Car Write-off Vs Contract cancellation fee

Is there a very good reason why a client is required to pay a contract cancellation fee due to a car that is written off? You cannot tell me that as a company there's nothing you can do and that I should opt for a DeRe and move my unit to another car. What if I do not have another car? And worse, what if my other car already has a unit from you? This is very bad for your loyal client with more than 1 vehicle under your banner and I am not impressed with this.