Unfair Rejection of Vehicle Maintenance Insurance Claim and Unauthorised Deductions

My mother holds an active vehicle maintenance insurance policy with Innovation Insurance, in terms of which a monthly premium of R189.11 is debited from her bank account on the 20th of each month. These deductions have continued without interruption throughout, to date. However, when a claim was recently submitted following service at a dealership, the claim was rejected on the basis that the policy had allegedly been cancelled in 2024. This explanation is both contradictory and concerning for the following reasons:1

1. No Notification of Cancellation My mother was never informed of any purported cancellation. She received no emails, SMS messages, or telephonic communication advising her that the policy had been terminated. The first indication of any issue was the rejection of her claim. 2. Continued Monthly Deductions Despite the alleged cancellation in 2024, monthly premiums of R189.11 have continued to be deducted from her account throughout 2025 to date. If the policy was indeed cancelled, the basis for these ongoing deductions is unclear and unexplained. 3. Unexplained Outstanding Balance It has been suggested that a payment of approximately R5,000 was made from a pool of R9,000 in December 2024, and that my mother now owes an amount of approximately R4,000, which is allegedly being recovered through current monthly deductions. This explanation has not been substantiated with any documentary evidence or clarity. 4. Failure to Honour Contractual Obligations The primary purpose of the policy is to ensure that legitimate claims are paid timeously to service providers. The rejection of this claim, without proper justification, constitutes a failure to honour the insurer's commitment under the terms of the agreement.

In view of the above, I kindly request that Innovation Insurance provide the following: • A full written explanation, with supporting evidence, regarding the alleged cancellation of the policy in 2024. • A detailed breakdown of all premiums deducted from 2024 to date, including the purpose of the R4,000 being deducted. • Confirmation as to why the claim was rejected and why payment was not made to the servicing dealer. • A refund of all premiums deducted during 2025, as the policy was allegedly inactive during this period. Should the above not be addressed satisfactorily, I will have no alternative but to escalate this matter to the Ombudsman and consider further legal advice.