Buildings insurance renewal

[Happyolddog]

Today I got my bill through for our home buildings insurance renewal. The price had more than doubled so I decided to move insurers. After doing a few searches I found one with a massive saving of over £100 on the years cover. I opted for that and phoned my current insurer to say no to their quote. The sales person on the other end of the phone said I would need to pay a months insurance as a severance for the cancellation. I thought this a bit cheeky and said send me the bill but don't expect me to pay it.

Now the question, what does the law say on this matter? if you don't know do you know where I can find out if this charge is lawful? I honestly think they are on rocky ground myself and I am reluctant to pay.

thanks for reading this!

Best wishes,
Hod...Liam..

[Niklowe]

Re: Buildings insurance renewal

Liam, just a couple of questions.

1. Is there anything in the small print of the policy, that states that you have to give them a term of notice before the next renewal date?

2. Did you refuse before the renewal date?

I can't see otherwise, that they have a leg to stand on

[Niklowe]

Re: Buildings insurance renewal

Have a look here Liam

GENERAL INSURANCE STANDARDS COUNCIL CODE OF CONDUCT, LLOYDS UNDERWRITERS, MARINE SPECIALISTS, TRANS CONTINENTAL INSURANCE SERVICES GROUP - FREIGHT INSURANCE, CARGO INSURANCE, HULL INSURANCE, YACHTS INSURANCE, POWER BOAT INSURANCE, SAILING BOAT INSURANCE | FREE ONLINE QUOTATIONS

[Nattie]

Re: Buildings insurance renewal

Liam, if they have a renewal date there is also a 30 days cancellation period for insuarance. Have a good look at the policy and when the date or renewal is. Then, call them again and say you want to cancel the policy at the point of renewal. If they say that you need to pay a months amount of insurance, point out the cancellation period which under the cancellation period should not penalise you for giving adequate notice of cancellation.