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Policy Documentation from Sky Insurance - FSA Compliant?


Sheefa

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Right guys,

 

I work at Zurich so I know how the policy wordings etc work. Normally you agree to pay the premium, you pay first installment or a deposit and they stick all your policy docs in the post.

 

Then there's the FSA (Financial Services Authority) making sure everything is hunky-dory and that the customers are treated fairly etc. Loads of rules and ICOBs so i'm not going to go in too much depth.

 

Anyway, Sky Insurance said that I pay my £1,000 premium over 4 installments in the first 4 months and only then do I receive my policy documentation. Has anyone else experienced the same? :confused:

 

My dads a broker and has been for over 40 years, and been a Director before at RSA and he's never heard anything like this.:shock:

 

No documentation until they've taken AL your money!! I think I'm actually going to report them to the FSA for failing to comply.:complain:

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Exactly Lubas. You should ALL receive your policy documents as soon as you have paid your first insallment. I'm going to raise this tomorrow with them and report them if they can't explain their methods. It's just blatently wrong and could bring any claims we have into disrepute.

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It took 3 months to get my documents too (paying by instalments). However they took all the instalments within the first 3 months, not every 3 months as we had agreed.

 

Didn't bother complaining at the time; however I have reported this thread to the mod team.

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Right guys,

 

I work at Zurich so I know how the policy wordings etc work. Normally you agree to pay the premium, you pay first installment or a deposit and they stick all your policy docs in the post.

 

Then there's the FSA (Financial Services Authority) making sure everything is hunky-dory and that the customers are treated fairly etc. Loads of rules and ICOBs so i'm not going to go in too much depth.

 

Anyway, Sky Insurance said that I pay my £1,000 premium over 4 installments in the first 4 months and only then do I receive my policy documentation. Has anyone else experienced the same? :confused:

 

My dads a broker and has been for over 40 years, and been a Director before at RSA and he's never heard anything like this.:shock:

 

No documentation until they've taken AL your money!! I think I'm actually going to report them to the FSA for failing to comply.:complain:

 

Hi Sheefa,

 

With every new insurance policy taken out with us, a full policy summary for the insurer (with the full poilcy being available upon request), our terms of business, and a breakdown of the cover requested and supplied is sent to each customer along with the initial cover note.

 

If somebody has chosen to pay by our own instalment plan, the annual certificate will be processed and sent once the final instalment has been paid, but a cover note (which is after all a temporary certificate) is sent to our customers each month as evidence of cover. As required, we state this in our instalment agreement form. Hopefully the reasoning behind this is self evident.

 

If anybody has any questions, please feel free to PM me or alternatively call on 0208 364 5500

 

Cheers,

 

Scott @ Sky Insurance.

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No, this is wrong if you take out insurance with us we send you your cert immediately - even if your initial deposit payment fails (you'll get a 10 day notice of cancellation soon after though!).

 

How are you supposed to get your road tax? with a cover note?

 

So you'd only have your docs for three months of the life of the policy?? that's like buying a fridge from Curry's and not getting it until it's paid for?!

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Same with me! i pay monthly and i kept getting cover notes. I have to double check but i think ive finally recieved my certificate. I sent back the agreed value forms and pics but have heard nothing. Im worried that if I do make a claim (Hopefully i dont) it goes smoothly because im worried about their processes.

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No, this is wrong if you take out insurance with us we send you your cert immediately - even if your initial deposit payment fails (you'll get a 10 day notice of cancellation soon after though!).

 

How are you supposed to get your road tax? with a cover note?

 

So you'd only have your docs for three months of the life of the policy?? that's like buying a fridge from Curry's and not getting it until it's paid for?!

 

I sure you can get Tax with a cover note - i have...

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Same with me! i pay monthly and i kept getting cover notes. I have to double check but i think ive finally recieved my certificate. I sent back the agreed value forms and pics but have heard nothing. Im worried that if I do make a claim (Hopefully i dont) it goes smoothly because im worried about their processes.

 

I takes a little while to come though. Renewed mine in June and finally got the agreed value agreement and policy though a couple of weeks ago.

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No, this is wrong if you take out insurance with us we send you your cert immediately - even if your initial deposit payment fails (you'll get a 10 day notice of cancellation soon after though!).

 

How are you supposed to get your road tax? with a cover note?

 

So you'd only have your docs for three months of the life of the policy?? that's like buying a fridge from Curry's and not getting it until it's paid for?!

 

Tax with a cover note - YES! Providing the cover note is valid and in date, it is perfectly normal to obtain tax with a cover note, and I believe it even says on your Road Fund Licence notification form that either a valid certificate or cover note is required.

 

If you were to pay your insurance over 11 months via direct debit, then you would of course receive your certificate as soon as confirmation from the finance provider has been received saying that all is OK. Not getting your policy until the last payment has been paid on direct debit would just be daft!! Don't forget that insurance is one of those 'behind the scenes' industries, meaning that as long as you've paid, or are paying your insurance, and have supplied all required documentation etc, then you are insured. An insurance certificate or cover note is just evidence that cover is in force.

 

Again, please feel free to PM or speak to me if you have any queries.

 

Scott @ Sky Insurance

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Isn't SKY a broker, not an insurer?

 

The FSA regulates INSURERS. Your course of redress where a broker is concerned (I believe) is the BIBA.

 

A broker works as an agent of the insured. Once the insurer sends out the policy documents (albeit to the broker) then in law it is deemed that the documents have been delivered to the insured. There is no complaint that can be made here against the insurer.

 

I think if it were me I'd like to at least see a copy of the policy documentation as soon as possible to ensure that the insurers side of the proposal was as I expected it to be and to see that they haven't made any mistakes in rating me as a risk. (e.g. forgot to apply my NCD or got my age wrong) Other than that, I would say that providing I'm covered regarding the Road Traffic Act in having a cover note in my possession as well as a list of the things I'm covered for and any exclusions, I don't think I'd have too many problems with this. (This would however almost constitute a copy of the policy documentation)

 

Not ideal, but not something I'd get too upset about either.

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  • 1 month later...

Soop - Brokers and Intermediaries are also regulated by the FSA now. They in many respects have to follow compliance procedures more stringently as they often have a direct dealing with the customer whereas Insurers often play a back seat role with just provision of cover. ;)

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All,

 

Just to advise that Jae phoned me and explained the situation very clearly. My documentation, policy docs, certificate of insurance and agreed value form was sent out on the 1st September so no doubt it's another Royal Mail C**k up. Apologies to all those from Royal Mail on here nonetheless for this slander!

 

Jae was apologetic and understood the temporary problem was at their end.

 

Strongly advise that if you have any issues you contact Jae or Scott.

 

Thanks again Jae and I hope to receive the duplicates this week. ;)

 

Cheers,

 

Greg :)

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