General Cancellations

There are four types of cancellations:

Cancelling upon a client’s request:

When a client calls in to cancel a policy, it is your responsibility ascertain as to why the client is looking to cancel the policy and once the reason is established, you then need to attempt to save the policy and persuade the client to not cancel.

Should you not be able to save the policy, you would then need to establish the date in which the client is looking to cancel from.  Cancellations are effective immediately and are not time specific so if the client is looking to cancel as of a future date, the policy will be cancelled as of midnight the day before going into the date that you have selected e.g., if the client is looking to cancel the policy as of the 05/09/2023, the cover will cease as of midnight on the 04/09/2023.

If the client requests to cancel a policy as of a future date, it is important to inform them that once the policy is cancelled, we will not be able to undo the cancellation.

Cancelling in line with the cancellation notice sent:

Once a cancellation notice has been sent, the system would automatically generate a SK diary to follow up on the cancellation.

These are generally picked up by the robot and a ticket is then created on the 8th day on Zendesk for the Robot to process.

These will go into the Insurer/Broker Awaiting Approval pot to be checked. The agent will need to manually check if the RTA has been resolved.

If it has then the agent needs to remove all the active SK diary and close off the ticket with an internal note. If the RTA has not been resolved or cannot be saved, then all the tag needs to be changed to canxbot so that this will move the task into the Insurer/Broker awaiting robot pot and out of the awaiting approval pot.

The robot will then be run and any process any cancellations in this pot, if there are any policies that the robot is not able to cancel, it will then be moved into the manual cancellation pot which the agent will need to manually process these through the cancellation calculator.

In some instances, the robot would have processed the cancellation and the agent would then need to check that the letter was sent as well as that the ledger balances and that the loan is cancelled if it is an instalment policy.

Aside from the normal cancellation notice RTA.doc, the DD1.doc is also a form of a cancellation notice and is sent by the system once we have received the CPF direct debit default report where they are reapplying for the funds on a future date. The letter states that should the direct debit not be collected upon the representation date then the policy will be cancelled as of the date that we re-applied for the funds.

An ADDACS.DOC is sent when we receive communication from CPF that the client has cancelled the mandate for the direct debit. The letter to the client states that the policy will be cancelled within 72 hours should the matter not be resolved however, we allow 7 days for this to be resolved before proceeding with the cancellation.

It is very important that if an extension has been authorised by a manager and a new RTA.doc is or has been sent that all previous active SK diaries are removed and that Zendesk is checked for any open tickets that may need to be closed off. Failure to remove these diaries or close the Zendesk ticket may result in the policy being cancelled off and may not be able to be reinstated.

Once we have sent a cancellation notice, the client gets notified by e-mail as well as via text message and push notifications that their insurance is due to cancel. We also send them daily reminders as to when the policy is due to be cancelled.

Reinstatements should never be offered to the client and if the client asks if the policy can be reinstated, we should never set any expectation with the client and rather advised them that it can be referred provided there is a legitimate reason as to why they never contacted us within the time frame.

If a policy has been cancelled, we would only be able to reinstate it if it was done on the same day. If a policy has been cancelled on a previous date and this was our error or the client has a sufficient reason for not getting in contact with us within the seven days from issuing out the cancellation notice, we can then refer this to the insurer and see if they would be willing to reinstate cover.

If the insurer is happy full cover to be reinstated, we would require them to send us an email confirming that they are happy for us to reinstate cover. You need to follow the below steps:

Cancelling a policy due to the policy being rebroked:

If a policy is rebroked to another reference, the existing policy would need to be cancelled as of the date the rebroke has been taken up.

Rebrokes occur when the risk becomes unacceptable to the current insurer or if we can get more competitive price for the client with a different insurer.

Cancelling a policy due to voidance:

The insurer can void a policy at any time if they find any misrepresentation or data manipulation. They may also choose to void a policy if they have suspicions of fraudulent activity.

If an insurer has chosen to void a policy, we must obtain written confirmation of this. Most of the insurers will void a policy from the date of inception which will mean that the cover never existed.

This will make it hard for the client to obtain new cover as they would need to disclose that they have had a previous policy cancelled, void or refused and not many insurers will accept the risk as well as their premiums would increase.