Parents did not pay any premiums on automobile policy, did not drive, and died 1/2 way into policy time Is premium still due?

Free Insurance Quote Comparison

 Secured with SHA-256 Encryption

Jeffrey Johnson is a legal writer with a focus on personal injury. He has worked on personal injury and sovereign immunity litigation in addition to experience in family, estate, and criminal law. He earned a J.D. from the University of Baltimore and has worked in legal offices and non-profits in Maryland, Texas, and North Carolina. He has also earned an MFA in screenwriting from Chapman Univer...

Full Bio →

Written by

UPDATED: Jun 21, 2013

Advertiser Disclosure

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 Houston, TX

Asked on 06/21/2013

Parents did not pay any premiums on automobile policy, did not drive, and died 1/2 way into policy time Is premium still due? Parents' auto insurance was automatically renewed in December. Both parents died (natural causes) a few months afterwards without paying the premium and the car had not been driven since before the time of renewal. Although the insurance company was made aware of the facts, they are sending out collection letters from the date of auto renewal until my last parent's passing. Should not this policy be cancelled by the company because parents did not acknowledge the new policy with a payment?

Answer given on January 05, 2014

Many auto policies are automatically renewed unless the insured party requests the policy be cancelled or not renewed. However, the insurance company will usually give the insured a certain period of time to pay the premium. If it is not paid, they will send a cancellation notice for non payment of the premium. If the premium is not paid by that time then the policy will revert back to the renewal date and cancel.Some companies do require a request to cancel even if the premium is not paid. They will cancel the policy as of a certain date. They will then send a collection notice for the earned premium from the renewal date to the cancellation date.Try to work with the insurance company. They may refuse to cancel back to the renewal date. If so, they should be willing to cancel as of the date of death of your parents. If this is not acceptable to you, you can simply refuse to pay the premiums and ignore the notices. It is not your debt, but your parents. g


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.

Free Insurance Quote Comparison

Enter your ZIP code below to compare cheap insurance rates.

 Secured with SHA-256 Encryption