Frequently asked questions

Want to know more about our flexible insurance solution for learner drivers? We'll tell you everything about it right here.

Terms of Business Agreement

The following Terms of Business Agreement sets out the basis on which Covered Insurance Services Limited, referred to as ‘We’, ‘Us’, ‘Our’ will provide business services to you as a consumer of the firm.

Please contact us immediately if there is anything in these terms of business which you do not understand or with which you disagree. We are happy to answer any questions and willing to explain these terms and the reasons for them.


Contact us

Telephone 0345 519 4969

Email ldriver@coveredadmin.co.uk

Address PO Box 672, Longridge, Preston PR3 8AD

Business Hours 9am till 6pm, Monday to Friday

About us
We are an appointed representative of 3XD Limited who is authorised and regulated by the Financial Conduct Authority as an insurance intermediary under Firm Reference Number 469379. As such, we are permitted to arrange general insurance products as an independent intermediary acting on your behalf in respect of non-investment insurance policies. You can check these details online using the Financial Services Register at https://register.fca.org.uk/ or by contacting the Financial Conduct Authority Consumer Helpline on 0800 111 6768. 

Our scope of service

We offer learner driver insurance products exclusively through KGM Underwriting Services Limited. When we arrange your insurance we’ll inform you of the nature of the service we provide. This will usually be information only about a policy without giving you advice or a personal recommendation.

We generally act on your behalf in arranging your insurance, but we’ll make clear at the outset whether we are acting for you or for the insurer in particular circumstances.

Your duty of disclosure

Consumers: You must take reasonable care not to make a misrepresentation to the insurer. This means that all the answers you give and statements you make as part of your insurance application, including at renewal and when an amendment to your policy is required, should be honest and accurate. If you deliberately or carelessly misinform the insurers, this could mean that part of or all of a claim may not be paid.

Your duty of fair presentation applies at the start of the policy, at renewal and when any variation of the policy is arranged. If you fail to make a fair presentation, the insurer may refuse to pay your claim or reduce the settlement amount, depending on the circumstances.

How to cancel
Please contact us immediately if you wish to cancel any insurance policy we have arranged for you. You may have a right to cancel a policy without penalty within the first 14 days (or, in some cases, longer). Please refer to your Insurance Product Information Document (IPID) or your policy document for further details. If you cancel within this initial cancellation period (where this applies) you will receive a proportionate refund of any premium paid from the insurer. In addition, the administrator may charge an amount which reflects the administrative costs of arranging and cancelling the policy. Details of the amount we charge are detailed below under Fees and Charges.

If you choose to cancel other than within an initial cancellation period you may not receive a pro-rata refund of premium. In addition, the administrator may charge an amount that reflects the administrative costs of arranging and cancelling the policy (see our Fees and Charges below).

Protecting your information
We take your privacy extremely seriously and we will only use your personal details in line with our Privacy Notice. Please read our Privacy Notice carefully, this can be found by clicking through from the link at the bottom of each web-pageon this website,and contact us immediately if you have any queries. Where necessary, for example where we would like to use your data for some marketing purposes, we shall ask for your specific consent to do so. Your personal information includes all of the details you have given us to process your insurance policy (we will not ask for more information than is necessary). We may share your data with Third Parties for the provision and ongoing performance of your insurance policy. Your data may be transferred outside the UK. We will not sell, rent or trade your data under any circumstances. All of the personal information you supply to us will be handled strictly in accordance with the applicable Data Protection regulations and legislation.

How to claim

Please refer to your Insurance Product Information Document (IPID) or your policy document if you need to notify a claim. You should contact us or the insurer direct as soon as you become aware of any incident which could give rise to a claim. If in doubt about whom you should contact, or if you require our assistance in relation to a claim or potential claim please contact us. 

Fees and charges

The fees you will pay are as follows:

Change of vehicle £15.00;

Change of address £15.00;

Policy Cancellation fee £20.00, or £25.00 if you have taken out a Covered On Demand Policy

These fees are not refundable.

Learner driver kit

The Covered Learner Driver disk set will be sent to the policyholder by second class post within 3 days from the start date of the policy. If you cancel your policy you authorise us to reduce the refund due by £7.99 (the RRP for the disk product).

Our earnings
In return for placing business with insurers and/or underwriters, we receive a commission from them which is a percentage of the annual premium that you are charged with.

If the type of policy we sell reaches specific profit targets the insurer may also pay us an additional bonus.

You are entitled, at any time, to request information regarding any commission which we may have received as a result of placing your insurance.

Please be assured that at no time will the way in which we are remunerated conflict with our responsibilities to meet your needs and treat you fairly.

Block transfers
In respect of some classes of insurance we may operate block insurance arrangements in order to provide competitive terms. This is where we place all insurances of a certain type with one insurer who can provide particularly competitive terms for all our customers. On occasions it will be necessary for us to transfer such blocks from one insurer to another where this is beneficial for our clients. This Terms of Business Agreement constitutes both your acceptance that we may do this and your prior request for us so to do.

Protecting your money

Prior to your premium being forwarded to the insurer (or forwarded to you in the event of a premium refund) we hold your money as an agent of the insurer with which we arrange your insurance. Where we hold premium as the agent of the insurer it is regarded as received by the insurer.

We may transfer your premiums to the insurer through another party, such as a broker or underwriting agent for the purposes of effecting a transaction.

By accepting this Terms of Business Agreement, you are giving your consent for us to treat your money in this way. Please notify us immediately if you have any objection or query.


It is our intention to provide a high level of service at all times. However if you have reason to make a complaint about our service you should contact the administrator immediately using the contact details on the first page of this document

You may be entitled to refer the matter subsequently to the Financial Ombudsman Service. You can contact the Financial Ombudsman Service by telephone on 0800 023 4567 or online and further information is available at http://www.financial-ombudsman.org.uk/. If you do decide to refer any matter to the Financial Ombudsman Service your legal rights will not be affected. We will provide a summary of our complaints handling procedures should you make a complaint which we cannot resolve informally and at any other time, upon your request.

If you wish to make a complaint and your policy incepted on or prior to the 31st December 2019, you can do so at any time be referring the matter to:

KGM Motor, St James House 27-43 Eastern Road
Romford, RM1 3NH
Telephone Number: 020 8530 7351
Email address: mailto:compliance.kgm@kgmus.co.uk

In the event you remain dissatisfied you can refer the matter to the Complaints Team at Lloyd's:
Complaints Team Lloyd's, One Lime Street London, EC3M 7HA

Telephone Number: 020 7327 5693
Email address: complaints@lloyds.com
Details of Lloyd’s complaints procedures are set out in a leaflet “Your complaint - How We Can Help” available at www.lloyds.com/complaints and are also available from the above address. If you remain dissatisfied after Lloyd’s has considered your complaint, you may have the right to refer your complaint to the Financial Ombudsman Service. The Financial Ombudsman Service is an independent service in the UK for settling disputes between consumers and businesses providing financial services.

If you wish to make a complaint and your policy incepted on or after the 1st January 2020, you can do so at any time be referring the matter to:

KGM Motor, St James House 27-43 Eastern Road
Romford, RM1 3NH
Telephone Number: 020 8530 7351
Email address: mailto:compliance.kgm@kgmus.co.uk

We will attempt to resolve your complaint as soon as possible within 3 days, however if this is not possible, we will get in touch and advise you of next steps. If we are unable to resolve your complaint or you are dissatisfied with our decision you may have the right to refer your complaint to the Financial Ombudsman Service.

The Financial Ombudsman Service is an independent service in the UK for settling disputes between consumers and businesses providing financial services. You can find more information on the Financial Ombudsman Service at www.financial-ombudsman.org.uk.

The Financial Ombudsman Service,

Exchange Tower,

London E14 9SR.

Tel: 0800 023 4567 or 0300 123 9 123;

e-mail: complaint.info@financial-ombudsman.org.uk.

Further details will be provided at the appropriate stage of the complaint process. This procedure is without prejudice to your rights to take legal proceedings.

Compensation arrangements

We are covered by the Financial Services Compensation Scheme. You may be entitled to compensation from the scheme if we cannot meet our obligations. This depends on the type of business and the circumstances of the claim.Insurance advising and arranging is covered for 90% of the claim, without any upper limit.For compulsory classes of insurance, insurance advising and arranging is covered for 100% of the claim, also without any upper limit. The compensation scheme does not apply to consumer credit. Further information about compensation scheme arrangements is available from the FSCS on 0800 678 1100 or 020 7741 4100 or by visiting http://www.fscs.org.uk/

Money laundering/Proceeds of crime

We are obliged to report to the National Crime Agency any suspicion of money laundering or terrorist financing activity and we are prohibited from disclosing any such report.

Adequacy of insurance values

It is the responsibility of the insured to ensure that all sums insured and policy limits are adequate. It is strongly recommended that the appropriate Professional (e.g. Surveyor/Accountant) be consulted to ensure that the sums insured and limits under the policy are suitable.

Conflicts of interest/Customers best interests

As insurance brokers we generally act as your agent in advising you, arranging your insurance and assisting you in the event of a claim; we will always act honestly, fairly and professionally ensuring your best interests are our priority. In certain circumstances we may act for and owe duties of care to insurers and/or other parties. Where we become aware of any actual or potential conflict of interest with our duty to you, we will inform you of the situation and the options available to you before we proceed.

Insurer security

The insurers we use are regulated and are required to have adequate capital resources. However, we cannot guarantee the solvency of any insurer we place business with. An insolvent insurer may be unable to pay claims or may be unable to pay them in full and you may have to pay a further premium to pay for alternative insurance cover


You or we may terminate authority to act in connection with your insurance arrangements at any time. Notice of termination must be given in writing and will be without prejudice to the completion of any transactions already commenced. Any business currently in progress will be completed unless we receive instructions to the contrary. Any premiums or fees outstanding will become payable immediately. In circumstances where we feel we cannot continue providing services to you, we will give you a minimum of 7 days’ notice.

Law and jurisdiction

These Terms of Business shall be governed by and construed in accordance with English Law and shall be subject to the exclusive jurisdiction of the courts of England and Wales.