Refund?

suesarver — Mon, 12 Oct 2009 17:12:31 GMT

I have had insurance on my business with the same provider for 6 years. I recently shopped around to see if there was a better rate available. I found one and made a 25% down payment ($3,000). After speaking with my current provider she was able to lower my rate and I decided to stay with her. I never signed any agreement with the new company, but I did make the payment over the phone. I called to cancel the new policy but the underwriter told me that not only would I not get my money back but I was responsible for the rest of the 75%. My question is: since I did not sign anything am I responsible and am I entitled to my deposit back?

RE: Refund?

Earls brain — Mon, 12 Oct 2009 17:25:17 GMT

I think they're trying to pull a fast one.

Here is a link to the Insurance Regulators in each state. They can probably help:

www.consumeraction.gov/insurance.shtml

RE: Refund?

Millgals — Mon, 12 Oct 2009 21:33:44 GMT

In California, you cannot have 2 policies in force on the same risk...therefore if you send a dec page from your policy that you are keeping with the old agent, showing that your coverage was in force for the time that the new policy went into force, and you ask your new carrier to cancel, they have to cancel it.

RE: Refund?

rave1313 — Wed, 14 Oct 2009 18:55:57 GMT

A lot of insurance policies are 25% minimum earned (check your quote). Which means once you agree to the contract by paying your down payment you are on the hook for the 25% down. Most likely your policy was a non admitted carrier in your state so they are not subject to laws of your state.

I think you are out of the money, maybe you can cancel your current policy with your broker flat and go back to the one you have already paid money on.