Can a insurance company take a big deposit and let you make3 months payments and for no reason just drop you and we signed a contract for a year.This
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UPDATED: Jul 25, 2012
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Insurance Question from Fresno, CA
Asked on 07/25/2012
Can a insurance company take a big deposit and let you make3 months payments and for no reason just drop you and we signed a contract for a year.This NULL
Answer given on July 26, 2012
Insurance companies have different payment plans available. Most require a one or two month down payment and then allow you to pay monthly for the remaining balance. However, if you do not make the premium payments, the insurance company may cancel your insurance, with proper notice.You say they are trying to drop you for no reason. If there was a ticket or accident on your record that you did not declare when you applied for the insurance, and then the company found out, they could cancel you for withholding underwriting information. Also, if you received a major violation during the policy term, the company could non renew you, but could not cancel you midterm unless you lost your license.You should call the insurance company and find out why they have terminated your insurance. They had to give a reason, and a notice that they were cancelling. The notice is 15 to 30 days.
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