Question:

CAR INSURANCE !Please HELP !?

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I need to know how much it would be to cancel my Farmers car insurance ? I had just bought a new car and the dealership told me I was covered under my mom's insurance. I also paid for GAP insurance as well. 2 weeks later, I was in a pile up on a highway involving 3 cars, I was the second car and I was found at fault. Come to find out, I was not covered under my moms and had no insurance. After the wreck, I bought Farmers. The total cost to fix my car is about $5,000 and they sent my about $400. The place where I bought my car is refusing to pay anything even though they told me I was covered. My insurance agent even had to tell them over the phone that I was not covered, they didn't see why not. Now I am stuck with a $500 car payment each month and a $200 insurance bill. I can't save up any money to get my car fixed since 90% of my checks go into gas for my old Astro van that I have to drive and my bills. My car won't run so it is just sitting there. Please help ! How much would it be?

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6 ANSWERS


  1. It doesn't cost you anything to cancel an insurance policy and why would the dealership know if you were covered?  Their not liable as it's your responsibility to know your coverages.  

    Normal policies allow you to add a vehicle within 30 days of sale.  As soon as you bought the vehicle you needed to contact them a give the new car information.


  2. You're not going to like this but.......the responsibility to make sure the car is insured is yours. Not the salesman's.  You don't take medical advice from a lawyer and you don't take insurance advice from a car salesman.

    And..... a wrecked car that you owe payments on....is the least of your problems.

    You were put at fault for the accident. That means, the other drivers insurance companies will pay for their damage/injuries under their policies and come back after you for repayment. The good news is, they will set up interest free payment plans. As long as you make the payments on time every month - you won't have any trouble. However, you stop making the payments - they will have your drivers license suspended, sue you...etc.

  3. if the dealership gave you false information about insurance then you may have a case for the small claims court.

    if i was you i would consult a lawyer on this matter not yahoo answers.

  4. Answer from a General Insurance Agent

    Your question states that your mom had insurance, not that you had insurance. It may very well be that you were covered under your mom’s insurance policy to drive her vehicles. The problem here is that your mom did not buy a new car, you did.

    If your mom had purchased a new vehicle in "replacement" of an existing vehicle such as a trade in, then Yes, her new vehicle would automatically have been covered under her policy with the same limits as the vehicle being replaced and you as a scheduled driver would also have been covered. If that replaced vehicle had only liability then that liability is what the new replacement car would have, If it had full coverage then that is what would have transferred. We have 30 days to notify our insurer of a vehicle change (replacement vehicle).

    If your mom had purchased an "Additional Vehicle", then it would not have automatically been covered at all. She would first have to add the vehicle to her policy before coverage could begin.

    Unfortunately as you described, it was you, not your mom who purchased a new vehicle and you did not mention any trade-in. Your new vehicle purchase would not automatically be covered under another persons policy even though you may have been a scheduled driver on that persons policy.

    You can cancel your Auto Insurance Policy at any time you choose. Just make sure that whatever you are driving now has the proper insurance coverage to avoid future problems like this.

    With respect to your Car note. Yes you are still liable for the amount you owe on the vehicle.

    With respect to GAP coverage. That was a waste of money. GAP insurance is a scam, its secondary to any existing Auto Insurance Policy. Failure to have Comprehensive Auto Insurance automatically voids any coverage afforded by a GAP policy. They will only pay after your comprehensive coverage pays its maximum limit. Car dealerships make very high commissions on these policies if they convince you to buy it. GAP coverage virtually never actually pays a claim.

    With respect to the dealerships liability. In my state of Texas auto dealerships are required by state law to verify that you have liability insurance before they allow you to leave the car lot with your purchase. The state does not require that they verify your comprehensive or collision coverage. If the dealership fails to take a reasonable effort to verify your liability coverage and an accident occurs, the dealership can be held liable for your damages and injuries to others, the state can revoke the dealers license as well as fine them up to 15000 dollars. You should check your state laws to see if this may be the same or similar in your jurisdiction. Though two weeks later really I don't know if that will do you any good. Without any witnesses, it could be a case of "he said", "she said".

    Car Salesmen are generally not licensed to sell or advise on proper insurance coverage. The dealership can't see why your not covered because they are not trained insurance professionals and have no business offering insurance advice. They are car salesmen and will often say anything to convince you to take delivery of the vehicle.

    Good Luck and best wishes.

  5. It doesn't COST anything to cancel insurance coverage.....What does the following mean?   " they sent my about $400".  ?  Is this a refund of your previous insurance from Farmers or did you try to insure your new car AFTER the accident and when they found out they returned the premium?  Bottom line: Either you were insured or you were not.  It makes no difference what the salesman did or did not tell you.  You are responsible.  If you had insurance on a previous car and that insurance was in effect, most companies will cover the new car for up to 30 days.  However, Your question is too vague to give a decent answer

  6. I have good experience here,if you feel interested.check it out yourself.http://car-insurance.online-tips.info/ca...

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