can an insurance company

by hummingbird » Mon Dec 31, 2007 04:44 pm

Can an insurance company whom has 3 auto policies on your family, tack on the premiums from one person's policy onto another if one cancels? My son had a policy and my husband and myself. My son's policy got to high it eventually was canceled for non payment.They then stuck the remainder of what was owed on his policy onto mine.That would pay off my son's policy till it ran out. Can they do this?

Total Comments: 7

Posted: Mon Dec 31, 2007 09:04 pm Post Subject:

I'm guessing that those policies just happen to have an increase at the same time but the increase is not related. Have you spoken to the carrier or your agent for an explanation as to why those policies increased?

Posted: Tue Jan 01, 2008 10:33 am Post Subject:

Can they do this?

no, only thing i can possibly come up with would be if he had a claim, within the 'grace' (really no grace period on auto policys at least in my state, or they won't call it that, but there is a ten day period)....and if that claim was to be covered he would've had to pay the premium to cover that time period...that's the only way i can think of...as tcope said probably just a general rate increase, or if any claims/tickets etc on the other two policys...that also of course could explain it.

Posted: Tue Jan 01, 2008 11:41 am Post Subject:

hummingbird,
I just had a rate increase that I am none to happy about, as Lori & tscope stated you may want to call them and ask them about the increase. I live in Pennsylvania and when I questioned my car insurance company they told me that it was a general increase for the whole state. Hope you find the answers you are seeking. How old is your son? Was he on your policy before? I am wondering if because his was dropped and is still in the household are they assuming responsibility to you now for coverage of him driving maybe one of your vehicles, insurance is always higher for parents with young drivers in the house, even if they are not actually on the policy, right Lori and tscope?

I know that is a question that every insurance company that I have ever had asked me, "are there any drivers under the age of ?? in your household?" What do you guys think about this? Is this a possible scenario?

Posted: Wed Jan 02, 2008 11:17 am Post Subject:

Very good point Good natured and one both tcope and i overlooked...They may be doing exactly that....rating him on one of the policys....GREAT CATCH!

Posted: Thu Jan 03, 2008 02:23 am Post Subject:

That is what they said the increase was for,his policy canceled like I said and the remainder of the policy till it ran out was placed on my policy. It was 800.00 .Not a laughing matter.AFter talking to them and telling them he was getting insurance somewhere else they lowered the fee(can't remember what maybe 200.00.I'm sorry if I offend anyone but i just don't like insurance companys.I feel like they will take advantage if at all possible. Sorry

Posted: Thu Jan 03, 2008 11:25 am Post Subject:

I'm sorry if I offend anyone but i just don't like insurance companys

Until you hit someone causing injuries and property damage that are around 100 grand, and you don't have to pay that the insurance company pays it for you...right?

A lot of people ''don't like'' insurance companies until they need them...Do you think that I like paying my premuims anymore than you? Hell no, and NO I don't get a discount because I work for one...

Clearly there is a need....(for insurance) and we all moan and complain about our rates until the tree falls thru the house and they pay 10k to replace it and we only pay 500 deductible...see you have to try and understand that they are assuming the risk FOR YOU...and for that you have to pay a premium based on the risk they are taking.......

I don't think insurance companies as a whole (especially in P&C) take advantage of people. Now life sales, different story there are some funny things that can happen there......On the contrary I see insured's and claimants daily trying to take advantage of the carrier...get damage repaired that wasn't from the wreck...claim they hit an animal when clearly they did not, claim a terrible injury when again, NOT....and these people are the ones that increase YOUR rates and mine.......

Posted: Thu Jan 03, 2008 05:34 pm Post Subject:

Point taken, But I go around every day so careful I really hate to drive. Afraid someone is going to hit me because I am aware that if they do i will not turn it in unless it is a necessity. Because I will have to take a rate increase that I cannot aford. My hubby had an accident with a car who had no insurance .It hurt my car but we drive it like it was because we wanted no increase in my rates.We have it only because it is required by law and without it we could not get our cars licensed. Otherwise we are just throwing the money away unless we get into an accident that totals the car or someone else's and have to use it. I think at least we should get tax credits for what we pay out in insurance since it is a law.

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