by D Williams » Wed Oct 29, 2008 11:46 pm
I purchased a second vehicle and thought I had a grace period to add to my insurance. In the meantime, my son had possession of the vehicle, loaned it to someone else and it was totalled. My insurance company won't cover. Who do I go after to hopefully pay for this vehicle.
Posted: Wed Oct 29, 2008 11:51 pm Post Subject:
Wow I am really sorry this happened. I am not sure whether it would fall on your son or the person he let drive it. I imagine the person who was driving especially if they were driving recklessly. Someone will be along to help you alot better than I. Hang in there.
Posted: Thu Oct 30, 2008 12:32 am Post Subject:
There is a "certain" amount of time you have to add a car to your insurance. Usually the next time the office is open. Of course, if there was no accident and you took 3 weeks to call your agent, then there wouldn't be a problem. But since you didn't call and there was an accident, that gives the insurance company an "out" to deny the claim.
I assume the person who was driving the car when the accident happened was uninsured?
Posted: Thu Oct 30, 2008 12:50 am Post Subject:
I thought they ghad a certain amount of time but I thought it was only when transferring plates from one vehicle to another...In other words if you bought a new car and was putting the plates from your older one on it. How would the insurance company be responsible if you bought a car on Sat and wrecked on Sunday...if it hadn't any coverage and you had not added it yet?
Posted: Thu Oct 30, 2008 12:58 am Post Subject:
This may be a company or state thing...the company I'm with IF all of your vehicles are insured with them you have 30 days to add a 'newly acquired vehicle'...now, what EXACTLY happened in this accident? When did you buy it, and when did the accident occur? How long have you had your other vehicle insured with your carrier? Does the driver of the vehicle have another vehicle that has coverage? Are there any other vehicles involved? Was the driver a minor? Were there any passengers that were injured?
We need a lot more information to attempt to help you with this.
Posted: Thu Oct 30, 2008 12:59 am Post Subject:
That is when most companies will give a small grace period. I had that happen with a boat claim. He bought another boat on Saturday, took it out Sunday morning.
Sunday afternoon it sunk.
We covered it.
Posted: Thu Oct 30, 2008 01:04 am Post Subject:
Lori...30 days...isn't that a bit much? I mean surley a person could let thier insurance company know way before then....Its like free insurance for 30 days...I could not take that chance...sometimes I think I worry too much.
Posted: Thu Oct 30, 2008 01:06 am Post Subject:
Lori...30 days...isn't that a bit much? I mean surley a person could let thier insurance company know way before then....Its like free insurance for 30 days...I could not take that chance...sometimes I think I worry too much.
Yep, and you can bet I call them and add the addition on the 29th day... :wink:Posted: Thu Oct 30, 2008 01:09 am Post Subject:
Guess it would be a real money saver...waiting that is...
Posted: Thu Oct 30, 2008 03:41 am Post Subject:
Lori is correct for the sake of collision coverage on a vehicle but some policies might say it needs to be a replacement vehicle, not an additional vehicle (I think they might all be this way actually). I don't have a personal lines policy here in front of me to read the Newly Acquired Vehicle section.
Liability insurance will continue on forever, even if the insured never notifies the carrier of the new vehicle but again, this might only apply if it's a replacement vehicle (as liability exposure is the same no matter what kind of vehicle the insured owns).
My guess is that the OP might not even own a vehicle with collision coverage... so the newly acquired vehicle certainly would not have collision coverage.
In the meantime, my son had possession of the vehicle, loaned it to someone else and it was totalled.
This is a whole other issue...You could always try to go after the person that damaged your property. But you'd have to get around the driver being considered an insured under your policy. If he was, your liability insurance may be primary and an insured under your policy cannot be liable to you. You could raise the argument that _you_ never gave permission for that person to use the car, you only gave your son permission to use it. And your son never had your authority to grant someone else permission to use the vehicle. As such, the driver would not be considered an insured under your policy. So if he is covered under another policy, that policy may be able to provide collision or even liability coverage for the damage to your vehicle (I'd venture to say it would be collision).
Here is the kicker... most adjuster's won't be able to figure this out that this can very well be a valid argument. So they may just dismiss it thinking you don't know what your talking about and the argument is absurd. You may need to push that to a manager at the drivers insurance company.
You can start by making a demand of the driver. He was using _your_ property and he should be able to expect the property to be returned in reasonable condition. It was not. So you have a valid right of recovery against this person.... that is, it's "legally liable" for the damage to your vehicle. Being legally liable is a trigger under the liability portion of an auto policy. That is why the driver needs to not be considered an insured under your policy. That way his own policy can then be considered.
Trust me... I'm not kidding when I say most adjusters will not understand this and just try to shut you down. But it's a valid situation that the insurance company should take seriously. You may need to point out to the other party and his insurance company, that you intend to file suit against him for the reason mentioned above. If the other carrier does not offer him a defense, point out to them that you think he would then have a good Bad Faith claim against them. Mentioning Bad Faith to an insurance company really lights a fire under their butts.
If that works, someone needs to buy me a soda.
Posted: Thu Oct 30, 2008 09:43 am Post Subject:
but some policies might say it needs to be a replacement vehicle, not an additional vehicle (I think they might all be this way actually). I don't have a personal lines policy here in front of me to read the Newly Acquired Vehicle section.
Some might Todd, mine says 30 days for both.. Actually the headings are, ''30day temporary ins on replacment autos, and 30 day temp ins on additional autos" again, this might be a state thing, and a company thing...the additional I know you have to have all vehicles owned by you ins with this company...and only the coverages you have in place transfer...Liability insurance will continue on forever, even if the insured never notifies the carrier of the new vehicle but again, this might only apply if it's a replacement vehicle (as liability exposure is the same no matter what kind of vehicle the insured owns).
I don't know about that T, the policy I'm looking at says(re:replacement autos)..."This coverage (30days) expires at the earlier of:
Course I've handled these claims, and there is nothing (coverage wise) if it goes past that 30 days..on either.1/ 12:01 am on the 31st day after you acquire ownership or the auto or
2/ the date this policy lapses.
To obtain this temp cov you must notify us while this policy is in force and within 30days after the date you acquire ownership. If you want coverage from us on the replacment past the 30 day period you must submit a new application. If the policy did not have coll/comp it will provide that coverage for the replacement auto from the date it is delivered to you until 12:01 am on the sixth day after delivery a 500 deductible applies to such coverages. This coverage ends if the policy laspes.
My guess is that the OP might not even own a vehicle with collision coverage... so the newly acquired vehicle certainly would not have collision coverage.
Sorry T but again in this case (with the company I have policys with) the coverage including coll/comp if I have them on my existing vehicle will cover the repl.or newly aquired...if I don't then I get coll/comp for six days.Add your comment