An administrative error made by the car insurance business of Kwik-Fit means that around 800 drivers will have their insurance policies terminated.
Kwik-Fit is contacting the affected customers and giving them 10 days’ notice that their insurance policies are about to come to an end, even though many of the policies still have months left to run.
According to a report on This is Money, the affected customers are those who searched online for the best quote by using a comparison engine. These online comparison tools assume that customers only have access to the car that is being insured. Kwik-Fit was required to ensure that this assumption was true, but in these 800 cases the insurer did not do this.
Insurance companies typically give higher quotes to customers who have access to more than one car in order to stop a practice in which parents insure a car for their children to drive, but name themselves as the main driver. This is much cheaper than naming themselves as the main driver.
The sudden end to their insurance policies means many drivers are now facing a sharp rise in their premiums as they are forced to find new deals that properly reflect their situations.