Puzzled over insurance issue

crackity_jones

Morning everyone,

Shortly before Xmas I was involved in a car crash. I came out the worst and incurred the higher repair costs. In fact, I have since scrapped the car as it was simply not worth repairing. I was advised to inform my insurance broker straight away that I was involved in a crash, which I did.

Over the Xmas holidays I considered my position in relation to making a claim as I felt that I was not at fault in the crash. I decided to make a claim and informed the other person in the crash that I was doing this. However, after looking at the crash a little closer I decided that it was not worth pursuing and left things as they were. My solicitor did not get involved, no letters were sent and I assumed that we would both sort out our own repairs as had been discussed on the day of the crash.

Shortly afterwards I received a call from the insurance company representing the other person asking me what I was going to do in relation to making a claim and I told me that I was not going to pursue it and he agreed that this was the best course of action and would communicate this to his client and the matter would be decided "50-50".

The reason I am puzzled is because I have since received a letter from my insurance broker telling me that there is a claim on my insurance, my no claims bonus has been taken away and my latest insurance quote has almost tripled.

What has happened here? I am not making a claim against the other person and I believed he was not making a claim either.

Like I said, I am very puzzled and not a little pissed off.

Ring them and see did they claim?

gerrycollins

dont know if its an urban legend or not but i was once told that if your insureance find out about an accicdent you were in weather or not you are at fault you can lose anything even thought this sounds a little more complicated call your broker and find out the details

stevenmu

Yeah, I've heard of Quinn direct doing this, if there's a potential claim outstanding when you go to renew, they won't honour you're no-claims. I think you get it back when they're satisfied the other person won't claim.

crackity_jones

Well like I said I am not making any claim and I believe that the other guy is not making one either.

In hindsight I shouldn't have mentioned this to my broker at all but I was strongly advised to do so.

I have spoken to my broker and they tell me that this claim is "pending" which is why the no-claims bonus has been withheld. Problem is my insurance is due for renewal in a few days and I'm looking at a very pricey bill.

Could it be that a '50-50' decision is itself a claim of sorts, even though neither the other guy nor myself are making a claim?

stevenmu

crackity_jones wrote:

Could it be that a '50-50' decision is itself a claim of sorts, even though neither the other guy nor myself are making a claim?

I think it's more a case of them thinking that there could still be a claim made, and if there is they don't want to wait untill next year to start getting the money back. People often decide they won't claim originally, but then change their minds for whatever reason. It might help if you got your company to ring him/her to confirm they won't make a claim, like their company rang you.

Fey!

AFAIK (but I'm open to correction), if the other party claims against your insurance, your insurance can pay out without informing you.

When you ring for a quotation, you get asked if you have had any accidents, claims or convictions, which then affect your premium.

However, if you haven't had a CLAIM, how can they take away your NO CLAIMS bonus?

Eoin

Fey! wrote:

AFAIK (but I'm open to correction), if the other party claims against your insurance, your insurance can pay out without informing you.

I think that's correct, they have all the say in these matters. A friend of mine was in the same situation, and they never told him that the claim was settled. I think he also maintained the accident wasn't his fault, but his insurance company decided it would be cheaper in the long run to just accept liability and pay out rather than go through the courts to decide who was at fault.

The chances are that the OP will get the extra premium and NCB back if no claim is actually made. I doubt any other insurance company will touch him/her until the whole thing is resolved either.

JohnCleary

You need to inform your broker/insurance that there no claim taking place. Basicly, your case is 'Still open', and it needs to be closed. A simple phone call should do the trick.