Making sure you make your monthly car insurance payments
A matter has been brought to us by a broker whose daughter purchased motor insurance on a month by month basis.
It appears she did not use her dad but purchased it through what appears to be an authorised representative of the insurer. I could stand corrected on this as it is only early days.
Anyway, on the day the monthly payment was meant to go through there was insufficient funds. The Insured knew that the money was due and there is proof it went into the account on the correct day and before she received word that the attempt by the Insurer had failed.
She thought nothing off it as she has topped up the bank balance with enough to cover the insurance.
Days later she received a missed call from the AR who did not advise that the insurance was not paid but simply asked her to return her call.
Phone records show she rang back and she too got a voice mail.
Murphy’s Law is alive and well. She was involved in a car accident and her dash cam shows she was not at fault but she now finds herself with no insurance and the third party confirmed to us that they too are not insured.
The question is can we sort this out. We will try our best.
The reason for this post is all about sharing the lesson learned. If you are on a monthly payment plan for any insurance product please, please make sure you have the funds in the account before it is due each month or like this client you may find yourself in a serious financial position for the sake of in her case a few minutes.
No car, no insurance, and yet with a loan on the car to repay. Not a pleasant position to be in.