Incorrect insurance Cover
Discussion
I’ll try and keep this simple. My daughter has had Social cover for 12 years with no accidents or convictions and fully protected NCB. She’s been out of work for quite sometime due to a illness. Recently she started a job working in the community whereby she needs her car. Sadly one morning she had parked her car and when she returned she hadn’t put the handbrake on fully and it’s had rolled into another vehicle causing minor damage. She admitted full liability but the around 10 days later the insurance company wanted to know the purpose of her journey. Thinking nothing else of it she told them exactly what had happened but reading into it she now believes she had the incorrect cover and is distraught has to what the outcome could possibly be due to a oversight on her part thinking she was fully covered. It’s now been a week since she told them the purpose of the journey and still not had any follow up email. Thanks
Nothing you can do until they update you, then tackle it from there if you need to. I’m the meantime check if the cover includes adequate cover and amend if you need to so she’s not at risk going forward. If she’s self employed she’ll need own business use. If she’s working for say a care agency she’ll need.use for her employers business. If her employer required her to use the car for their business ideally they’d have asked her to send confirmation that her insurance was adequate. But it’s not mandatory, it’s just a sign of a good (procedurally tight) employer.
You have a valid point regards possibly making she has the correct cover moving forward but if she was to make the amendments now it would be like admission guilt. She genuinely thought she was covered bless her. She also works for a agency and they have not asked her for any proof of insurance required
In order to decline the claim, one of two scenarios need to apply.
1. Had they known the truth, they would not have covered her at all.
If that's the case, then they don't need to pay the claim. They have to pay out the tp damage initially, but can sue her for that money back should they choose to. If they would have covered her if they'd known the truth, albeit perhaps at a higher premium, then we move on to the 2nd reason to decline the claim.
2. They are confident that she deliberately misled them in order to obtain insurance at more favourable terms.
If when she took the policy out, she can show she didn't need business use, and only started to need it part way thru, then they cannot safely conclude she deliberately misled them. And clearly she didn't deliberately mislead them.
As most insurers do offer business use, then they probably would have covered her so will have to pay the claim. They can either ask her to pay the backdated extra premium (if there is any) or settle the claim proportionately (if she paid 90% of the correct premium, they pay 90% of the claim).
1. Had they known the truth, they would not have covered her at all.
If that's the case, then they don't need to pay the claim. They have to pay out the tp damage initially, but can sue her for that money back should they choose to. If they would have covered her if they'd known the truth, albeit perhaps at a higher premium, then we move on to the 2nd reason to decline the claim.
2. They are confident that she deliberately misled them in order to obtain insurance at more favourable terms.
If when she took the policy out, she can show she didn't need business use, and only started to need it part way thru, then they cannot safely conclude she deliberately misled them. And clearly she didn't deliberately mislead them.
As most insurers do offer business use, then they probably would have covered her so will have to pay the claim. They can either ask her to pay the backdated extra premium (if there is any) or settle the claim proportionately (if she paid 90% of the correct premium, they pay 90% of the claim).
Just a quick update on the incident. We received a letter stating Fault Claim and have paid the third party out. They said your NCD could be affected but we have 2 years protected
But nowhere in the letter does it state my daughter doesn’t have the correct insurance and no suggestion we need to look at it
Confused somewhat
But nowhere in the letter does it state my daughter doesn’t have the correct insurance and no suggestion we need to look at it
Confused somewhat
Golazzo1882 said:
Just a quick update on the incident. We received a letter stating Fault Claim and have paid the third party out. They said your NCD could be affected but we have 2 years protected
But nowhere in the letter does it state my daughter doesn’t have the correct insurance and no suggestion we need to look at it
Confused somewhat
I would still suggest she adds Business Class 1 to her insurance, if it costs anything at all it will not be much (from my experience).But nowhere in the letter does it state my daughter doesn’t have the correct insurance and no suggestion we need to look at it
Confused somewhat
MustangGT said:
I would still suggest she adds Business Class 1 to her insurance, if it costs anything at all it will not be much (from my experience).
In this case I would probably also be checking that is enough.The biggest risk is if she is transporting someone else. Because if a passenger is injured then the insurer is going to ask why they were in the car; I would be concerned that a carer might be transporting 'customers'...
qwerty360 said:
MustangGT said:
I would still suggest she adds Business Class 1 to her insurance, if it costs anything at all it will not be much (from my experience).
In this case I would probably also be checking that is enough.The biggest risk is if she is transporting someone else. Because if a passenger is injured then the insurer is going to ask why they were in the car; I would be concerned that a carer might be transporting 'customers'...
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