pushy house insurance brokers demanding money for their mistake

[paul_jw]

Hello everyone. Im writing this as a bit of a last ditch attempt.

 

I took out a house insurance poilcy with Brit Insurance, through the brokers Auto Direct. I started the cover on the 1st of September 2009 on a years policy.

 

Come around the middle of August 2010, i got a letter stating that my new quote for the next year would be X, and this would automatically carry on should i take no action. As the quote was more than others, i phoned them and told them not to let it carry on as i would be using another company.

 

So come October 2010, i got a direct debit payment taken out by them. thinking this was the last payment for september, i then cancelled the direct debit and let it slide.

 

About two days later i got a letter from them asking why i had cancelled the direct debit, and to get it sorted. I phoned up, explained i had specifically told them not to continue it, and they said on the phone it was cancelled and all sorted.

 

A week later i got a letter demanding £76. Upon phoning them, i got put through to their debt recovery dept - which the amount had been handed to as the policy was closed with an 'outstanding balance'. The woman was awful, i mean, really awful. Basically pushing and pushing for me to pay.

 

Then, and this is the odd thing, she told me if i had a poicy with a new insurer the only way to waiver this £76 would be for me to provide proof i had insurance with someone else from the 1st of September 2010. She could not satisfactorily tell me why.

 

I argued that me having insurance was a personal choice - i didnt have to have it - and whether i did or not would not rectify their error.

 

So anyway i got a copy of my current insurance cover, and phoned them the next morning to get an address to send it to. As my insurance cover for this year started on the 18th of September 2010, and not between the 1st of September and the 14th (some kind of grace period apparently), i would still have to pay the charges. I sent this coversheet anyway with an angry letter on military headed notepaper (im in the Royal Navy).

 

Any challenges to this have been replied to with "its your insurers policy, not ours, we need a payment".

 

I got another call today asking for the money, and if i didnt pay up it would be referred to a debt recovery company. The charges are for £15 admin charge, £50 cancellation charge, and the rest is my actual insurance bill from the 1st of September 2010 to the date which they cancelled. At no point was i informed i would be charged, i just thought they had sorted their error.

 

They maintain i didnt call and tell them i didnt want it to roll over. I have no proof, but i did.

 

Can anyone help please, after their manner on the phone im nervous about phoning them.

[unclebulgaria67]

Brokers fault for not lapsing the policy at renewal. Make an official complaint in writing by recorded delivery and if they don't resolve within 8 weeks, pass this to the FOS. While your complaint in outstanding, neither the broker, Insurers or any debt collector can continue with any collection activity, as it against the rules of the FSA and OFT to do so. If you end up with the FOS, the broker will get charged a case fee of £500 and it will cost you nothing.

 

Most brokers reccord their calls these days, but they might not have the recording. But they should have put a note on their systems to record the request. If you can get a list of phone calls you made for the relevant phone you used, this will show date/time of your call. This may help you.

 

As a by the way, I would not trust either Brit or Auto Direct. I have seen many other complaints about both. Neither hot on customer service.

Edited November 24, 2010 by unclebulgaria67