Hastings Direct (UK): Forced to Pay for Cancellation, Yet Denied New Coverage
Hello everyone,
I recently faced a car accident and received my insurance settlement. Now, Hastings Direct has given me a 30-day deadline to insure another vehicle or risk having my policy canceled. Alternatively, I can choose to cancel it myself.
I’ve been paying on a monthly basis, leaving a remaining balance of £1,900 due for the year. When I reached out to inquire about my options, I was informed that I would still be required to pay this full amount, whether I cancel the policy or if they do it after 30 days.
To avoid this hefty fee, I explored the possibility of insuring another vehicle with Hastings Direct. I’ve looked into four different cars—none of which are extravagant, including a 2016 Ford Fiesta valued at around £5,000 with 60,000 miles. However, each time I’ve requested coverage for these vehicles, they have denied my applications.
It feels as though they are intentionally making it impossible for me to insure another car, effectively cornering me into paying the remaining £1,900 for the policy.
Do I have any legal recourse in this situation? It seems unfair that they can demand payment for the rest of the year when they aren’t providing me with a viable option to insure a new vehicle. Any insights would be appreciated!
I’m sorry to hear about your situation. It sounds really frustrating. When dealing with insurance companies, it’s important to know your rights.
Contractual Obligations: Review your policy’s terms and conditions to see what they say about cancellation and how it’s handled under different circumstances, such as a total loss due to an accident. Some insurers may have specific clauses that address situations like yours.
Communication Records: Keep a record of all communications with Hastings Direct, including your inquiries about new vehicles and their responses. This could be helpful if you need to escalate your case.
Consumer Rights: Under the Consumer Rights Act 2015, services provided should be delivered as promised. If they’re refusing to insure you, they may not be fulfilling their contractual obligation to provide you coverage.
Financial Ombudsman: If you feel they are acting unfairly, you can escalate the issue to the Financial Ombudsman Service, which handles disputes between consumers and financial services.
Seek Legal Advice: It might be beneficial to consult a legal professional or a consumer rights organization for specific advice tailored to your situation.
Lastly, consider shopping around with other insurers; you might find a better deal, even if Hastings Direct insists on the payment for your current policy. It’s crucial to keep your insurance coverage continuous to avoid any gaps that might affect future policies.
I hope you find a resolution that works for you!