Insurance tries to void friends policy following accident.

[Integroo]

For not disclosing a named driver's points. Refused to pay out on a written off car initially. There were four policies with the same company, with one individual being an authorised user to discuss all four. All four were named drivers on each others policies. The authorised user rung up at the time to declare the points, giving only the number plate for the policy of the driver with the points. Insurer didn't update the others.

After a lengthy argument caved in, accepting they should have updated, and agreed to cover the loss. However, they did demand 500 in backdated premiums to reflect the increase - for each of the three policies. So 1500 quid.

Not sure if I feel the insurer is in the right or the wrong here. Certainly one to watch out for!

[Integroo]

bradjsmith88 said:

The insurer would not be able to show that the person in question had failed to take reasonable care.

Section 3:
http://www.legislation.gov.uk/ukpga/2012/6/content...

So its charging what it would have done, had it updated all of the policies.

The sticking point on paying the premium might be if consumer(s) could have changed insurer, or removed driver at renewal cycle to save the premium, and if he was driving at time of claim?

Edited by bradjsmith88 on Tuesday 19th September 16:18

The impression I got is that the £500 is some sort of penalty rather than necessarily purely backdated premiums - surely three points to a named driver wouldn't have made each policy increase by £500?

[Integroo]

bradjsmith88 said:

Integroo said:

The impression I got is that the £500 is some sort of penalty rather than necessarily purely backdated premiums - surely three points to a named driver wouldn't have made each policy increase by £500?

Not necessarily, but is this driver named on more than one of the policies? There's more to it than that. It might be £505.16 but the insurer have rounded it down. But given the heavy regulation figures can't be plucked out of the air. The Ombudsman would ask for confirmation of the premium amount being correct, but that sort of info is company sensitive.

Yes, the driver is named on all of the policies.