Taken for a ride by the Post Office when I insured my motorcycle

I accepted a quote from the Post Office to insure my motorcycle. A few days after I’d paid the premium, I received a letter telling me that the cover had been cancelled because I keep the bike in my father’s garage during winter, and on my drive in better weather.

The two houses are less than a quarter of a mile apart, but the fact that they bear different postcodes made this unacceptable. I was offered an alternative (at nearly twice the premium), which I declined, and was told that I would have seven days to find cover elsewhere, which is what I did.

Then, out of the blue, a letter arrived demanding £47.27. I was told £7.27 was for the week I had had the cover and £40 for cancelling. Another £25 would be added if I didn’t settle within seven days.

Quite apart from my reluctance to pay the price of someone else’s mistake – I had told the PO from the outset about the storage arrangements, so they clearly missold the policy – I can’t afford it. I have tried explaining this, but received only a stern reply, restating the consequences of not settling. JC, Derby

You are right. The Post Office had no business selling you the policy when your application clearly stated the bike lives between two addresses. And it’s breathtaking that it should insist you should fork out when, because of its own error, it cancelled your policy. It was also terminated during the statutory 14-day cooling-off period, so even if it had been you who changed your mind, no penalty would have been due.

The Post Office admits this and says you were “incorrectly charged”. When I ask why the mistake wasn’t accepted when you called to clarify the situation, it blames “human error”.

It’s unlikely it would ever have acknowledged its incompetence if the prospect of free publicity hadn’t prompted it to look properly at your case. The charge has now been cancelled and a goodwill offer made.

If you need help email Anna Tims at your.problems@observer.co.uk or write to Your Problems, The Observer, Kings Place, 90 York Way, London N1 9GU. Include an address and phone number.

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