Auto Insurance Basics -Continued…

By Hector Magnus | Auto Insurance

May 03

#3 In a (5) Part Series, “Auto Insurance Basics”

  • Can Auto Insurance Companies Drop You?

    • Auto coverage is an contractual obligation, and just like many contractual obligations, it can be voided or vacated by either party. You can drop the agreement by switching to a different provider. However, the following are conditions whereby an insurer can discontinue you:
      • If you do not pay your premiums
      • If you present deceitful facts on your application for insurance protection
      • If your license is suspended or revoked for any reason, for instance, excessive collisions, or operating drunk
    • Several states permit companies to decline protection for other reasons; to learn about the laws in your state, contact your agent or use our quote request link to talk to several agents.
  • Can Auto Insurance Companies Turn down Claims?

    • There are a few main reasons that your claim might be rejected, including, but not limited to the following:
      • Submitting a deceitful claim overestimating or contriving an incident or loss.
      • Filing a claim under protection that doesn't exist.
      • Filing a claim for a loss that is not covered in your plan – for instance, if you go through an accident while using your car as a company vehicle.
      • Making improvements to your automobile, like giving it an expensive wheels, without alerting your provider. The provider may refuse the claim or cover you based on the original worth of the car or truck.
      • If you miss a premium payment, you may have your coverage suspended until you catch up your payments; if you file a claim while your insurance is suspended it will be denied.
    • Some states enable insurance companies to refuse claims for other causes, so it is a smart idea to comprehend the minutiae in your plan.
  • Does Auto Insurance Include Rental Cars?

    • You will have to confirm your individual coverage, but a lot of policies do deliver some coverage for a rental car that you possess for your personal car, except if the rental is being used for business functions. It's always a smart idea to evaluate your coverage.
  • Does Auto Insurance Include Theft?

    • If your car is taken, a variety of things must occur for you to be paid for your loss. To begin with, you will need to record a police report and wait while there is an effort at retrieval. If your car is not found, you might register a claim with your insurance provider if you have comprehensive coverage.
    • As a result of the risk insurance companies encounter with deceitful claims, you will need to complete some documents to submit your claim. But providing you have paperwork for the stolen vehicle, your insurance coverage will indemnify you for the valuation of the car up to the cap of your comprehensive coverage.