In Jan 2011, I scraped someone’s bumper (parked car, no bodily injury). I admitted fault and after all was handled by Allstate total cost: $768 and I
Free Insurance Quote Comparison
Secured with SHA-256 Encryption
UPDATED: Jun 11, 2012
It’s all about you. We want to help you make the right legal decisions.
We strive to help you make confident insurance and legal decisions. Finding trusted and reliable insurance quotes and legal advice should be easy. This doesn’t influence our content. Our opinions are our own.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about legal topics and insurance. Our goal is to be an objective, third-party resource for everything legal and insurance related. We update our site regularly, and all content is reviewed by experts.
Insurance Question from Spring Valley, CA
Asked on 06/11/2012
In Jan 2011, I scraped someone’s bumper (parked car, no bodily injury). I admitted fault and after all was handled by Allstate total cost: $768 and I had a $500 deductible. This claim was filed for my hyundai tiburon, the only vehicle I owned at the time. However, I bought a truck a couple months later, March, and put the hyundai in storage as a non-op with liability only. A few months ago, I was going through some of life's challenges and my disorganization caused me to be late on payments for 2 months. They cancelled my policy, I paid all the fines and original cost and renewed. My premium doubled from 800 +/- to 1600+/- per 6 months. Is this legal? $768 = $4800 over 3 yr? Customer relations "highest level" said, they can't change unless
Answer given on June 12, 2012
Your insurance coverage is based on your driving record at the time the policy is issued. The rates are updated at the next renewal, but, in your case, the premium was probably not yet reflecting your auto claim. In addition, some insurance companies give a discount for continuous insurance coverage with the company. Once the policy lapses for non-payment, then you could be charged for the accident and you may have lost your renewal discount. Not every insurance company works that way.You should shop your insurance with other insurance companies to see if a better rate is available. If you still have the first car insured, even for just liability, you would be eligible for a multi car discount. If you are only insuring one car, then that discount, which can be as much as 20%, would be lost. You can also get discounts if you insure your home, or contents with the same insurance company. Check into the possibility of combining your policies to one insurance company.
IMPORTANT NOTICE: These answers are for general information purposes only and are provided by the person answering and FreeAdvice.com AS IS. It has not necessarily been reviewed by the management staff of FreeAdvice.com nor is it binding any insurance agent, broker, or other insurance professional or any attorney or insurance company. Insurance laws, regulations and practices vary from state to state and insurance policies and practices differ from company to company, by type of policy, by state and locality and by type of insurance. Tiny variations in the facts, policy language or a detail not set forth in a question often can change the outcome or a professional's conclusion. Although FreeAdvice.com has confirmed that the answer(s) was/were provided for the account of an experienced insurance professional, that professional may not be licensed in the state referred to in the question, and may not be experienced or up to date in the subject area. Unlike the answers provided here, upon which you should NOT rely, for personal advice you can rely upon we suggest you consult a licensed insurance professional in your area or retain a licensed attorney listed on AttorneyPages.com to represent you.