Expert: Ron Cercone - 3/9/2010

Question
We insured a new car, but after accident they tell us we aren't insured. I had 2 cars insured, 1 full and 1 liability. I bought another car and the salesman offered to call my agent and he did so. The next day my daughter was involved in an accident with the new car. I called my agent, who at that time told me that I only had liability ... he said because the car salesman failed to tell him there was a lien on the car and because the car that I was replacing on my policy only had liability. Then the next day they tell me that I have no insurance at all on ANY of the vehicles. They said that I didn't pay my premium, that they sent me notices to pay and a notice of cancellation. I have never gotten any notices or letters from the insurance company! They said they took money I had paid on the old car that had liability, put it towards what I owed on the car that had full, cancelled me out on both cars, and that I had no policy with them at all when the new car was called in, so it wasn't covered. This leaves me with a ticket for no insurance, having to not only pay for my new wrecked car, but also the other car. My agent tells me that he did not know that I wasn't covered. How can this happen?! I did everything I was supposed to do and I have never gotten any letters or notices from the insurance company. Please help? Please tell me what I can do. I can't afford an attorney.

Answer
Brenda,

Did they cash the checks you paid for premiums? Did they give you a refund if they cancelled your policies? What mailing address do they have on file for you? Look at your declarations page.

Best advice is this, get the eBook at UClaim.com entitled "Denied Auto and Marine Property Claims - Deluxe With Apendix". It has an excellant section on exactly your situation. It will for example, show you how to get a print out from your insurer of all the cancellation notices mailed by that insurer on the same day that yours was supposedly mailed. If your address has one incorrect character, then you got em. If your name is not on that list, you got em there too.

And Brenda, some agents never send the premium in. They keep it for themselves, and go to jail if the get caught.

And also, if you have auto insurance, you normally get 15 to 30 days of coverage automatically on "newly aquired vehicles wihtout having to tell your agent. Read your policy.