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Auto Insurance Claims/what will happen?


Ok, so I hope you know the answer to this. and if you can I need an answer based on current laws, policies ect.

Ok, right now, I have auto insurance with Century 21. I missed a payment and they added a $15 late charge. I can handle that. But when I called them to pay my payment plus late charge they doubled the payment to $182 and some cents! And there is no way I can do that. And it will cancel on the night of the 25th.

So what I did was to call another company: Progressive, and get a quote. I still don't have any money to pay till March. Which means for about 3 days, Feb 26th, 27th and 28th I won't have insurance.

So anyway, on the phone talking to Progressive, they asked me if I am insured now. I said yes. And I am FOR NOW. But they didn't ask and I didn't tell them,  about the lapse in coverage later in the month.

So what I want to know is this: Come March 1 when I do pay Progressive, if they should ever find out that my coverage lapsed, what will happen? Will they drop me too? Will they go up on my rates or tell me what a bad girl I am and let that be the end of it?

P.S. I am making a point of NOT driving for those 3 days without insurance. I do realize what a dangerous practice that is.

Each State has its own laws regarding auto insurance.  

To answer your question, if you have a lapse and that makes a difference to Progressive, then banking on the technicality that they asked you before you had the lapse is probably not the right thing to do.  Whether they can legally claim you misrepresented facts and cancel you for the technicality is a question a court would have to answer.

I will say that when I was an agent, to get the best rate, your insurance coverage must have been continuous with no lapse, so having a lapse could definitely cost you some money in rates or in the way of a down payment of some sort.  

I'm sorry I couldn't give you a perfect answer, but I hope this helps.  Really, your solution is to get a new policy active as of the 26th, so it boils down to financial ability it seems.

Justin Petty  

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Justin Petty


Challenge me! I promise that I will provide you with the most honest answer I can muster, and I will base it on nearly 20 years of complex claims experience. My strength is shooting it straight and seeing through BS. I do not bluff and I can tell when somebody is. I've handled claims in almost every State in the U.S. and adjusted claims and consulted attorneys and CEO's on recovery and special claims tactics for over a decade. I am the founder and President of Petty Details, LLC. We provide the highest quality claim services to insurance companies, attorneys and individuals all exactly in the same way, by paying attention to the details and doing the right thing.


Nearly 20 years of combined claim company management, litigation, all lines adjusting, claim auditing, damage assessment, subrogation, small claims, tort recovery, collection, skip-tracing, tactical investigations, and contribution claim recovery experience across the United States of America.

NASP (National Association of Subrogation Professionals) (Auto Insurance Expert) Diminished Value Appraisers Group (LinkedIn)

10 years experience in writing and developing technical claims correspondence for litigation and unique scenarios at insurance companies and as a consultant to attorneys assisting with legal briefs and research. 42 published articles relating to auto insurance and claims. Self Published e-books entitled "How Much is My Injury Worth" and "Diminished Value - How Do I Get Paid?".

School of hard knocks, 3 years college, NO DEGREE, years of real world experience running a claims service company and adjusting claims for carriers. Speaks English and Spanish, Limited Portuguese & Italian.

Awards and Honors
Platinum Author ( All Lines Adjuster (TX, 1998 - 2008) TX Public Adjuster (2009 - 2011)

Past/Present Clients
State Farm Insurance, Endeavor GA, MileMeter Ins., American Recreational Markets, Gainsco Ins. Co., Safeway Ins., Home State County Mutual Insurance, Old American County Mutual Insurance, FCCI, Farm Bureau, Liberty Mutual, and Pronto General Agency, LTD just to name a few! On top of insurance companies and attorneys, I have personally helped thousands of accident victims with the difficult and stressful process of navigating their claim to a successful resolution.

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