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Hi,I'm a new member and have a grouse to make and wonder if anyone can confirm my query.
I am due to leave the U.K.soon for New Zealand.My annual car insurance was renewed at beginning of December and I want to cancel it when I leave in January. I have paid one month of the new premium and Saga now want to charge me an additional charge of £25.00 for administration charges.
I also vacate my property on 21st Dec and Insurance premium for Home contents has been paid for this month, up to 27th Dec.Saga want to charge me an additional £22.65 as a pro-rata admin.charge.How can an administration charge be pro-rata?
Are they entitled to do this or are they trying it on?, like the Banks did with their charges.Meantime I'm refusing to pay, but fear having my good credit name tarnished.Anyone know the legal position?
superbiatch
17-12-2007, 14:52
As far as i know, its legitimate and its probably contained within your policy documents. Although i think some insurers might waiver it in your circumstances, but it seems as tho you're gonna get nowhere with saga :(
£25 isn't the most expensive i've seen, i'm sure i had to pay £75 to get out of car insurance once :shocked:
Delta Whiskey
17-12-2007, 14:58
£25 isn't the most expensive i've seen, i'm sure i had to pay £75 to get out of car insurance once :shocked:
It cost me £85 to cancel my car insurance, even though I had a very good reason to do so, they wouldn't reduce the cost. :mad:
Can't you transfer the policy to NZ? I did when moving around Europe and Middle East.
SMHarman
17-12-2007, 15:28
The wording on the pro-rata admin charge I would imagine is supposed to mean 'admin charge for a policy that has been pro-rated'.
It seems a reasonable price if you think they have to cancel the policy, cut you a cheque etc. It is a fair piece of work they need to do.
Back in the past insurers had padding in their insurance prices so this stuff was inclusive to the policy cost. Now as the direct lines and churchills have cut premiums to the bone the inclusiveness of the policy has been unbundled. The policy is the cost of the insurance, changes are charged for separately as that is process over and above providing the insurance.
dilli-theclaw
17-12-2007, 15:43
I have moved this to lifestyle :) - And welcome by the way :tu:
sounds about right if they are brokers - they would normally cover their own costs from commission paid by the underwriter, but if you are cancelling (or changing) they have extra costs which they won't otherwise recoup. It should all be in those T&C's you read in detail ;-)
It cost me £85 to cancel my car insurance, even though I had a very good reason to do so, they wouldn't reduce the cost. :mad:
My insurance company tried to charge me £25 for a change of address, I told them to leave it as my policy was up for renewal and I wouldn't be renewing my policy with them, about 2 hours later I got a phone call from the insurance company who said they were willing to do the change of address for free, I said ok but I'm still not renewing with you because you were trying to charge me £25 for nothing all you had to do was change my address on your database which would have taken 2 minutes. I went to a local insurance broker who knocked £100 off the price Churchill were going to charge me.
I used to work for Admiral and there was always a £10 'admin charge' for anything which involved sending anything to customers. It was very much a 'waivable' charge in certain circumstances. If the customer kicked up enough of a fuss was a regular one but also if the y also paid on time and had been a customer for several years with no claims. I don't know if that's the same with your insurance company but if you've been a good customer then maybe its worth a try.
papa smurf
18-12-2007, 19:10
I used to work for Admiral and there was always a £10 'admin charge' for anything which involved sending anything to customers. It was very much a 'waivable' charge in certain circumstances. If the customer kicked up enough of a fuss was a regular one but also if the y also paid on time and had been a customer for several years with no claims. I don't know if that's the same with your insurance company but if you've been a good customer then maybe its worth a try.
which one were you the admiral or the parot:D:D:D
Mine costs me £16 for any changes, thought mine were expensive.
Mine had the cheek to charge me an admin charge for adding someone to my policy...
Even though they'd just charged me for adding the person :mad:
Also somehow when I changed my address they managed to change the registration of my car to one starting with a 5 (my car is a S reg) how they managed that I'll never know. :rolleyes:.
It took them 3 attempts to get my details changed properly :rolleyes:
superbiatch
18-12-2007, 23:31
Also somehow when I changed my address they managed to change the registration of my car to one starting with a 5 (my car is a S reg) how they managed that I'll never know. :rolleyes:.
It took them 3 attempts to get my details changed properly :rolleyes:
Be thankful its sorted. Had it not been, you would have not been insured - or at least they would not have paid out should you have claimed :rolleyes:
The wording on the pro-rata admin charge I would imagine is supposed to mean 'admin charge for a policy that has been pro-rated'.
It seems a reasonable price if you think they have to cancel the policy, cut you a cheque etc. It is a fair piece of work they need to do.
Back in the past insurers had padding in their insurance prices so this stuff was inclusive to the policy cost. Now as the direct lines and churchills have cut premiums to the bone the inclusiveness of the policy has been unbundled. The policy is the cost of the insurance, changes are charged for separately as that is process over and above providing the insurance.
Not £25 worth though, a few button presses etc, I used to work in insurance, absolute rubbish what you've said above.
It's just a way for them to make a few quid.
SMHarman
19-12-2007, 16:25
Not £25 worth though, a few button presses etc, I used to work in insurance, absolute rubbish what you've said above.
It's just a way for them to make a few quid.So how much did it cost to employ you (including not pay expenses like NI), the office space, the phone systems the computer you used?
How many of these could you or did (as you might not be at full capacity) do an hour.
Add that up divide by the number you can do a year and you get the 0 profit number.
Be thankful its sorted. Had it not been, you would have not been insured - or at least they would not have paid out should you have claimed :rolleyes:
I know although I wander what would have happened if I'd had an accident in the time it took between me telling them to change my details and the new documents coming though...
Because obviously couldn't have checked them to notice the mistake till they'd actually got here.
lostandconfused
19-12-2007, 21:51
i had a temporary car this year, because i needed mine fixed and it was a borrowed car rather than a hire one.
My insurance company wouldnt let me have 2 cars on the one policy, and they wouldnt let me have a temporary policy while mine was still running, so had to pay £25 to change the details to the borrowed car, and then £25 to change it back to mine.
Also meant that if anything happened to it, while it was in the garage it wouldnt be covered
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