S.L. 330.7 Art. 8Payment of the service provided before withdrawal.

(1) When the consumer exercises the right of withdrawal under regulation 7(1) the consumer may only be required to pay, without any undue delay, for the service or benefit actually provided by the supplier in accordance with the distance contract, in any case the amount payable by the consumer shall not -

(a) exceed an amount which is in proportion to the extent of the service already provided in comparison with the full coverage of the distance contract; or

(b) in any case be such that it could be construed as a penalty.

(2) The performance of any distance contract may only begin after the consumer has given prior approval.

(3) Where a notice of cancellation in terms of these regulations operates to cancel an insurance contract, the consumer shall not be required to pay any amount of money upon or consequent to the cancellation: Provided that any benefit under the policy which the insurer has paid to the person serving the notice shall be refunded by such person to the insurer.

(4) The supplier may not require the consumer to pay any amount on the basis of subregulation (1) unless the supplier can prove that the consumer was duly informed about the amount payable, in conformity with regulation 5(1)(c)(i): Provided that in no case may the supplier require such payment if the performance of the distance contract has already commenced before the expiry of the withdrawal period provided for in regulation 7(1) and without the consumer’s prior request.

(5) The supplier shall, without any undue delay and no later than within thirty calendar days, return to the consumer any sums the supplier has received from the consumer in accordance with the distance contract, except for the amount referred to in subregulation (1). This period shall begin from the day on which the supplier receives the notification of withdrawal.

(6) The consumer shall return to the supplier any sums and, or property he has received from the supplier without any undue delay and no later than within thirty calendar days. This period shall begin from the day on which the consumer dispatches the notification of withdrawal.