B) Is 11.5 months into a 12 month policy not a bit late to realise a discrepancy and then backdate charges for it?!

I know not knowing about his accident isn't an excuse, but I don't see that it's fair now charging me £450 2 weeks before the end of the policy! I also wouldn't have expected them to pay up if the details were wrong!

Any advice from anyone, or am I stuck?

Cheers!

Dom

HustleRussell

26,538 posts

190 months

Tuesday 13th November 2012
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That really sucks but I don't see what you could do about it... Could always give them a ring acknowledging your mistake and politely asking if they can reduce it?

BUG4LIFE

2,518 posts

248 months

Tuesday 13th November 2012
quotequote all
An extra 450 cos your Dad had a crash...seems OTT, I'd shop around for your next policy mate, and take your old man off the policy!

Sorry no help!

Muncher

12,235 posts

279 months

Tuesday 13th November 2012
quotequote all
I've just had similar with Admiral, part of the same group, they said they would take payment from my card without warning, I contacted them and told them I did not authorise that at all, they said ok, then took the funds anyway, plus a further charge a few weeks later for no apparent reason. I will never, ever insure with anyone in that group again.

Zeemax_Mini

Original Poster:

1,235 posts

281 months

Tuesday 13th November 2012
quotequote all
Cheers guys - I did say seeing as he's never even driven the car can't they just remove him from the policy, but apparently they can't do that. The best they've offered is to let me pay it off over 6 months - great!

I know it was my fault not to check the details on the policy, but I do think their charge is excessive and realising it after 11.5 months is just out of order! My policy was only about £550 in the first place, but they say this charge is what it would have cost if I'd added him at the start of the policy (I paid upfront).

Dom

Zeemax_Mini

Original Poster:

1,235 posts

281 months

Tuesday 13th November 2012
quotequote all
Muncher said:
I've just had similar with Admiral, part of the same group, they said they would take payment from my card without warning, I contacted them and told them I did not authorise that at all, they said ok, then took the funds anyway, plus a further charge a few weeks later for no apparent reason. I will never, ever insure with anyone in that group again.
Looks like I'm at that point too - I've been with them for the past 4 years but I guess it's time to go!

Dom

HustleRussell

26,538 posts

190 months

Tuesday 13th November 2012
quotequote all
They aren't acting unfairly, It is unreasonable for you to expect they could remove your dad from the policy from day 1 (because they have still insured his 'risk' since day 1, and for all they know he could have an outstanding claim ready to make it's way into their call center).
If the "I think £450 is excessive, could we please try to reduce it" approach isn't going to work, I fear you're stuffed frown

Manicminer

12,628 posts

227 months

Tuesday 13th November 2012
quotequote all
First point is to put in writing your complaint.

If they still take the money then try the Ombudsman for help

http://www.financial-ombudsman.org.uk/default.htm

I had an Insurance company take £350 from me after I switched companies as they wouldn't cover my new car. I was paying monthly and they decided to take the remainder of the yearly payments all in one go as I'd had a windscreen claim.

The ombudsman got my money back and the insurance company sent a grovelling apology.

In this case - have you made any claims in the last 11.5 months?

HustleRussell

26,538 posts

190 months

Tuesday 13th November 2012
quotequote all
Zeemax_Mini said:
Looks like I'm at that point too - I've been with them for the past 4 years but I guess it's time to go!

Dom
In your case Dom, I fail to see what the insurance company has done wrong.

Zeemax_Mini

Original Poster:

1,235 posts

281 months

Tuesday 13th November 2012
quotequote all
HustleRussell said:
They aren't acting unfairly, It is unreasonable for you to expect they could remove your dad from the policy from day 1 (because they have still insured his 'risk' since day 1, and for all they know he could have an outstanding claim ready to make it's way into their call center).
If the "I think £450 is excessive, could we please try to reduce it" approach isn't going to work, I fear you're stuffed frown
I do understand that - I said to them that if they'd either a) realised after a month and billed me then (so that I can remove him from the policy and claim the refund) or b) not paid out if my dad was driving my car and crashed, then I'd accept that as my responsibility! Just seems weird that their system has only just realised the mistake 12 months later. My inlaws were getting a quote recently from a different insurer and the guy on the phone asked them to check the named driver details as the system showed a discrepancy - that was immediate, and only for a quote!

Dom

Zeemax_Mini

Original Poster:

1,235 posts

281 months

Tuesday 13th November 2012
quotequote all
Manicminer said:
In this case - have you made any claims in the last 11.5 months?
Nope, not ever! (touch wood)

Dom

Wacky Racer

41,362 posts

277 months

Tuesday 13th November 2012
quotequote all
In fairness to them. anyone could just say "I did not know he had an accident"...It's your job to tell them the facts...also the fact that your dad did not drive is irrelevent, he might have done...

However, £450 seems ridiculous, how did they arrive at that figure?

You certainly have my sympathies...I would be gutted too.

RevolveR

227 posts

170 months

Tuesday 13th November 2012
quotequote all
Claim your card is lost/stolen with the bank, it might stop payments going out.

Zeemax_Mini

Original Poster:

1,235 posts

281 months

Tuesday 13th November 2012
quotequote all
Wacky Racer said:
In fairness to them. anyone could just say "I did not know he had an accident"...It's your job to tell them the facts...also the fact that your dad did not drive is irrelevent, he might have done...

However, £450 seems ridiculous, how did they arrive at that figure?

You certainly have my sympathies...I would be gutted too.
Yeah I understand that, it is my fault that they didn't know about the accident and I should have checked before confirming. They say the £450 is the difference in premium had he been added last year when it started!

Dom

Nick1point9

3,920 posts

210 months

Tuesday 13th November 2012
quotequote all
RevolveR said:
Claim your card is lost/stolen with the bank, it might stop payments going out.
The insurance company will just pursue him for the funds by another means.

kiethton

14,648 posts

210 months

Tuesday 13th November 2012
quotequote all
I would cancel the card (so no payment can be taken) and cancel the policy, writing off the 2 weeks left and avoiding them cancelling it and you having to declare such....

big_boz

1,685 posts

237 months

Tuesday 13th November 2012
quotequote all
Nick1point9 said:
RevolveR said:
Claim your card is lost/stolen with the bank, it might stop payments going out.
The insurance company will just pursue him for the funds by another means.
That will work, report your card as lost and they will not be able to take the funds, but equally, i have no doubt that they will still come after you.

Might be worth speaking to Citizens advice to see if there is anything that can be done.

Zeemax_Mini

Original Poster:

1,235 posts

281 months

Tuesday 13th November 2012
quotequote all
I've just done a quote online with them and to add my dad as a named driver (including his claim etc) is £50 extra!

Dom

StottyZr

6,860 posts

193 months

Tuesday 13th November 2012
quotequote all
Zeemax_Mini said:
Wacky Racer said:
In fairness to them. anyone could just say "I did not know he had an accident"...It's your job to tell them the facts...also the fact that your dad did not drive is irrelevent, he might have done...

However, £450 seems ridiculous, how did they arrive at that figure?

You certainly have my sympathies...I would be gutted too.
Yeah I understand that, it is my fault that they didn't know about the accident and I should have checked before confirming. They say the £450 is the difference in premium had he been added last year when it started!

Dom
I had a similar experiance once upon a time although they tried to take £2500 out of my account(fortunately I didn't have enough money, I never recieved a letter forwarning me). I got it down to £800 then eventually paid an extra £200 to cancel as I was only about a month into the policy.

Very sour taste in my mouth. When does back charging for "quote massaging" i.e leaving something out, turn into extortion?

Please go to the insurance ombudsman, I fear they've done this to many, many people as its hard to argue back when your morally in the wrong.

mattball

114 posts

177 months

Tuesday 13th November 2012
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Tell them that 'due to a discrepancy' you hadn't realised he was on the policy and he was never meant to be. Please could they rectify this and repay any money they might owe you for the additional charge of placing your Father on the policy 11.5 months ago wink