I received a phone call offering me cheap house insurance but when i applied i was refused. what should a do?

Hi there.
There are really 2 main reasons you could have beeen refused. Firstly have you have a record of makimg claims on your home insurance? The insurance companies swap information about policyholders claims. If you have made a number of claims in the last few years, then that could be the reason for your refusal. The other main reason is that your post code represents an area which has problems such as flooding or subsidence or something similar. Other, less likely, things that can concern insurers are if the property has not been constructed traditionally or if the property is left unattended for long periods. Finally, if you or anyone living in the house has a criminal record, then the insurance company may not want to insure the property.

At this stage i would go to an online broker and get some more quotes - but don't cancell your existing insurance until you've found a cheaper insurer that agrees to insure you. Remember, just because you complete their application form, does not constitute an acceptance by the insurance company. Be sure to get written confirmation from the insurer that you are on risk before you cancel your existing policy.

If you can't get anything cheaper, stay with your existing insurer!