Lancaster Insurance

[ChrisJones117]

Had my renewal come through today from Lancaster quoted £188 fully comp, £ 200 excess. Not unreasonable I thought as shopping around has yet to find anything much cheaper.

So rang them up did the deal over the phone, paid in full for years cover as paying in installments offends me somewhat giving them extra money for little or no work on their side.

After concluding transaction and going through the usual pleasntries and platitudes of " Can I do anything else for you etc. etc. " I asked the young lady to confirm my 'No Claims' status as by my reckoning owning said vehicle since 2006 should land me in the manor of 5 years NCB.

Shock & Horror, only 3 years NCB earned, but how can this be I have made no claims or been claimed against since I have owned my Defender, Oh don't worry about it came the reply, some of the Insurers we have placed you with over the last 5 years do not give NCB at all they only provide cover, apparently Equity Red Star & Allianz this is regular business practice and it is your responsibility as the enquirer to ask the question Lancaster are not obligated to inform you. When saying if that is the case I wish to cancel the policy I just took out with you, sure thats no problem you just have to send us the request in writing and pay a further £75 fee for admin charges.

Peeps please make sure you always ask all the questions you can, do not get caught out like I have been, at the moment I fell like I need to have a shower as feeling unclean and violated after dealing with this company, but as I am left with no choice, I will play their game for one more year adn then seek better cover with tangible rewards etc.

[Guest]

I would phone them up, speak to a manager and inform them that they are in breach of the FSA code of conduct and Distance Selling Regulations, the £75 fee may change then... Several recent rulings have agreed that anything more than £12 pounds to cancel a contract is neither reasonable or proportionate, I would also let them know you plan to report them to the financial services ombudsman this may change their mind.

Financial products and services

Financial products including banking, credit, insurance, personal pensions and investments, sold by distance means are subject to a 14 day cooling off period (this is 30 days in the case of life insurance and personal pensions). This includes renewals for insurance where the agreement has been sent by post. This 14 day cooling off period also covers situations where you bought a financial product from an intermediary or a broker, even if it was discussed and signed face to face. You must be sure to follow correct procedure for cancellation. The insurer or broker must refund any monies paid by you within 30 days, although they have the right to deduct a reasonable admin charge, and a sum proportionate to the number of days cover you have had. If you have any related credit agreements, these will also be cancelled.

Jason.