GAP INSURANCE garage not activated

[Tori]

Hey guys new to the site and looking for some advice please. I purchased a car from a dealer, initially declined GAP as I could source cheaper for the same cover. *After a conversation with the sales manager it was agreed they would price match the GAP and so they sent me a link to pay, which was time sensitive. There were a few issues with delivery and other aspects of the deal that weren’t complete so the payment wasn’t made for a few weeks but it was accepted and I got a receipt stating GAP was paid. My vehicle was written off 5 months later and when I came to claim I was told they can see I have paid for a policy but there isn’t one. I have had to pay a £2500 shortfall as they just said tough. The accident happened in September and they refunded my payment to my card 2 weeks ago. I had told them in writing that I didn’t want a refund. How likely am I to win a claim against them?*

[Amethyst]

Do you know whose fault it was that the policy wasn't 'activated' ? Did the garage take the money for it but not set it up ? Or was it the finance provider ? Or did it go through to the GAP provider and they didn't set it up ? Did they need ( and ask for ) anything from you before activating it ? Did you ever receive any policy documents for it ?

I think a SAR to each would be a good idea ( Garage/finance co/gap co) to find out what happened and why it wasn't set up. Then you can look at taking action against the party whose fault it was.

https://legalbeagles.info/library/gu...ccess-request/

I'll tag des8 too as he's best with insurance issues *

[des8]

My initial thoughts are that the organisation* which took the GAP insurance premium are responsible.
They were acting as an insurance intermediary and therefor as Tori's agent. (I doubt they are Insurance brokers so professional liability would not be a matter of concern here).
As agents the general law of agency applies so they needed to
-perform Tori's instructions personally and in a timely fashion;
-exercise reasonable skill and care in the performance of those instructions;
-act at all times in the best interests of Tori
-make full disclosure to Tori of their personal interest in any transaction;
-account to Tori for all monies they may have received from her*

Interesting to see what SARs produce.

[Tori]

Thank you. It was the garage that took the payment and never paid on to the insurer. They are denying any liability and have stated that as the insurance was initially declined I waived my rights. However a verbal agreement was then made and followed up on email. I received the key facts outlining the policy cover and an email that led me to believe they had requested this be actioned and that I was simply reimbursing them for the premium. I sent a notice of claim that they again refuted. I agree that they were the agents and have breached our contract *

[ertugrualbey]

Thank you. It was the garage that took the payment and never paid on to the insurer. They are denying any liability and have stated that as the insurance was initially declined I waived my rights. However a verbal agreement was then made and followed up on email. I received the key facts outlining the policy cover and an email that led me to believe they had requested this be actioned and that I was simply reimbursing them for the premium. I sent a notice of claim that they again refuted. I agree that they were the agents and have breached our contract *

Hope it got resolved now, I was in a similar type of situation and It's really hard to be in this type of situation after paying for insurance payment as well, those who are responsible should be accountable and should be responsible of claims they have made