My fiance had the same problem. He sold his car and cancelled his policyby phone and in writing. They charged him an extra months' premium and an 'administration charge' and due to their incompetence in not cancelling the policy when they were notified he ended up paying another month on top of that.
We have 6 cars in the immediate family, not one of them will ever be insured with its4me ever. It seems to us that once they've got you as a customer they just don't want to know about anything else except getting more money out of you. Surprisingly, both of my cars are insured with Barclays .... i was amazed when they beat everyone else's quotes hands down.
i agree with anne, for anyone looking for car insurance, go anywhere else except its4me, their customer service is non-existent.