Car / Home Insurance.

[marky b]

Weve just came up against what could have been a problem.
A lot of insurance companies automatically try to continue taking payments when your policy runs out.
They presume you are renewing and carry on taking payments and its up to you to cancel the following years policy prior to renewal.
Its in the policy info so make sure you have a read, we nearly got caught out.

[kallis3]

I've never had a problem with that.

However, if I am changing companies then I always make sure I cancel the direct debit for the other one.

[Skippy]

I think a few companies do that now so it's best to play safe and cancel the direct debit.

[kallis3]

Whatever the company is, I always cancel DD's. Wouldn't have it any other way!

[marky b]

your missing the point kallis.
cancelling the direct debit is not the issue, anyone with half an ounce of common sense would know to cancel the DD.
They are saying that if they try to claim the DD they have the right to presume that you are renewing with them and then penalise you for having a payment returned.
Ive never come across this before but it is apparently becoming common practise.

[Andy1964]

What your saying Marky is right, when you get your renewal you have to contact the company if you don't wish to carry on with them, just cancelling the DD is often not enough.

[kallis3]

I am not missing the point!

Providing you cancel the DD, the company should not take anything else out of the account. You may also need to contact the company to tell them you no longer wish to continue with the policy,

If you don't wish to continue with the policy, then cancel with the company before renewal.

I've never had a problem with that.

[marky b]

well im pleased for you kallis but ive never had to physically let a company know that i wont be renewing before this year. Admittedly ive only beeen driving for 27 years so am relatively new to the concept of car insurance.
Anyways not in the mood for another game of tennis with you was just trying to convey some advice that may be of use to others not to test your superior wisdom of which by now i am quite aware.

[Shining]

I always let the company know and cancel the Direct Debit, a good reminder though Mark for other posters who inadvertently may not use this procedure. xx

[marky b]

cheers lesley.

[Adam Davies]

Hi
Guys can we keep all posts civil please in future.
It is a fair point, I like Kallis have always thought that by just cancelling the DD you were not renewing however it does seem that this is not enough for some companies and they may put you on risk for another month or so and bill you for the privilage.
Best to do both, cancel DD and let the company know
Regards

[Skippy]

Dave had a problem with this a few years ago - he'd been a member of a professional body but decided to cancel the following year. He cancelled with the bank, but the company started a new DD and took over £400. The bank were no help and told him that as he hadn't cancelled with the company he'd have to take it up with them.

[marky b]

Hi Andy
thanks for clarifying what i originally said, i apologise if i came across as not being civil to anyone inparticular.
The object of my post was to highlight an issue that may arise for others after all i get enough advise by reading this forum so thought it wouldnt hurt to give some back.

[Julie]

A good point Marky and I was only aware of this when a DD was re-set up last year without our consent.

Thanks for pointing it out, I'm sure posters will benefit from it.