Private motorcycle or car insurace voided because of part time club racing activities

[RF_Racer]

A friend of mine had his bike stolen, but the insurance company have now turned around to him and said your insurance is void becuase you are a part time race driver.

Now this is crazy, because people play football, do mini marathons, boxing all sorts of sport activities as an amateur..

Has anyone heard to such thing or if anyone is from Insurance what is your standing on this??

[MGDavid]

Originally Posted by RF_Racer

A friend of mine had his bike stolen, but the insurance company have now turned around to him and said your insurance is void becuase you are a part time race driver.

Now this is crazy, because people play football, do mini marathons, boxing all sorts of sport activities as an amateur..

Has anyone heard to such thing or if anyone is from Insurance what is your standing on this??

what (exactly) does the Policy document say?

[RF_Racer]

Originally Posted by MGDavid

what (exactly) does the Policy document say?

Would a policy document potentially ban sporting activities, hobbies or request disclosure?? Will have to ask him to take a look.

[m1fcf]

Originally Posted by RF_Racer

Would a policy document potentially ban sporting activities, hobbies or request disclosure?? Will have to ask him to take a look.

It possibly would if the vehicle he is claiming for has been used for rallying or Racing. I know my vehicle policy specifically excludes coverage if the vehicle is used in that way.

If the vehicle is not used for racing, then maybe there are some crossed-wires in the communications here.

[RF_Racer]

Well I dont see the link personally, because his bike is a normal road bike, and he races saloon cars.. I fail to see why they would void his policy.

[JimW]

Don't forget that insurance area of law has requirements which may now look bizarre. It is the customer's responsibility to tell the company everything which the company may find relevant whether or not the proposal form has asked anything about that or not!

insurers can refuse to pay out if a policyholder failed to disclose any relevant information, even if the consumer answered all questions that were asked honestly and reasonably.

See http://www.lawcom.gov.uk/docs/lc319_press.pdf.

Regards

Jim

[RF_Racer]

If thats the case that would apply to us all, we would have to tell them we race cars at club level. How many here have disclosed that to their insurers?

[Moosehead]

Originally Posted by JimW

Don't forget that insurance area of law has requirements which may now look bizarre. It is the customer's responsibility to tell the company everything which the company may find relevant whether or not the proposal form has asked anything about that or not!

See http://www.lawcom.gov.uk/docs/lc319_press.pdf.

Regards

Jim

Surely the important word there is 'relevant'.

If my road car was stolen from Tesco's car park then I see no relevance with the fact that I am an amateur race driver with a different car.

[GORDON STREETER]

Looks to me as its some cheap jack insurance company trying to wheedle their way out of not paying. I think that there is more to this than meets the eye.
I know they do like to "string it out" as the money is in their bank rather than yours.
A mate of mine who's car was written off in a cut and dry case (witnessed by police) still hasn't been paid out after 9 months !!!!

[m1fcf]

Originally Posted by RF_Racer

Well I dont see the link personally, because his bike is a normal road bike, and he races saloon cars.. I fail to see why they would void his policy.

Ah, I see. That info was not clear from the OP. I read it as bike stolen from a bike racer.

I suspect that others after me have hit the nail on the head with regards to reluctance to pay out.

[ensign14]

If he went through a broker, he should go for them, they should have warned him. There's an insurance ombudsman for cheap retribution as well.

[MGDavid]

it is the case that some insurance companies go to extreme lengths to wriggle out of paying claims, and it's recognised at a national level. Just seen this today on Martin Lewis' Moneysaving expert site:
http://www.moneysavingexpert.com/new...losure-reform-

** mods - hope this type of link is OK **

[RF_Racer]

Im just thinking was it worth me getting storage and transport insurace for my single seater.. knowing the insurance companies and how they can be, they would find any silly thing to stop paying out!

[JimW]

Originally Posted by JimW
Don't forget that insurance area of law has requirements which may now look bizarre. It is the customer's responsibility to tell the company everything which the company may find relevant whether or not the proposal form has asked anything about that or not!

See http://www.lawcom.gov.uk/docs/lc319_press.pdf.

Originally Posted by Moosehead

Surely the important word there is 'relevant'.

If my road car was stolen from Tesco's car park then I see no relevance with the fact that I am an amateur race driver with a different car.

No, the important words are "everything which the company may find relevant". That is why the law is regarded as out of step with current ideas. But it is still the law.

Regards

Jim

[GORDON STREETER]

The big problem with Insurance companies (for us) is that they have a section that is dedicated to "eeking" out any "grey areas" that can work in their favour.
I would assume that the companies that undercut others would be worse !
I don't seem to have as much trouble with the claims on the major companies on repair work .

[JamesH]

I recently change my insurance policy because they wanted to charge extra because (wait for it)....my partner, who is a named driver, was in a no fault accident in HER car, that was paid for entirely by the other party's insurance. So, she was rear ended (oooeer) at a roundabout, and that put MY policy renewal up because she was a risk factor - even though the accident was entirely the other persons fault, and provably so.

I told them (Elephant) to sod off, and would recommend that people avoid them.

[mini1400]

Originally Posted by JamesH

I told them (Elephant) to sod off, and would recommend that people avoid them.

Used to be with Elephant, told them to sod off when they posted my insurance certificate to someone in devon, and then said it wasn't a security problem as it had no personal information on it....

[JamesH]

Originally Posted by MGDavid

it is the case that some insurance companies go to extreme lengths to wriggle out of paying claims, and it's recognised at a national level. Just seen this today on Martin Lewis' Moneysaving expert site:
http://www.moneysavingexpert.com/new...losure-reform-

** mods - hope this type of link is OK **

Having read that it's surprising that insurers EVER pay out - they could always state that there was some piece of entirely unrelated information that means they don't have too. Unless the insurer provides details of all things that may affect a claim, the person buying the insurance has no idea what is relevant or not. Sounds like the law is in definite need of changing.

[JamesH]

"but all insurers in the UK are regulated by the FSA and the rules state that it is unreasonable for an insurer to reject a consumers (not a business) claim on the basis of:

• non disclosure where the policyholder could not be reasonably expected to have disclosed the material fact
• non negligent misrepresentation of a material fact
• breach of warranty or condition where circumstances of claim are not connected with the breach

"

Sounds like the friend of the OP should be able to make some headway based on the first item at least.

[JohnD]

"Part-time race driver".
Does that mean amateur clubbie, or does he get paid (we all wish!).
In the latter case, it would have been part of his 'trade, profession or occupation', and all insurers put a lot of weight on that to set risk and premiums. Actors score high, librarians low.
If he does get paid and didn't declare it.....................
JOhn

[RF_Racer]

Originally Posted by JohnD

"Part-time race driver".
Does that mean amateur clubbie, or does he get paid (we all wish!).
In the latter case, it would have been part of his 'trade, profession or occupation', and all insurers put a lot of weight on that to set risk and premiums. Actors score high, librarians low.
If he does get paid and didn't declare it.....................
JOhn

How many club racers do you know that get paid?? Infact, a very small minority of drivers actually earn a living from racing, most work and either do race coaching or work as ARDS instructors. I think you will find he pays to race and its club level like the rest of us.

[GORDON STREETER]

I know that insurance companies "frown" on people that do trackdays in a road legal car.
Also it's human nature to "shop around" for a cheaper quote, that's OK as far as being road legal is concerned but it's not always the cheapest in the end.

[JohnD]

Originally Posted by RF_Racer

How many club racers do you know that get paid?? Infact, a very small minority of drivers actually earn a living from racing, most work and either do race coaching or work as ARDS instructors. I think you will find he pays to race and its club level like the rest of us.

Rf,
Did you read my post?
How about an answer?
It's your friend who, as a "part-time race driver", is being stitched-up by the insurers. Is he/she a paid driver or not?
"I think you will find ..........."? No, s/he's your friend, you go and find.

I think YOU will find that race instructors are in a similar category as actors in the eyes of insurers. If your friend works in that field and hasn't told them, then they are at fault. Does seem petty to penalise for something that should be covered under your household contents insurance though.

John

[RF_Racer]

He is not a race instructor either, if he was thats understandable. I know actors and sports stars are high risk.

[Erictharg]

*******s. All of them. I hate insurance. Preys on people's fears. Needed very occasionally. Usually forced on people by clever insurance company marketing. Erodes the need for people to think about what they do and the consequences ("it's OK, the insurance will cover it"). Can we have a new thread for people who think likewise? Or is it just me? My father in law was in insurance.. Ahem.