Expert: Richard Hixenbaugh - 10/6/2011

Question
I live in the state of Washington. My Farmers insurance agent suggested putting my 17 year old daughter under the "full permissive use" clause because she was only going to be driving occasionally.  My daughter got into an accident last week, bumping another car and hitting a fire hydrant.  I called my agent, who said everything would be covered, minus our deductible.  She had me call Bristol West, which is apparently my insurance, although I thought I had Farmers insurance, which is where my agent works. Bristol West is "investigating" because they're saying that my daughter may not be covered under the permissive use clause.  Also, I carry $100/$300/$100 coverage, but Bristol West is saying that IF they are going to cover the accident, it would be at the state minimum which is only $10,000 property damage, even though I pay extra for my 100/300/100 coverage. I even have emails from my Farmers agent saying that my daughter will be fully covered under the permissive use clause, that is why I chose her for insurance!  Can you explain to me how this is possible, and if Bristol West doesn't cover it, can I do anything about Farmers giving me false information?  Can I make Farmers cover the cost?  Please help, I can't afford a $14,000 fire hydrant repair, which is what the police officer at the scene said it could cost...

Answer
Hi Jennifer,

I'm not sure what the "Permissive use" clause is. That may be something exclussive to Washington. However, if you were told that there would be full coverage and you have emails to back that up, you should be fine. You should print out the emails and put them in a file for safekeeping. Then call your agent and tell them what the insurance company is saying and ask the agent to contact the company to try to straighten things out. Let the agetn know that if the company does not pay the full claim that you will be making a claim against the agents 'Errors & Omissions" insurance coverage. (That is like mal-practice insurance for insurance agents). In the end all should work out. If it does not you may have to file suit against the agent.

I hope this helps
Richard Hixenbaugh