Cancel Insurance or let it run out ?
Discussion
Olas said:
Allow the insurance to run its course, and collect another year of NCB.
When you sold the car you wrote the date on the V5 - this is proof that you a renot liable for any claims after that date.
There *may* be a benefit to comparing the cost of two moths cover against the reduction in premium with 1 additional year of NCB
Dont be daft.When you sold the car you wrote the date on the V5 - this is proof that you a renot liable for any claims after that date.
There *may* be a benefit to comparing the cost of two moths cover against the reduction in premium with 1 additional year of NCB
From the Duffy thing, this quote from a solicitor seems to get to the nub of the reason why
"Section 151 of the 1988 Road Traffic Act. It says, in summary, that if a policy of insurance exists for a vehicle then the policy, as a matter of law set by Parliament, covers any person who might be using that vehicle, with or without the authority of the insured. The insurance company must meet the costs of any claim.. (he) will be in breach of his contract of insurance and his insurers will be able to.. try to recover their costs"
You would be a fool to allow the insurance to run on a car you no longer own.
A learning point for me too.
matt2911 said:
timberman said:
So someone comes knocking on your door and says a car you previously owned was involved in an accident, and the new owner hasn't bothered to get insurance,
so even though it has nothing to do with you and clearly isn't any of your fault we've decided you should pay anyway.
And you'd be quite happy with this would you?
And just for clarification in case it wasn't clear from my post I think it quite possible this could happen and that the OP should cancel their insurance.
But if the person has just left the insurance running it is to do with them. Doesn’t matter how happy they are or not really. so even though it has nothing to do with you and clearly isn't any of your fault we've decided you should pay anyway.
And you'd be quite happy with this would you?
And just for clarification in case it wasn't clear from my post I think it quite possible this could happen and that the OP should cancel their insurance.
Edited by timberman on Saturday 29th February 09:08
and it only has anything to do with them in as such that they have not cancelled their insurance and the other party's insurance company has an avenue to claim compensation.
It certainly wouldn't be their fault,
and had they cancelled the policy the other party wouldn't even be able to consider it an option.
JxJ Jr. said:
timberman said:
TwigtheWonderkid said:
timberman said:
I would like to think that as long as it can be proven you no longer own the car or have any association with it and so couldn't have been involved in any incident then the claim would be rejected,
You'd like to think an insurance company would avoid their legal obligations? You're walking down the road minding your own business when a car mounts the pavement, hits you, and you're in a wheelchair for the rest of your days. The idiot driving the car didn't buy any insurance but as the previous owner's insurance is still in force, there is a policy in place covering tp liability. You are entitled to £3m compo for your life changing injuries. But you'd be happy for the insurer to ignore their legal obligation to pay you, because it's not fair on the previous owner whose premium might do up a few hundred quid for a couple of years and who could have cancelled his insurance but didn't bother????I'm not sure I believe you.
so even though it has nothing to do with you and clearly isn't any of your fault we've decided you should pay anyway.
And you'd be quite happy with this would you?
And just for clarification in case it wasn't clear from my post I think it quite possible this could happen and that the OP should cancel their insurance.
"If under the law of any country we must make a payment which we wouldn’t otherwise have to make, you must repay that amount to us."
Failing to inform the insurance company about selling a vehicle makes them liable for the 'wouldn't otherwise have to make' bit, and then they go knocking on your door.
which is why I suggested that the sensible option would be for the OP to cancel their policy.
Edited by timberman on Saturday 29th February 18:37
timberman said:
I was referring to in general, i.e would you be happy paying for someone else's mistakes
and it only has anything to do with them in as such that they have not cancelled their insurance and the other party's insurance company has an avenue to claim compensation.
It certainly wouldn't be their fault,
and had they cancelled the policy the other party wouldn't even be able to consider it an option.
It would be their fault for not cancelling the insurance and as such I would have no sympathy. and it only has anything to do with them in as such that they have not cancelled their insurance and the other party's insurance company has an avenue to claim compensation.
It certainly wouldn't be their fault,
and had they cancelled the policy the other party wouldn't even be able to consider it an option.
I wouldn’t be stupid enough to not cancel the insurance so won’t have to pay for anyone else’s mistakes.
As for some of the idiots advising to keep it active... I despair.
We agree to cancel it. I hope OP has.
Olas said:
When you sold the car you wrote the date on the V5 - this is proof that you a renot liable for any claims after that date.
Please can you expand on this, and explain how the date on the V5 gets the insurance company out of their mandated obligations to a third party under the R.T.A? matt2911 said:
timberman said:
I was referring to in general, i.e would you be happy paying for someone else's mistakes
and it only has anything to do with them in as such that they have not cancelled their insurance and the other party's insurance company has an avenue to claim compensation.
It certainly wouldn't be their fault,
and had they cancelled the policy the other party wouldn't even be able to consider it an option.
It would be their fault for not cancelling the insurance and as such I would have no sympathy. and it only has anything to do with them in as such that they have not cancelled their insurance and the other party's insurance company has an avenue to claim compensation.
It certainly wouldn't be their fault,
and had they cancelled the policy the other party wouldn't even be able to consider it an option.
I wouldn’t be stupid enough to not cancel the insurance so won’t have to pay for anyone else’s mistakes.
As for some of the idiots advising to keep it active... I despair.
We agree to cancel it. I hope OP has.
matt2911 said:
timberman said:
I don't for one minute believe you think someone who sells a car and forgets to cancel their insurance policy is to blame if the car is involved in an accident and the new owner hasn't bothered to buy their own insurance.
They are to blame for being liable yes. 
TwigtheWonderkid said:
Olas said:
When you sold the car you wrote the date on the V5 - this is proof that you a renot liable for any claims after that date.
Please can you expand on this, and explain how the date on the V5 gets the insurance company out of their mandated obligations to a third party under the R.T.A? 
I have contacted my previous insurance and cancelled the policy. The request for cancellation form stated a payment requirement of £30 which has yet to come out of my account as they have not asked for my bank details ? ... and they have sent me my 'no claims discount' form (maybe because i had it protected anyways ?) and closed the policy.
Quite a topic of conversation it seems. I felt pulled both ways with this... to cancel or let it run. But the force of doing the right thing, and sleeping at night made my mind up to cancel the policy.
Thanks guys for all your help, I hope not to cancel a policy in the future, but i will be well armed with info if i do
Quite a topic of conversation it seems. I felt pulled both ways with this... to cancel or let it run. But the force of doing the right thing, and sleeping at night made my mind up to cancel the policy.
Thanks guys for all your help, I hope not to cancel a policy in the future, but i will be well armed with info if i do
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