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Insurance Back-Charging??

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S

saint816

Junior Member
What is the name of your state (only U.S. law)? NJ

Hello,
I was involved in an accident (rear ended) a few months ago. I was driving my fathers car at the time and was not on his insurance policy. I have my liscence since 05 and my parents never added me to thier policy. After the insurance found out, we were recieved bills for about 2 months stating that I am now added and the total bills were about $1500.

-Now to the point.
Last week I recieved a rather large letter from the insurance company with a total of 6 bills, ranging from $200 to $550. The sum of these bills are around $2000. And on each bill there is a year. One bill is from 05, another from 06, and so on.
My question is... after paying around 1500 for adding me to the policy ( i guess after paying that additional amout they added me), why is the insurace back charging me from the year I recieved my liscence, from 05-present? Are they legally allowed to do this? And how did they come up with these bills? :confused: I don't completely understand this and they due date for ALL 6 of these bills are in about 3 weeks.

Any, info, explanations, would be appreciated.
-Thank You
 


Zigner

Zigner

Senior Member, Non-Attorney
Those devils! Demand that you be considered as uninsured, that would show them!
(Please note - that was sarcasm)
 
E

ecmst12

Senior Member
You should thank them for only back charging what you should have been paying all along rather then cancelling the policy back to 2005 when the misrepresentation/fraud began.
 
J

JustAPal00

Senior Member
saint816 said:
What is the name of your state (only U.S. law)? NJ

Hello,
I was involved in an accident (rear ended) a few months ago. I was driving my fathers car at the time and was not on his insurance policy. I have my liscence since 05 and my parents never added me to thier policy. After the insurance found out, we were recieved bills for about 2 months stating that I am now added and the total bills were about $1500.

-Now to the point.
Last week I recieved a rather large letter from the insurance company with a total of 6 bills, ranging from $200 to $550. The sum of these bills are around $2000. And on each bill there is a year. One bill is from 05, another from 06, and so on.
My question is... after paying around 1500 for adding me to the policy ( i guess after paying that additional amout they added me), why is the insurace back charging me from the year I recieved my liscence, from 05-present? Are they legally allowed to do this? And how did they come up with these bills? :confused: I don't completely understand this and they due date for ALL 6 of these bills are in about 3 weeks.

Any, info, explanations, would be appreciated.
-Thank You
Click to expand...
You wanted an explanation.

If you were living at home and a licensed driver, then your parents committed insurance fraud. They were required to report you to their insurance company in 05. Your parents should have been paying this additional ammount all this time. The indurance company is treating it as an error rather than fraud. They are allowing you to make up the difference rather than cancel your parents.

The way they came up with the ammount was to plug your information into their computer and calculate what they would have charged your parents had they known you were living at home.
 
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