Lloyds underpaid for missed holiday
Our travel insurance is through our Gold Service account with Lloyds Bank. It ceases when the policyholder reaches the age of 80.
I became ill and was
£50 credit to your account and is sending a gift hamper. Amazon has apologised to you and has assured you that its senior leadership knows about this. unable to travel. The holiday for which we are claiming was booked nine months before my 80th birthday, at which time I was inside the age limit. We believe therefore I should be covered for the event, which happened after I became 80.
That, though, is not my main argument. Three families were going to rent
know what happened, my car just went. Contact my insurance company.” When I said she had wrecked my pride and joy, by which I meant my car, she said she had also had a bad morning.
About half an hour after the accident her mother and boyfriend arrived. The boyfriend told me that it was all my fault, though he had not been there at the time.
Neither Hastings Direct nor the other driver’s insurer has been at all helpful. KS, SOUTHERN ENGLAND
The culprit, you report, changed her story several times and also, I understand, failed to provide a diagram of the incident as requested.
Given the dispute over liability, your insurers, with your consent, began legal the apartment, which cost £3,987 and would have cost that whatever the number coming. The families divided up the payment. My wife, who is 72, was fully insured by the cover provided through the Gold account and she has made the claim for our onethird share of the property cost. The insurer has said it
proceedings. I waited for them to be resolved before publishing. This process seemed to me to have taken far too long.
Eventually, Covéa Insurance, which provided your cover via Hastings Direct, admitted that legal proceedings could have been instigated sooner. In acknowledgement of this, it refunded your excess before the case went to court. Hastings also recalculated your renewal premium on a “no fault” basis and refunded the £60 at issue.
Finally, 18 months after the accident, judgment was found in your favour. You told me that Hastings had significantly increased your renewal premium and so you were looking at other options for next time.
You had developed serious and alarming symptoms which turned out to be cancer, from which thankfully you are now recovering. However, this did stop your holiday plans in their tracks.
Originally the insurer had divided its payment by nine – that is, per person intending to use the accommodation. A ninth of the accommodation cost came to £443.
Further to my involvement, a Lloyds spokesman said: “While Mr N was 79 when the holiday was booked in February 2017, he was 80 at the time of the incident and at the start of the trip. This is outside the maximum age of the travel insurance policy under his Lloyds Gold current account, which is underwritten by Axa.”
It said a number of factors had caused the premium increase. It said a change in February 2017 to a rate of interest that allows courts to calculate future losses in injury and accident cases had caused all motor premiums to increase. It also said that last year the Insurance Premium Tax rate had risen from 10pc to 12pc.
I understand from Hastings that your claims history and age were also factors, although the fact that you had a protected noclaims discount has helped.
In fact you and your husband have never made any other claim, but Hastings countered that statistics had shown that someone who had been involved in an accident, whether they were to blame
The bank said it had sent you a letter three months before your cover was coming to an end to prompt you that alternative arrangements for insurance would need to be made if you planned to travel.
It added: “Mr N followed up the receipt of this letter with a phone call to Axa in August 2017 and was again advised of the actions he would need to take to ensure he was covered for his trip the following year.
“After investigating, we have agreed to pay £665 for Mrs N’s share of their claim. This allows for one third of the accommodation bill minus the half that was for Mr N. In addition we have offered Mr N £100 for any distress the matter has caused and we wish him a speedy recovery.”
You still feel the claim is your wife’s and her share of the accommodation would have been the same whether or not you were included as it was divided between the three families. You remain unsure about the 80-year cut-off point and whether a holiday booked, albeit not taken, before you were 80 should indeed be excluded. In fact it is when the holiday takes place that counts in such circumstances, not when it was booked.
or not, was more likely to be involved in another one.
Hastings added: “Covéa adjusted its pricing structure for its entire motor business in 2017. Although this made prices more competitive for some, it caused increases for others, including Mrs S.”
You say you are surprised about the lack of communication there has been from Hastings Direct. I feel that it is oblivious to how stressful this has been for you.