I signed up to an agreed valuation insurance policy with Sky insurance approximately 6weeks ago. As expected they took payment of the full premium immediately. Only today have I received confirmation of the valuation they are willing to agree - £5k!! After close to 6yrs of ownership, a shed load of receipts and proofs of work completed and a valuation from a recognised car club this feels like a a kick in the teeth!

 

My questions are these:

1. Am I being unreasonable when all the evidence available to me suggests this value is 35% of what I was expecting it to be?

2. Have any of you had this situation? What are my options for recourse? I took the policy solely because it offered an agreed valuation (which the salesmen confirmed would meet my requirements) which now is insufficient to my requirements? Can I cancel my policy with them - it's now out of the cooling off period (due to them taking so long to confirm the value)

 

So annoyed right now. Actually fuming.

Bad thing is, im with them!

I took the policy out with Adrian Flux so didn't look into who I was insured with.

No it was my daily insured with them. Only problem I had was the douch from Sky insurance lying to me about the 'accelerated no claims' that I mentioned in your thread a few months ago. I also had loads of the details recorded wrong on the paperwork when it arrived

 

Yep, should have heeded your advice mate! I had to call back FIVE times to get my Statement of Fact updated with the correct details which I gave on the FIRST call! They had it down as an auto up until the last iteration and claimed it would make no difference to my policy or any future claim!

 

Anyway, I just called to question the valuation - the head underwrite is MIA (surprise surprise) but I was told by the 'expert' customer services rep that he would have compared against the market to get the value in conjunction with all the paperwork I had sent through. The fact this was a classic car policy and 'market value' meant very little was lost on her unfortunately. Anyway, I'm waiting for a call back from her/the underwriter with the reasons as to why the car was valued so low.

 

I also asked if my premium would now be reduced now that the car's value has gone down by 65% to which the answer was no, as it wasn't 'marked up' due to high value at the outset. Great. So my car is worth less and I get no reduction in premium.

 

Finally, I asked about cancellation of the policy, specifically pointing out that the agreed valuation documentation was not even sent to me before the 2week 'cooling off' period was over. Their stance is that I was covered from the start and with agreed value, despite this value not being the one I had hoped for, so are entitled to charge full fees and commission on cancellation as well as pro rata premium charge.

 

After doing the maths myself, this means on a premium paid of £477 exactly 5weeks ago, I would get back £240.

 

I'm tempted to get another policy and cut my losses tbh. If they're being like this to a new customer so early on, I dread to think how awkward they would make things should I ever need to claim!

Why not contact the insurance ombudsman if they won't move from that stance?

Why not contact the insurance ombudsman if they won't move from that stance?

 

Really depends on the outcome of the valuation review I guess.

 

Plus the unavoidable hassle of dragging this out if it does go through the ombudsman....

Mate, make it clear that you wish to log a formal complaints procedure regarding the poor service you've had and the potential mis-selling of the policy. Also check your documents as quite often the cooling off period in the paperwork will state 14 days from when you receive the documents and not 14 days from the date you purchased the policy.

 

In regards to the cooling off period (just so you don't get dodgy advice), the cooling off period allows you to cancel the policy but it does still allow the company to charge you an admin fee.

 

Like I said, make an official complaint and if you then get no where take to to the ombudsman, it doesn't take you that long, and they will be charged £550 as soon as the FOS accept the case (regardless of the outcome) so the insurer may end up making a business decision to allow you to cancel without charge or maybe just a time on risk charge without cancellation fees etc as its financially in their interest to do so.

 

If you want more info on how to approach the FOS etc then give me a shout mate. Like I said I work in customer relations in insurance

Mate, make it clear that you wish to log a formal complaints procedure regarding the poor service you've had and the potential mis-selling of the policy. Also check your documents as quite often the cooling off period in the paperwork will state 14 days from when you receive the documents and not 14 days from the date you purchased the policy.

 

In regards to the cooling off period (just so you don't get dodgy advice), the cooling off period allows you to cancel the policy but it does still allow the company to charge you an admin fee.

 

Like I said, make an official complaint and if you then get no where take to to the ombudsman, it doesn't take you that long, and they will be charged £550 as soon as the FOS accept the case (regardless of the outcome) so the insurer may end up making a business decision to allow you to cancel without charge or maybe just a time on risk charge without cancellation fees etc as its financially in their interest to do so.

 

If you want more info on how to approach the FOS etc then give me a shout mate. Like I said I work in customer relations in insurance

 

Thanks for the advice mate, very much appreciated!

 

I've got all the dates and call references noted down too so should be able to file a pretty thorough complaint. All the more annoying as I actually made the effort to shop around way ahead of my previous policy expiring and paid my premium with these guys a full 10days in advance of the policy start date! Then with all the messing around with getting details correct and getting the agreed valuation docs sent out to me the 2week cooling off period was well passed.

 

I can kind of see their point in saying that despite the valuation not coming out as high as I expected, I've still been covered with an agreed value since policy inception which is what makes me doubt whether I'll be able to claim anything more back from them. Won't know unless I try I guess.

Yeah it won't hurt you to try mate. Let me know the outcome please

Who pays the £550? You or the company?

Who pays the £550? You or the company?

 

I assume the insurance company?

The company does mate.

 

So in short, you need to follow the companies internal complaints procedure to the point that they issue you with a final decision in writing at which point they should also give you the FOS (ombudsman) rights. The company will have up to 8 weeks to do this from the first notification of a complaint. If they don't, then you can still approach the FOS directly and confirm to them that you've give the company the 8 weeks. Just make it clear that you'd like to make an official complaint.

 

Once the FOS take on the complaint, then the company will be charged £550 regardless of the outcome (I.e. whether its in your favour or not). Initially it is an adjuditor that will provide the decision. If you (or the company) remain unhappy with the adjudicators decision, the case can then be escalated to an actual ombudsman.

 

The company must bend to a final decision by an ombudsman but can challenge the adjudicator if they feel badly enough done to so to speak.

 

Does that make it a little clearer mate?

With the fear of having to pay £550 anyway, surely they would let you cancel with a full refund?

The company does mate.

 

So in short, you need to follow the companies internal complaints procedure to the point that they issue you with a final decision in writing at which point they should also give you the FOS (ombudsman) rights. The company will have up to 8 weeks to do this from the first notification of a complaint. If they don't, then you can still approach the FOS directly and confirm to them that you've give the company the 8 weeks. Just make it clear that you'd like to make an official complaint.

 

Once the FOS take on the complaint, then the company will be charged £550 regardless of the outcome (I.e. whether its in your favour or not). Initially it is an adjuditor that will provide the decision. If you (or the company) remain unhappy with the adjudicators decision, the case can then be escalated to an actual ombudsman.

 

The company must bend to a final decision by an ombudsman but can challenge the adjudicator if they feel badly enough done to so to speak.

 

Does that make it a little clearer mate?

 

Cheers bud, very helpful. Going to give them another call today as still haven't heard anything back from my last call to appeal the valuation.

 

Trying to think of the grounds of any complaint - I guess their general lack accuracy in reporting facts on my policy and tardiness in arranging the agreed valuation combined with the now unsatisfactory agreed valuation would be it.

Only going from what I understand of it, correct me if I'm wrong but I would go with:

1. Mis-quote of details and the fact you've had to call them several times to correct the information which I turn to me is:

2. A poor service as you shouldn't have to call several times.

3. To me they've led you to believe that you can have an agreed value of whatever it was and have even told you that it's normally pretty much a tricky box exercise which it clearly isn't, so the only reason you bought the policy was because you were under the impression that you would have a policy that would pay out the true value of the vehicle should the car be written off. And you clearly don't have that.

 

My only thing on point 3 is that I don't know exactly what you were told at quote/inception stage around how the agreed value works.

The FOS don't always just look at 'did the company read out there compliance wording' etc, they look at how clear the company was and whether in their opinion the company have acted fairly.

 

If all you are wanting to do is cancel a policy because it was mis-sold in the first place, then I would see it as fair to allow you to do so without penalty, especially if you are willing to allow them to keep the true time on cover charge.

Only going from what I understand of it, correct me if I'm wrong but I would go with:

1. Mis-quote of details and the fact you've had to call them several times to correct the information which I turn to me is:

2. A poor service as you shouldn't have to call several times.

3. To me they've led you to believe that you can have an agreed value of whatever it was and have even told you that it's normally pretty much a tricky box exercise which it clearly isn't, so the only reason you bought the policy was because you were under the impression that you would have a policy that would pay out the true value of the vehicle should the car be written off. And you clearly don't have that.

 

My only thing on point 3 is that I don't know exactly what you were told at quote/inception stage around how the agreed value works.

The FOS don't always just look at 'did the company read out there compliance wording' etc, they look at how clear the company was and whether in their opinion the company have acted fairly.

 

If all you are wanting to do is cancel a policy because it was mis-sold in the first place, then I would see it as fair to allow you to do so without penalty, especially if you are willing to allow them to keep the true time on cover charge.

 

That's exactly how it is so thanks for summarising it so succinctly!

 

I had to call repeatedly for them to even send out the agreed valuation forms for me to complete and only after the 4th request did I actually receive them (although they claim they posted them out each time I only received them once).

 

I am waiting a response from their chief underwriter to review the valuation and either amend it or to provide an explanation as to why it is so low.

 

Once I have this, if I am still not satisfied, I will look to cancel my policy and submit a formal complaint.

 

Only other problem is who do I go with for insurance cover after these clowns!

I don't know. I'm with Aplan but they don't do agreed valuation. I'm pretty sure it was markerstudy they put me with though.

 

They should have given a timescale for the contact