Insurance (not just property) - why it pays to ask questions

A recent 'story' in our household......

The other half was involved in a very minor car accident late last year - nobody even remotely injured, no damage done to his car, and a scrape up the side of the other vehicle. We knew hubby was at fault, and we were happy to wear the cost (we figured it would be minor, due to the minor amount of surface damage done - likely to just be a buff-and-polish job).

Not long after, we got a phone call from the other driver's insurance agency - basically "you've been in an accident, and you'll have to pay". We asked for the information submitted to the insurer (to ensure the claim was consistent with the damage that hubby actually did), and for the $ amount to be paid - we told them that without details on either of those things, we wouldn't pay (er, der - we needed to know how much to pay, for a start). We heard nothing.

Fast forward 5 months - a letter from a debt recovery agency arrives, threatening legal action. Again, no details provided about the actual damage being claimed, or the value of the $ owing. I called them and asked for the details - again, indicating that without knowing what damage they were claiming for, and how much $ we were being charged, we weren't willing, or able, to progress with the settlement. Still, nothing was forthcoming.

A few more threatening letters and emails from the debt recovery agency, and non-compliance from us, and they finally sent through the quote from the repairer. Well, let's just say that the damage being claimed for was not even close to what was caused in the accident (even the wrong part of the car). Hubby called the body repair shop to find out what was going on - turns out that the damage that was caused by his accident was paid for by the client ages ago (it was less than the premium on the insurance), but this new lot of repairs was for an entirely different incident!

We contacted the debt collection agency, the insurer, and the ombudsman - next day, we get an email from the insurer - case dropped! Just goes to show - if in doubt, don't just take their word for it - keep asking questions until the situation makes sense (it could have you a lot of money).

 

I'll bet the insurer has also dropped him as a client as it sounds like he lied to the insurer... a big no no!

 

People tend to pay up when they get a letter from a lawyer or a call from a debt collection agency.

 

If you don't ask, the answer will always be no.

I have twice called up and questioned my mobile phone service provider for the extra charges they were claiming. They both dropped the charges on the first call. Just be nice and talk to them politely.