synthfreek Posted February 18, 2004 Share Posted February 18, 2004 Here's the deal. For over a year now I've been paying $50 a month for auto insurance on my dead 1993 Toyota Celica. It's automatically debited from my checking account every month on the 15th. I called my agent just a month or two after I realized that it was down for the count. My lovely agent let me know that if I were to cancel my policy that my rates would increase tremendously when I would get a new policy due to "lapse of coverage". I thought this was a litle weird since the car was just collecting leaves. Luckily my girlfriend bought a 2003 Subaru Outback just before my car broke down. This is the point where a year goes by. Well I sold my car last week making sure to do it well before the 15th so I can cancel my policy and save $50. The agent told me that they submitted the request for the debit on the 10th and that it was too late to do anything about it but they WOULD forward all the info over to my local agent and they should be able to stop the fee from going through. Of course this morning the fee has been taken out so I decided to call my local person to see what I could do. Here's the kicker! It doesn't matter that I cancel my policy(on a car I don't own) because that "lapse of coverage" thing still applies EVEN IF YOU DON'T OWN A CAR! When I buy a new car my rates will still skyrocket she says. AND I can't continue paying on a car I don't own anymore to avoid the higher insurance bracket. This is insane! So if you've been driving your car for 10 years and want to sell it to buy a new car and wait over 30 days to buy a new one you will be paying MUCH more. Total Catch-22. Has anyone ever dealt with such nonsense? Quote Link to comment Share on other sites More sharing options...
Frzninvt Posted February 18, 2004 Share Posted February 18, 2004 Sounds like you are getting taken for a ride! What a load of crap! I certainly would not use that insurance company they are lying to you. Tell them to provide you with the documents (policy) to back their statements. I have never heard anything like your situation. Thieves! Quote Link to comment Share on other sites More sharing options...
skonopa Posted February 18, 2004 Share Posted February 18, 2004 I agree with 'Frzninvt', that does sound bogus. Sounds like time to not only shop for a new car, but to shop for new insurance. I wonder how fast they will change thier tune when you tell them that you are going to go to another company with better service and rates. I would also seriously consider calling around to other insurance agents/companies and see what they say, don't just take the word of your own agent. Quote Link to comment Share on other sites More sharing options...
Tom Adams Posted February 18, 2004 Share Posted February 18, 2004 Also make a quick call to your state insurance commissioners office and tell them what you've been told. If you have the person's name who told you this (crap IMHO) and the dates you spoke to them, that would be even better. And if ya feel like having some fun, call your insurance company, ask for the person that told you this (crap IMHO), tell them that you called the insurance commissioners office, and that they should be getting a call very soon...have a nice day and hang up. Tom Quote Link to comment Share on other sites More sharing options...
White01L Posted February 18, 2004 Share Posted February 18, 2004 It's probably about time you shopped around for lower rates anyway. You should do this every other year, and don't be afraid to let your agent know you are comparing, kind of lights a fire under them to work for your business. Those guys work on commission. If you are a home owner and have/had your auto insurance with the same guy the threat of losing your business sometimes gets these guys working a bit harder. Quote Link to comment Share on other sites More sharing options...
synthfreek Posted February 18, 2004 Author Share Posted February 18, 2004 I just spoke with a lady at the Texas Insurance Commission and all this crap is totally legit! For me to stay in the "tier 1" insurance bracket(best) I will have to open a new policy and pay insurance for an imaginary car! I am not making this up. I guess I can also be added to my girlfriend's policy but that's beside the point. She always drives. I proposed to the lady "What if I'm now riding a bicycle exclusively?". Her response "This--->whatever the name of the imaginary car policy was<---will protect you if you ever have to borrow a car or use a neighbor's car for an emergency. I take it you won't put a loved one onto a bicycle and ride them to a hospital." I swear to god she said this. Quote Link to comment Share on other sites More sharing options...
cluless Posted February 18, 2004 Share Posted February 18, 2004 Synth- I've been exactly in your same position. They used to have what they called an "non owners" insurance policy. It's cheaper than a regular policy and might be what you need. Good Luck Quote Link to comment Share on other sites More sharing options...
Frzninvt Posted February 18, 2004 Share Posted February 18, 2004 Wow! I am glad I do not live in Texas anymore then. That is totally ridiculous and totally unfair to the consumer. The insurance companies must be providing kickbacks/payoffs to the Insurance comission to continue this practice. Quote Link to comment Share on other sites More sharing options...
synthfreek Posted February 18, 2004 Author Share Posted February 18, 2004 That's it cluless. She called it a non-owner's policy. What next? Quote Link to comment Share on other sites More sharing options...
m00n Posted February 18, 2004 Share Posted February 18, 2004 ---------------- On 2/18/2004 4:27:51 PM synthfreek wrote: That's it cluless. She called it a non-owner's policy. What next? ---------------- Ex owners non owners policy? Quote Link to comment Share on other sites More sharing options...
ygmn Posted February 18, 2004 Share Posted February 18, 2004 SIMPLE: try another insurance company Quote Link to comment Share on other sites More sharing options...
Bruinsrme Posted February 18, 2004 Share Posted February 18, 2004 When I was first joined the Navy I didn't have a car. After nearly 2 years I purchased a new little subaru and when I went to get insurance, I was shocked at the rates. because I did not carry a policy I was considered a "new" driver, regardless if i already had a license. I distinctly remember my car payment was $172.85 per month. the insurance was $225 per month. If I had carried insurance during that time insurance would have been less than $100 per month. it sounds like a scam but the entire insurance idea is a scam. ou pay for not using a service then if you have to use it they charge you more. Quote Link to comment Share on other sites More sharing options...
skonopa Posted February 18, 2004 Share Posted February 18, 2004 ---------------- On 2/18/2004 5:31:52 PM Bruinsrme wrote: it sounds like a scam but the entire insurance idea is a scam. ou pay for not using a service then if you have to use it they charge you more. ---------------- Boy, does that sound like a racket! Geez, if it was the Mafia running it, at least we can call it a protection racket. Yep, Insurance can be a like a condom - it is supposed to protect you while you are getting F**ked. Geez, "non-oweners" policy - just sound like a way to keep getting revenue out of you. Either pay a little now, or pay more later. There is one question that needs to be asked, 'Synthfreak' If you knew for a fact that you will "never" need to get another car for yourself, it may be worth looking into dropping your insurance and riding on your GF's policy. Tough call, though. May just have to suck it up and get that so-called "non-owner's" policy. Got me thinking - I ought to call the Virginia insurance commission and ask the same thing and see what answer I get. Quote Link to comment Share on other sites More sharing options...
cluless Posted February 18, 2004 Share Posted February 18, 2004 Yeah, Suck it up is what you have to do. Face it, they have you by the short hairs. When I was in this position I was going on an extended business trip (1-3years) with furnished car and insurance... On the up side (very small up) a non-owners policy will give you liability insurance on anyone's vehicle that you may have to beg/borrow/steal.... Without this, should you have borrow a car to take Auntie Em to the emergency room because she choked on a munchkin (the Dunkin donuts variety of course!) you could end up a permanent financial fiasco. If there is even the remote possibility that you will get behind the wheel of a car, then you have to have this. Otherwise, you end up in the "un-insured/under-insured" bucket, which is not a place to be. BTW, Insurance companies consider EVERY eligible driver in a household as an actuarial risk even if they are not listed on a policy. So you may need to check out the effects on the g/friends policy. Quote Link to comment Share on other sites More sharing options...
JohnA Posted February 18, 2004 Share Posted February 18, 2004 In Tennessee, the car is insured, not the driver. I'll bet it is that way in Tejas. Joe's car has liability, etc. covering you if he loans you the car. You need a new insurance company! Drop coverage, don't buy any if you don't have a car. When you buy a car, get insurance. You CANNOT come out paying $50/mo. for nothing. You also cannot have a lapse in coverage when you had nothing to cover! When you buy another car and IF they ask who is your insurance, say "you" or give your GF's company, since it was covering you when you drove. All of what you were told may be legal. (It's legal to shoot people under the right circumstances!) But if you are indead in the best (lowest) insurance category, you rates will not skyrocket. O.K., let's say they do, but you have a good record. Pay the first month and drop them like State Farm customer and go with another company, you'd have current insurance, right? illegitimi non carborundum. (pig latin) Quote Link to comment Share on other sites More sharing options...
mike stehr Posted February 19, 2004 Share Posted February 19, 2004 Rats! Quote Link to comment Share on other sites More sharing options...
mike stehr Posted February 19, 2004 Share Posted February 19, 2004 ? Quote Link to comment Share on other sites More sharing options...
BBB Posted February 19, 2004 Share Posted February 19, 2004 A friendly, rear-view mirror, car insurance payment reminder. Quote Link to comment Share on other sites More sharing options...
michael hurd Posted February 19, 2004 Share Posted February 19, 2004 They do not require that you insure a car specifically. Same thing here in canada, but I'll tell you what to do. Obtain a vin number from a motorcycle - even if it is in the wrecking yard, and pay insurance on it ( storage ). That way you are coverered, as you are a " policy holder ". Up here after 6 months with no insurance policy, you end up paying what a new driver does, regardless if you have driven for 40 years. They don't care if you have or not, they get to bend you over. Quote Link to comment Share on other sites More sharing options...
boomac Posted February 19, 2004 Share Posted February 19, 2004 I agree with John Albright. You should also call your state representative and growl about the "Office of the Commissioner of Insurance". Call the Gov's as well. Quote Link to comment Share on other sites More sharing options...
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