I'm not saying they are in the wrong but I kind of assumed that if you failed to keep up with premiums and made no claims on the policy that it just sort of lapsed. Policy was for inland Marine coverage for some camera gear. The remaining balance is under two hundred bucks but I'm getting letters from a third party about "avoiding litigation." I'm not sure what to make of this. If it's legit or simply a scare tactic. I can't imagine a claim of $200 being litigated but I really don't know much about these things.
Liberty Mutual says I owe them for a policy that I didn't finish paying premiums on.
byu/Usual-Technology inInsurance
Posted by Usual-Technology
8 Comments
You agreed to pay them in exchange for coverage. If you didn’t cancel coverage then you still owe them the premium. It’s not that complicated.
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Cancellations aren’t immediate. There’s usually a cancel notice that goes out if a payment is missed with an official cancel date. The amount could be for a period where coverage was technically still valid until the policy officially cancelled.
If there’s any concerns about it being legitimate versus a scam, maybe call the insurance directly to confirm.
If you confirm it’s legitimate and have a dispute about the amount then ask your state’s department of insurance to review
Progressive did that to me too. I only found out when I tried to get a new policy for a car that I just got running.
Fuck that entire industry of extortion, they will not get a dime from me.
You had coverage. You owe them for that coverage. Pretty simple. Pay up.
As far as I know and what I’ve experienced with insurance companies is when you call up to cancel it they’re going to ask you when you would like that effective immediately, today or it’ll end at midnight. Unless you chose a date and a time for to be canceled upon then they’re not required to play guessing games here and I believe they actually can let the policy continue to run in this family station report you take you to collections but I’m not 200% sure you that part
Insurers don’t use scare tactics lol. You either need to pay or to call your insurers to clarify what and why you owe. If the policy was cancelled early, I don’t think you would owe for the months you were not covered. If you where laying for 12 or 6 months, maybe you can get a pro-rated refund. However, if your policy was still active while you were not paying premiums, I’d imagine you would still owe.
Call and cancel to the end of the term for the last payment you actually made. Then anything after the cancellation date is unearned premium and if an overpayment was made, it’s due back to you. In the future, do the correct thing and let the companies know when you make changes to your situation or desired coverages in a timely manner.