by sandbaggerjr » Tue Nov 23, 2010 02:26 pm
My wife and I recently switched from Nationwide insurance to State Farm for a much better rate on our automobiles and homeowner's insurance. All policies were in force and current when we made the transfer. Now Nationwide is billing us for the balance of the 2 or 3 months that we would have been with them during this 6 month period had we not switched. I know some insurance companies will try to do this to their customers (of over 5 years with Nationwide), but it is non-contractual and can be purchased, switched, and cancelled at anytime. I believe there are laws out there protecting consumers from such fraudulant billing but not sure where to search.
Can you please offer some assistance>? Nationwide is billing us almost $300 for the two trucks and our motorcycle will be next.
Thank you >> Bob
Can you please offer some assistance>? Nationwide is billing us almost $300 for the two trucks and our motorcycle will be next.
Thank you >> Bob
Posted: Wed Nov 24, 2010 07:24 am Post Subject:
You need to read your Nationwide contract to see what it says about mid-term cancellation.
If they are billing you it may be that you simply stopped paying premiums without notifying them that you were departing, (and you thought they would cancel your coverage when the check did not arrive) so they are billing you contractually for unpaid premium to the date of lapse, which for some reason is 2 or 3 months of premium (a bit longer than usual, since a cancellation fee of $300 is a bit steep)
Then again, two policies (one auto/one motorcycle) -- $150 cancellation fee each, or three policies (auto/mc/home) -- $100 each, $300 is possibly a bit high but not necessarily excessive.
Read your contract then return with a question or comment.
Add your comment