Oh, the problems of not opening one's mail - auto insurance edition
July 25, 2014 10:30 PM Subscribe
We've been paying insurance for a car we traded in to a dealer three years ago. At the time, the dealer gave us the plates for our new car and contacted our insurance agent for us. How do we get this refund?
posted by heigh-hothederryo to Work & Money (7 answers total) 1 user marked this as a favorite
Massachusetts, with an insurance agent. Auto insurance is deducted via automatic withdrawal.
We traded in a financed car to a dealer for a new lease in 2011, and then traded in that 2011 lease for a new lease a few months ago. Fortuitously, I actually opened the mail from the insurance company to gloat over how much money we'd be saving. As I read through the binder, I reviewed what I thought was our history of cars insured, and then thought it odd that one was missing. It then dawned on me that the 4 cars listed were not historical, but currently insured. We only possess 2 - one financed and one insured.
I called our insurance agent to ask him to remove the leased vehicle we had just traded in to a dealer - only 2 months or so of unneeded insurance. I also asked him to help us sort out the 3 years (!) of insurance payments on financed vehicle we traded in to a dealer in 2011. I figure it's about $3k of payments to the insurance company after the trade.
We faxed the 2011 MA RMV plate cancellation receipt to our agent after a conversation, and haven't heard anything back yet - it's been about a week. I have no idea if we ever actually told the agent at the time to remove said car from our insurance. And as I mentioned, being an idjit, anytime I looked at our binder in the intervening years, I assumed I was looking at a historical car list.
Question being: Will we have to fight for a refund of insurance payments made for a car we no longer possessed and could not have been a liability to our insurance company? Will our local insurance agent have to bear the brunt of this? Is it too early to lawyer up?