Getting dropped by your insurance, or in some instances not getting your policy renewed, can be a crushing feeling that leaves you angry and confused. When it happens you’re probably wondering why it happened, but most importantly, you’ll be concerned about what to do next. Although the process is by no means fun, you can breathe somewhat easier because there are options and getting dropped is not the end of the world.
Why Was I Dropped?
There are several reasons why a car insurance company may choose to either not renew or to cancel a policy. Some of the most common reasons are late payment of premiums, non-payment of premiums, some policies have provisions allow for cancellation if you have too many claims in a certain time span, some policies allow for cancellation if you have serious traffic infractions such as driving under the influence (DUI), and occasionally individuals will be dropped if it is discovered that they lied when applying for the insurance. Also, although rare, sometimes business difficulties on the insurer’s side will result in them having to drop customers.
What Do I Do Now?
First and foremost, when you’re dropped the insurance company will send you a letter informing you that this is occurring and you should read this letter in its entirety. If the letter does not explain why you’re being dropped, you should contact someone from the insurance company and find out why and make sure that no mistake has been made. Obviously, if they say they’re dropping you because you haven’t paid your premiums and you have paid every month, then there’s an issue that needs to be sorted out.
If however, there has been no mistake and your policy is being cancelled, you need to begin searching for a new insurance plan since Florida law requires you to have insurance to operate a motor vehicle. Thankfully, Florida law requires that the shortest notice period is 10 days. This means that from the time your insurance company tells you they’re dropping you, you have 10 days before you’re actually dropped.
This also means that if you want to keep driving without interruption, you have 10 days to find a new policy. Chances are if you have been dropped you are now what is called a “high-risk” customer and will likely have to find insurance specially tailored for that. Always make sure to compare as many quotes as you can to make sure you’re getting a fair rate and also contact insurance companies and confirm that you are indeed a “high-risk” customer.
If you believe that you have been unjustly dropped by your insurance company or you have other legal problems with your insurance company, make sure you contact experienced insurance attorneys like the ones at Meldon Law. Contact us today at 800-373-8000 or MeldonLaw.com.
Jeffrey Meldon has written a book “Buying Florida Auto Insurance.” Be sure to read it before you get new insurance! You can download it for free at MeldonLaw.com or call us at (352) 629-5700 and we will send you a free copy!
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Ocala, FL 34471