Community Chat

[comedy clubber]

I am in the process of selling my car.  Within two weeks, the new owner will own it.  Meanwhile, my insurane company, Western National, out of Edina, MN, had sent me a renewal notice.  The first payment was to be $74, for comprehensive, collision, and liability.  I called the agent and told her the car was being sold and all I want is liability foe about a month.  I called Western National and asked them what the new payment would be and informed them that I already had a potential buyer.  She told me the payment was $74 even with the changes.  That is fraud in my opinion, because when ever they get around to refunding me, there will be no interest paaid to me.  So if anyone is looking for a new insurance company, steer away from Western National.  Sorry just venting.

[RedTop]

It’s not fraud; it’s company policy.   The cost of the coverage you need is $74, regardless of how long you need the coverage.   

It sounds like you expect a special rate on the premise the car will be sold in 2 weeks.   

[Marp]

---

@RedTop wrote:

It’s not fraud; it’s company policy.   The cost of the coverage you need is $74, regardless of how long you need the coverage.   

It sounds like you expect a special rate on the premise the car will be sold in 2 weeks.   

---

I read OP's post differently.  The $74 (term unstated) was for full coverage and she requested liability coverage only with her complaint being the same cost for full coverage and liability only.

[Kachina624]

My guess is that the company is just complying with state law and cannot pro-rate an auto policy for less than one month.  There are people who would take out a policy for one day just to get the required proof of insurance.

[NYC Susan]

I'm not sure I understand this correctly but I don't see anything that seems like fraud.  It sounds more like miscommunication.  Can't your agent explain to you why the premium amount remains the same?  After you spoke to the insurance company, did you contact your agent again?  If not, you should. 

Also - Insurance companies don't care about "potential buyers".  They care about current owners.  Lots of potential sales never happen.  (I hope this one does, but you never know!)

I moved last year, and because of that my car insurance company ended up owing me some money.  I received a refund check within days.  So I don't think you should jump to any conclusions about how long you would have to wait for a refund if you're entitled to one.  It's not fair to bash an insurance company and accuse them of something like insurance fraud when it's really not clear that they have done anything wrong.

[happycat]

I just hope you get the refund you should have coming after you are not in possession of the car anymore.

[Mom2Dogs]

When ever my insurance company has owed me a refund I have it in a short period of time.....

[RedTop]

Under these same circumstances, my insurance company would still charge me the $74, as they would not allow me to change my policy knowing I was trying to sell my car.   They would issue a refund from the date I notified them that the car was sold.   I’ve had the same insurance company since 1973.   

[Marp]

---

@RedTop wrote:

Under these same circumstances, my insurance company would still charge me the $74, as they would not allow me to change my policy knowing I was trying to sell my car.   They would issue a refund from the date I notified them that the car was sold.   I’ve had the same insurance company since 1973.   

---

Are you saying that when you receive your renewal notice your carrier will not allow any changes to coverage because you told them you are selling your car or no changes for any reason?

[Marp]

@comedy clubber,it might be a good idea to revisit your decision to drop full coverage.

A lot can happen in an instant and if you only have liability and say a tree fell on your car totaling it you won't have a car to drive or sell and no money to compensate for the loss of the car.