Direct Line has already publicly acknowledged that it made significant errors in the decision to terminate the car insurance policy. This happened after the very tragic death of customer RC. The case has led many to wonder about the adequacy of the company’s bereavement support services. RC’s cousin called community organizer SE. In turn, Direct Line rushed to mitigate the damage, apologizing, waiving fees and providing compensation to correct the course.
The problems followed RC’s death in May 2024 during the third year while his car insurance policy was still in effect. The policy auto-renewed in September 2023 even though the vehicle had been junked in November 2021. Improper cancellation In this situation, SE neglected to comply with the procedure it had established for cancelling the policy. Consequently, they were required to pay an exit fee of £148.
To SE’s follow-up response, Direct Line replied that no, the policy had really been cancelled. The company admitted that its usual cancellation procedure was not followed in RC’s situation. This error in judgment led to confusion and added emotional burden for SE during an already challenging period.
Direct Line’s bereavement team is specifically set-up to support customers going through difficult times like this. Yet, in this case, the company acknowledged that its service did not live up to expected standards.
“We have a dedicated bereavement team supporting customers; however, on this occasion the correct procedure for cancelling SE’s uncle’s policy was not followed. We have offered our sincere apologies to SE, confirmed the policy has been cancelled and the charges waived.” – Direct Line
To remedy the discriminatory error, Direct Line has implemented a series of corrective measures. The company waived all charges related to RC’s policy and provided a refund of £700 for the previous year’s premium. Moreover, they ordered the government to pay £200 in compensation to SE’s family as recognition for the trouble and upset caused.
Following SE’s proactive approach in contacting Direct Line, the company’s customer service team has since improved its processes to prevent similar occurrences in the future. This tragic incident underscores the need for clear communication and following standard procedures, especially in challenging situations that may include tragedy and loss.