Guarantee not worth the paper?

My new SUV was first insured with Outsurance in August 2013, with a premium of R612.92. After four claim-free years this had increased by almost thirty per cent to R795.27 at 20 July 2017. In October 2017 I had a chipped windscreen and made a claim. I also queried why my premium was seemingly way higher than those I saw advertised for more expensive vehicles.

Of course it was me that had to ask, but I was then miraculously given a revised premium of R533.03, a reduction of 33 per cent. The contract document dated 6 November also said that this was “guaranteed for 12 months”. Clear and simple wording you’d think. But no. In March this year I had a minor accident. One that was IMO clearly the fault of the other party, in terms of simple road rules. As described in the police case and also in two calls from Outsurance legal persons.

I don’t know how Outsurance resolved this with the other party. But a new contract arrived (two copies, 25 and 27 July) with a new premium of R757.61, an increase of 42 per cent! Then followed literally weeks of telephone conservations and emails, with me trying to understand what part of “guaranteed for 12 months” was not understood by Outsurance. (The emails were at my insistence. Outsurance seems to prefer recorded telephone conversations, of which the client does not have a copy.)

At last I was given the supposed reason that I had been asking for, in an email this week from the “Facility Review Manager”. (I had to ask for that medium, after yet another telephone call from Outsurance.) The November 2017 contract says “This guarantee applies to all risks added at inception of the facility”. In this week's email I was told that “There were changes made to this risk in Nov`2017 which affected the premium.” Nice try. But not true. No changes were made, the lower premium was solely because I had asked for a reduction. Perhaps there was some internal justification made for that. But if so that should be no concern of mine.

After my again reminding Outsurance that there had been no changes, I have had no reply. So it seems that now my only recourse is to complain to the Short-term Insurance Ombudsman.