Aviva mid-term cancellation charge

jacubo

I started work in August and company paid for health insurance with Aviva. Then switched job to another company in December. Today I got letter from Aviva saying I owe them about 150 euro which includes 25 euro of administration fee.

Is this legal? I understand they would like people to switch at end of insurance period but 150 euro sounds way too high. Also this means they penalize almost everyone who change jobs since it does not make sense to switch jobs exactly when policy ends.

chris85

http://www.hia.ie/consumer-information/cancelling/

With effect from the 1 August, Aviva Health will no longer allow mid-term cancellations for new and renewing customers. Where a policyholder cancels their policy prior to the end of the policy year, or does not pay their premium in accordance with the terms of the policy for the full duration of the policy year, Aviva Health will charge a mid-term cancellation fee. The mid-term cancellation charge will consist of the health insurance levy calculated on a pro-rata basis for each adult, student and child on the policy for the remainder of the policy term, together with an administration fee of €25 per policy.
If you have a policy with Aviva Health which renewed prior to the 1 August, you are still on the old contract terms and you may cancel mid-term as long as you’ve had no inpatient or day-patient claims and a proportion of the premium will be refunded to you.
If you have had inpatient or day-patient claims, you will be charged the full year’s premium.
If you have an outpatient claim, they will allow you to cancel, but they will pay the outpatient claim on a pro-rata basis.

Yes it legal. Its in the terms of the policy.