"Appropriated" R12,143 (22%) of the contract value due to forced early cancellation

VERY concerning approach to business. I purchase a 36-month 60,000 km Maintenance plan for R55,027 The policy became effective on 21 Sept 2021. On 2 Aug the vehicle was written off by the insurers following an accident. I advised Motorite and indicated that I would replace the vehicle with a newer and much lower mileage precisely the same car and model (which I have now done and is in the manufacturer's maintenance plan still) and that I would like to transfer the unused months to the replacement car - i.e. transfer 25 months remaining. They advised that this required the cancellation of the existing policy and that they would refund me R22,817 which they have at least done. But if I wanted to be covered that would require new policy (for 2 years) costing R34960.00. This is lower than the value of the remaining 25 months prorata (R38,194) probably mainly because it is a 2 years newer car and half the mileage. But R3000 "adjustment " to the prorata I could deal with.

But by requiring the cancellation and proposing of a new 2-year policy they have effectively "appropriated" R12,143 of value. And by the way, there is NOTHING in the policy quoting or documenting penalties relating to forced early settlement and the team leader has rep**** to me by email that a pro-rata refund would be made. Naturally I will not go with their proposed quote for a new 2 year plan unless this is addressed.