mortgage insurance - california

[bobpoirier]

My neighbor's mother, who is 73, just posed an interesting situation. Her husband died in 1974. Before he died he told her that if something happened to her their house, in Walnut Creek, California, would be paid for because he was paying extra every month with the mortgage payment. She assumed he meant mortgage insurance.
When the husband died his brother, who was acting as executor, called the mortgage company, Great Western, and was told there was no such insurance. A few years later the woman found the policy and called but was told the statue of limitations has passed and they were not required to pay the policy.
My question is - how do I (as a retired person with time on my hands) help her try and get this resolved.

 

[tudoette]

Try contacting the state insurance commissioners office. You can also go to the library and find out the mailing address of the insurance company. send them a certified return reciept letter, giving them 10 days or so to respond.

 

[zippysgoddess]

You might also have leverage since they lied about it in an obvious attempt to get her to keep paying and not get that policy into effect. If you can have her BIL give a sworn statement to the facts of what they told him, then they clearly tried to commit fraud and she can probably file a lawsuit.