Can the insurance company file a case against its own client

[slots]

Can the insurance company file a case against its own client for negligence?

In the case of an insurance company force to pay out for a 3 rd party claim on behalf of its own client, by law (this applies in UK). Can the insurance company file for negligence against its own client if insurance company can not find the driver of the vehicle?

[Jayne]

Hi Slots,

Welcome to the forum :D

I'm not sure if they can do that, but I suspect you will loose your no claims bonus.

Jayne

[Jayne]

I got both your emails, you can ask your questions on here then the others can help.

I'm not a solicitor, I don't know much about law, i'm an artist and advertiser, so not much use to you i'm afraid. I was just saying hello!

Good luck getting some advice, i'm sure someone will know on here.

Jayne :D

[creospace]

I worked in insurance as a broker and loss adjuster for many years, if you give me some more details I might be able to offer some advice and althoguh I studied insurance related law I think it's more in the field of a solicitor.

[creospace]

My reply:-

You are correct in thinking that if you're are insured and a cover note of insurance is in force stating this then the insurers are obliged to pay the third parties damages. However should the insurer later discover that the insured (your friend) had not disclosed something that if at the time of issuing insurance he had disclosed would of affected the risk in a way that the insurer would not of issued insurance then they are entitled to revoke the 3rd party cover and seek reimbursement for their outlay from the insured.

What are instances of non disclosure? Well with the case in hand maybe your friend didn't disclose something about you. Do you hold a full uk licence, have you been living abroad, have you had any accidents or motoring convictions that were not disclosed, any medical conditions that are notifiable to the DVLA?

Insurance runs of this firm holding that is 'Utmost good faith' this is a 2 way contract between the insurer and the insured, basically if the insured tells the truth then the insurance company will pay up. If this is not the case then there is either something wrong as stated above that I am not aware of, or the insurance company is not being fair.

In all my time working in insurance I have not heard of such a case without due justification by the insurer. Perhaps then I am not aware of all the facts.

If you have any more information that would shed light then feel free to drop me a line and I can advise you or your friend how to proceed, namely making a complaint to the insurance ombudsmen who will make there own decision.

Gary