Insurance Company Cancel Dying Woman’s Policy before Going on Dream Holiday
Elisa Ager booked her dream holiday to Disney World in Florida when she was told that she had just months to live after battling breast cancer for four years.
41 year old Elisa searched the internet for an insurer to cover her trip. She decided to choose the specialist insurer AllClear who quoted £642 for the fortnight trip.
The primary school teacher called the company to check that the quote was still ok they confirmed the price and she accepted the premium and paid. Once the she then received the documents her 42 year old husband Neil double checked them.
Mrs Ager booked the £10000 booking for herself parents brother two children and best friend to swim with dolphins in Disney World.
Three weeks later AllClear said there was an error in their calculations and the policy had been cancelled due to a mistake.
Now no one will cover Elisa Ager and now she will be unable to travel.
Richard Coulthard in our Insurance Litigation department thinks that this behaviour is to be expected from insurers.
“This is yet another example of insurers attempting to tighten the purse strings. Ultimately insurers are all about making money and increasing dividends for shareholders. Insurers are by nature loath to taking risks and make money by insuring individuals who are unlikely to claim.”
He does not stand by the insurance company’s decision.
“I am mystified on what grounds AllClear believed that they could cancel the policy when terms had been offered and payment had been tendered. A valid contract had been entered into and I believe Mrs Eger would have had a good case for breach of contract which seems to have been acknowledged by AllClear given the steps they have since taken to compensate Mrs Eger.”
In this instance it’s a case of too little too late.
“Unfortunately the damage has already been done and Mrs Eger has lost the opportunity to travel on her dream holiday. I offer my condolences to Mrs Eger for the ordeal she has been put through.”
Richard believes the true numbers of how many people this affects may be larger than has been published.
“Insurers are quite happy to accept payments of their premiums but the Association of British Insurers estimate that 10-20% of claims on insurance policies are rejected by insurers on receipt of a claim. Some insurers refuse to release the statistics of the claims they reject so it is possible that the actual figures may be higher.”
Richard wants people to know that there are steps people can take to rectify these situations.
“At Michael Lewin Solicitors we are experts in handling claims for breach of insurance contracts and fight to recover the damages that individuals are due under the terms of their insurance policies.”