Has any one else had a shock when they disclose incidents which werent their fault to insrunace companys to cover themselves and then find the insurance companies record disclosures as claims? Even though no action was requested of the insurer?
Basically Sheilas wheels are miffed I didnt renew with them when they sent a renewal notice at £411sh (when they recorded a disclosure as a claim). I looked around and took a new quote with them which came out at £390sh (I didnt record the disclosure as a claim) they now want the difference back!.
Details of a letter I composed in preparation to insurance ombudsman - comments and advice appreciated.
"I would wish to complain about the service provided by Sheilas Wheels to my family, I have been a customer with Sheilas wheels from 2007-2008 and recently renewed in March 2008.
In the renewal documents, I noticed they had recorded a notification of damage as a claim and recorded they had recovered costs when I had not even recorded a claim! After looking around, the insurance with them lapsed and I contacted them again to provide me insurance cover as a new customer.
I received a letter requesting evidence of no claims bonus and my wife who is the policy holder contacted on them on 7/4/08 to ask them to check their own records as we were a customer with them. Their customer service advised us we would have to pay an additional £21.77 due to two claims recorded against us which were not disclosed.
I subsequently Spoke to XXXX, Duty Manager at Sheilas Wheels I requested clarification as to how these charges had occurred.
Mr X advised Sheilas wheels has a policy of charging customers for disclosed information on incidents which could result in a claim.
In our specific circumstance, he advised we had 2 x claims registered against us;
a) 2006 Coach reversed into our car- notification only by us to esure.com ; recorded as Accident claim
b) 2007- Car was scratched during an assault upon the driver notification only by us to Sheilas Wheels; recorded as Malicious damage claim.
I clarified, re the claims above;
To point a) the damage caused by the other party reversing onto us was negligible and we decided it would not be worth the effort or premium/claim no claim form was completed and agreement with esure.com not to proceed.
To point b) I was advised by Sheilas wheels rep X on the X X 2007, the assailant would need to be charged before any claim could be made, therefore we agreed to notify only and if there were no police charges against the attacker we would not go beyond notification.
I also explained, at no point were we made aware that notifying Sheilas Wheels of incidents (when the disclosure wouldnt affect the policy or insured vehicle.) would result in us being charged monies and claims being recorded against us.
Sheilas Wheels Policy
Mr X asked me to refer to Sheilas Wheels policy booklet, on General condition which apply to sections 1-7 page 24. I read and asked where it stated Sheilas Wheels would record notifications, evolve them into claims and subsequently charge customers for them. Mr Stuart could not evidence and explained it was Insurers policy which he could not put in writing or evidence in the policy booklet.
Mr X clarified verbally, Sheilas wheels keeps a record of notifications and would subsequently increase premiums after 2x notifications, even if no activity or claim is progressed. These notifications would then be officially recorded as claims.
Mr X could not respond to the renewal notice from Sheilas wheels to me which did not list claim (a) furthermore claim (b) was recorded as recovery made even though no action was ever requested or undertaken by Sheilas Wheels.
Mr X advised he could not make any changes for specific customers and this was Sheilas Wheels policy, he checked and clarified this with the head underwriter X X who supported his position. Mr X advised he could not provide me with any ombudsman details, and would ask for a complaint form to be sent to me which I should receive in 5 working days, I would be expected to put my complaint in writing and I could not escalate to any other parties until I followed Sheilas Wheels process.
I am disappointed and disgusted with this treatment by Sheilas Wheels (and Esure.com who are the same company), they apparently can choose to record any event which their customer discloses as a claim, even if they do not request a claim.
A charge will then be levied against the customer and customers insurance will be affected by these claims. This policy is not recorded in any booklet or disclosed to a customer. I would be grateful for an investigation into this fund generating exercise and the removal of the claims from our records.
Thank you for your assistance"