Duplicate Buildings and Contents Insurance

[cfoulstone]

Hi all.

I have found recently that I have ended up with duplicated buildings and contents insurance due to the 'you don't have to do anything' renewal letter. I hadn't realised until now that my old insurance with Endsleigh had been renewed and continued to be collected from my bank account.

I shopped around and found a better deal back in July and set up insurance with Heath Lambert for my home. Hence, since July 07 I have been paying for 2 lots of buildings and contents insurance - oops!

Anyhow, I was wondering if I may have any recourse from the legal aspect of duplicate insurances - ie it is against the law to duplicate your home insurance; and may be able to request a full or partial refund of the premiums.

My previous insurance was changed because I discovered that the old buildings policy did not cover me due to evidence of subsidence to the property. So the old Endsleigh policy did not provide cover for the buildings anyhow.

Any help or advice will be appreciated.

Many Thanks


Chris

[Nattie]

Re: Duplicate Buildings and Contents Insurance

I don't think it is against the law to duplicate home insurance, but did you cancel the insurance with the original provider, ie Endsleigh?

[cfoulstone]

Re: Duplicate Buildings and Contents Insurance

Nattie

I was under the impression that it was illegal, but maybe I am wrong?

The previous insurance was not cancelled - it was an oversight on my part partially due to a change of bank account at the same time.

[Helford]

Re: Duplicate Buildings and Contents Insurance

Holding duplicate insurance is definitely not illegal, but it is not permissable to claim a full settlement on each policy in the event of a loss.

Insurance follows the principle of indemnity whereby the insurance should restore you to the preloss position.

In practise, at the time of loss, the insurer will ask you if there is any other insurance in place. If cover is duplicated, each insurer will pay a proportion of the loss relative to each policy's sum insured at risk.

Bottom line, absolutely no benefit in dupliacting cover whatsoever and many policies will carry an exclusion of cover in the event of any separate cover being in place.

H

[cfoulstone]

Re: Duplicate Buildings and Contents Insurance

Helford

Thanks very much for the clarification. However, my intention is not to keep both policies, rather to terminate the one with Endsleigh whom renewed the policy (and the direct debits with my old bank account - hence the reason it has gone unnoticed for so long).

I was seeking advice on whether there was any way of getting the premiums, or part thereof, refunded on the policy that Endsleigh renewed. I fully appreciate that I failed to act on the renewal letter and further failed to notice the direct debits leaving my old, unused bank account.

Thanks

Chris

[thephoenix]

Re: Duplicate Buildings and Contents Insurance

Hi

Unfortunately not, it was a genuine mistake by you that led to continuation of the original insurance.

sorry.

[Helford]

Re: Duplicate Buildings and Contents Insurance

Position understood.

I would suggest that you write to Endsleigh and enclose a photocopy of the replacement policy schedule showing the inception date and ask them to cancel the original policy, retrospectively if they possibly can. Basically appeal to their better nature.

It's your mistake, fair enough, but it's not an unusual situation and it is worth a try.

H

[cfoulstone]

Re: Duplicate Buildings and Contents Insurance

Thanks guys. I'll get the letter sent ASAP and see how they respond.