Hello Matty(posted 8554 days ago)In my opinion I don't think you can use the same arguments with Royal Sun Alliance as you would with a lender, because the Halifax seems to be out of the picture as it were. They've repossessed and sold your house, and had a payout from their insurance company to cover the loss, end of story as far as they're concerned.
Something I have thought of though is, if for example you made a claim on your house insurance, you are usually asked to supply 2 or 3 quotes for the item or work which needs doing, so that the insurance company can be sure what you're claiming is reasonable, an insurance company would not consider paying out £1000 for a £100 item.
Would the RSA or any other MIG company make sure that their lenders got the best price for their repossessed properties? I think the insurance company has a duty to make sure that the lender did before paying out.
I'm assuming that your home was sold below its true value, so if you can prove this and provide proof of what the value should have been, or value of similiar properties, then you could use the arguement that RSA paid out an unnecessary sum and therefore you're not obliged to pay the full amount claimed.
You said in your posting that you were not informed of the repossession. Write to the Halifax and ask them for the case number and court where they served proceedings and for a copy of the summons which was issued. Failing that you could try your local county court and seek their advice. RSA probably wouldn't have such information.
Hope this helps.
Pendle