Insurer blunders but I pay the bill

HORROR stories about car insurance appear to be a growing problem if my inbox is anything to go by.

Last August Ronald Stewart received an email from his provider, Swift Cover, asking him to contact them in relation to “the accident he was involved in”.

Ronald was completely baffled by this as he hadn’t been in any accident so, naturally, he got in touch with Swift straight away.

They provided the date and details of the alleged accident.

It seems it happened 150 miles from his home when he was on holiday in Spain.

Ronald explained all of this and therefore that he could not have been involved in the accident.

Shocked

He didn’t hear anything further from Swift and presumed that was the end of the matter.

However, at the beginning of April it was time for his insurance renewal.

To his horror, when he received the quote there was a large increase due to an “open or unresolved claim”.

Ronald contacted Swift, who explained they had paid out to the other party in relation to his accident. Yes, the one he didn’t actually have.

Ronald was rightly shocked by this because he had not been consulted after the initial call he had with Swift and had not been asked for any evidence to substantiate his position.

He then sent Swift a copy of his travel documents to prove he was out of the country on the day of the accident. All then went silent. However, his increased premium remained in place.

In my view, it cannot be right that Ronald is prejudiced in this way in relation to an accident he did not have.

My advice is that he should put Swift on notice that a) they have been negligent in failing to dispute what was clearly a fraudulent claim, and b) unless they restore his no-claim history he will report it to the Financial Ombudsman Services and, if necessary, take legal proceedings.