I traded in my old car and replaced it with a new car at the end of August 2013. My insurance was through FNB underwritten by Santam and was R999.99 per month. I knew that my policy was coming up for renewal soon so I confirmed with the agent that the amount wouldn't change until October 2014.
On 6th September 2013 I received an email from FNB saying that Auto & General were taking over but the schedule had the old car and the premium was R1600 so I assumed that it was outdated because the vehicle details were outdated. On 1 October i.e just over a month after being quoted initially I got debited the R1600.
I have a few issues:
1. A 60% increase after just over a month from quoting is unacceptable
2. FAIS legislation dictates that 30 days written notice must be given. Assuming that the changes were valid I was only given 24 days notice and did not accept anything.
I have no issue with Auto & General except for their ridiculous premiums (which isn't illegal). This is completely 100% FNB Insurance Brokers fault and I will be taking it up with the short term insurance ombudsman. I hope Santam can place my policy elsewhere with the same cover and premium because they are excellent.
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