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[Del Boy]

A friend of my one of my boys had car insurnace in his mums name, although the car was registered to him. Basically insurnace co have found out and said your policy will be cancelled if you don't send in your documents. He recently changed his car, and they asked for the documents for the car he'd just got rid of. He never sent any documents off, then they sent him the cancellation letter due to fraudulent activity on the account and said we can't continue your policy regardless. He's paid £1600 up front, and had 4 months insurnace, there's got to he some recourse surely, to get a partial refund? Anyone got any ideas because I feel for the lad?

[ozzycat]

theres nothing wrong with having his mum isure his car as long as both are named on the policy dosent mater who owns the car he should get a letter from dvla to say that he is nolonger the owner of the car but it will prove he was the last owner allso he could have a word with the insurance ombudsman theres nothing wrong with what hes done del

all insurance co have access to dvla they should  know who owns the car

[Sir Tigger KC]

When they did the proposal form, were they honest about who owned the car? 

ie, if they claimed that the car was owned by the Mother and the lad was a named driver, then that's not true and the insurance company are correct in saying that their actions were fraudulant. 

If that's the case I'm not sure where they'd stand regarding a refund as technically they've broken the law and the consequences could be far worse than losing the premium.... 

[ozzycat]

i was assuming that he had told them that he owned the car tigger

[Del Boy]

He did say he was the owner I believe, however I don't agree with the fact they've took £1600 off him, fair enough cancel the policy, but I wouldn't have that.

[Big_Al]

sorry to sound negative on this Del  but . .  . IMO . . there must be some information which was incorrectly stated. If the lad was the registered keeper of the car & his mum has insured it in her name with him as a named driver  . . .no problem provided she put that she was not the registered keeper.
A problem arises if she said she was the registered keeper.

The insurance company will think the mum & son are trying to pull a fast one to get the premium down  . Doubt they would even have  quoted if all the questions were answered correctly .  As in   . . son owns the car  . .but  .  .mum is insuring it with son as named driver 

If mum said it was not her car then there is a good case to re coup some of the premium I would say .
In experience though  . . the insurance companies are not very often wrong & they have it all sewn up in the dreaded "small print"

[D]

It is called fronting and classified as fraud. Taking insurance out in parents name whilst the main driver/registered keeper of the car is the young person. Unfortunately there is no recourse as it is deemed to be lying to the insurance company.

http://www.premiumchoice.co.uk/fronting

He would have to try very hard to prove that he was not the main driver, but rather his mum was(especially if the car was in his name). And of course if it gets taken to court and he is found to be  wrong, then could face further charges.

Sometimes the insurance co may consider refunding some of the premium back, but I dont think they are legally obliged to.