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So I filled out an online insurance comparison form today.. chose the one i wanted..Got the call back.. she went through all my details again and read me the T & C's...fair enough.. so far so good. Part of the T & C's she says that I have the right to within 14 days....which I know to be right under the distance selling regulations...however..If I cancel I'l be charged £55..wtf. Is that even legal?
Yes.
They charge you the £55 to cover the cost of your 14 days insurance cover.
If you book it on the phone, yes you have a cancellation fee, if you book by internet some charge, some don't, they claim it as an admin as it is a service rather than a tangible product (could be wrong here, am no law professional!), you'll also be charged a pro rata of the cover (£4 a day for example)
Not so sure that distance selling regs cover insurance. Think it's some other regulation that gives you a two week cooling off period.
glupton has it.
Also if you cancel you have no insurance even from the start, so it's an admin fee.
No reputable insurer would try this is it was not legal.
No reputable insurer would try this is it was not legal.
It's an admin fee. It should be reasonable. £55 isn't reasonable to cancel a policy but no one challenges it.