My auto insurance was due on Dec. 5, 2012 and I got into an

Posted: Mon Dec 10, 2012 02:05 am Post Subject:

It depeneds on whether or not the insurance carrier properly cancelled the policy. Did they keep the premium payment or return it to you? If they kept it,that suggests that there will be continuous coverage. What did the carrier say about the claim?

Posted: Mon Dec 10, 2012 03:18 am Post Subject:

Thanks for getting back to me so quickly. I made the payment over the phone on their automated system and got a confirmation number that they accepted it. My bank online currently shows that it is pending (I imagine it will complete the transaction very soon). Technically, I made the payment after the accident, so I suppose they could "investigate" that. In the past I have been late with a payment or two and I've never had a problem with my coverage.

I've read some really bad reviews about Mercury. I'm in California, do you know legally if there is a grace period?

Thanks again

Posted: Mon Dec 10, 2012 06:49 am Post Subject:

Yes, there can be a grace period in auto insurance, typically up to 10-15 days after the due date, before a cancellation notice is sent -- you have to read your contract to know what it is. The cancellation effective date would be retroactive to the first date the premium was due and unpaid.

When you say your premium was due -- are you talking about the renewal date or the cancellation date? In other words, did you pay (on Dec 7) after the due date to prevent a cancellation? If so, you will have insurance, but it won't cover the date of the accident.