Penalty for exceeding estimated mileage?

[cyborg]

So my insurance was just up for renewal before the new years, and my current insurance company (greenlight) where once again cheaper than everyone else. I have never requested to change my estimated mileage with them since I took out the policy, so it was only 5k. I done 7.5k in the last year. When I phoned for renewal they asked for the cars current mileage, and I was informed I would have to pay a £65 penalty for exceeding the estimate.

Now, my question is, why is there a penalty if its supposed to be an 'estimate'. I know its quite a bit over the estimate I had given, but why call it an estimate at all? Why not call it a limit?

 

[[TW]Fox]

Surely this will be written in your policy documentation?

 

[cyborg]

It is indeed, of course I didn't read it previously, so yes its my own fault. I've paid a little bit more for unlimted miles this year. Still, the name is a bit deceiving. Is it common for insurance companys to issue penaltys for this?

 

[[TW]Fox]

No, its not common.

 

[numnutz]

Adrian Flux are known to do this as well on mileage limited policies.

 

[therealnerd2]

wow - never had that happen to me. Seems very strange you could be penalised for an "estimate".

Adrian Flux are known to do this as well on mileage limited policies.

Indeed, that would make sense

 

[cyborg]

Well at least its worded better at Adrian Flux.

 

[Dr Who]

It is uncommon unless you have a limited mileage policy. The good thing about limited mileage policies is you can include things like business use, and they don't assume you are going to be doing 50k miles per year, and as a result, the cover can be very cheap... As long as you don't exceed that mileage.

 

[cyborg]

I think thats why I had entered 5k for the 'estimated' mileage, 3 years ago it brought the policy down £200. Learnt my lesson now though.

 

[ci_newman]

Can you just tell a white lie and explain that it was either a) Driven by a 3rd party on their own insurance or b) driven on a track? £65 seems a bit of a pee-take to be honest..

 

[Janesy B]

Can you just tell a white lie and explain that it was either a) Driven by a 3rd party on their own insurance or b) driven on a track? £65 seems a bit of a pee-take to be honest..

Exactly, how can they prove all those miles were done by the policy holder?

Seems like BS to me.

 

[cyborg]

I probably could have told a white lie yes, but its too late now I just said my current mileage without thinking, but then I didn't think I was in for a penalty.

 

[wassap]

Just get another speedo

 

[Rich_L]

I think thats why I had entered 5k for the 'estimated' mileage, 3 years ago it brought the policy down £200. Learnt my lesson now though.

Look at it this way, you're still £135 up

 

[Felix Da Housecat]

In future don't tell them them the mileage, if they don't know what the start figure was how can they charge for excess miles....Muhahahaha

 

[mjt]

why not just tell them it's 2k below what it is?
it's not like they're going to come round to your house and check it.

if they do, claim you drove to the south of france and back since you last spoke to them

 

[Sukh]

Can you just tell a white lie and explain that it was either a) Driven by a 3rd party on their own insurance or b) driven on a track? £65 seems a bit of a pee-take to be honest..

A) would have been the correct response, how would they have known that you drove them all on this policy unless they followed you around!

 

[ajgoodfellow]

This seems rather odd - when I was getting quotes the insurance companies stated that it was just an estimate - they never even asked me for my current mileage!

If I were you I'd go elsewhere unless they're still a lot cheaper than other companies

 

[cyclops12]

Adrian Flux are known to do this as well on mileage limited policies.

Never have with me in the last 4 years

 

[Fr0dders]

he's yanking your chain, or is exercising some bizare smallprint in the policy because he doesnt like you.

If its the latter im not sure what you can do however