Scammed by insurance..

[James331]

Well, maybe not a full blown scam, but...

I got insurance for my fiancé's car about 5 months ago, 450bucks worth. Told the insurance guy on the phone that normally I'd just get liability but since we live way up north I was concerned with the conditions, animals etc.

We end up the liability and comprehensive coverage.

Few days ago fiancé is driving down a road, with me catching some Zs in the back, when I wake up to the car sliding, car ends up grazing a guard rail and going into a snow bank, couple flats and light body work needed on one side, luckily we were all fine. I step out of the car, and nearly fall on my butt, the entire road looks fine, but is covered in black ice, and I mean a good stretch of road right in one area.

I call Gieco and they won't cover it.... Apparently I should have been sold collision, turns out comprehensive covers little to nothing aside from theft and glass (which are not even factors up here).

Guess I get to spend more money, buyer beware.

 

[denverpilot]

This has been the difference between collision and comprehensive since I was too young to drive. Sorry you got caught by it, but it's nothing new.

When you started talking about critters I thought you were going to rant about the relatively new changes where most collision won't cover roadkill. That's becoming popular with the insurers now.

 

[txflyer]

Yeah, I think comp only covers everything EXCEPT an accident. Theft, fire, vandalism, etc ... but not a collision.

 

[frfly172]

Fire ,theft ,and collision for full coverage.

 

[denverpilot]

Comp and Collision also typically don't cover glass damage anymore.

 

[sourdough44]

Take some of that insurance premium $$$ and buy a set of Blizzacks.

 

[Getonit]

Push it off the side of the road and report it stolen........kidding people.

 

[asechrest]

The thread title should probably say "bought the wrong insurance". Ten seconds of research would reveal this to you. Few people do it, but you need to read your policy.

[EDIT] - An incident hitting an animal would typically be covered under Comprehensive. But most other collision losses are covered under Collision. Perhaps this is where you went wrong?

 

[asechrest]

Comp and Collision also typically don't cover glass damage anymore.

If that's the case, it doesn't hold true everywhere. Glass is still covered on the Florida policies I'm familiar with. And a windshield claim is a no-deductible loss as long as you have Comprehensive Coverage.

 

[WingNut42]

Take some of that insurance premium $$$ and buy a set of Blizzacks.

+1, I actually have Winterforce's but same difference, I have them on my Focus and love them.

Flip side is, on black ice, it may still not have made a difference.

 

[James331]

The thread title should probably say "bought the wrong insurance". Ten seconds of research would reveal this to you. Few people do it, but you need to read your policy.

[EDIT] - An incident hitting an animal would typically be covered under Comprehensive. But most other collision losses are covered under Collision. Perhaps this is where you went wrong?

What really ticks me off is they didn't know what they were selling when I was looking for coverage and sold me something that's useless, even after I explained my needs.

But when it comes time to pay out, they are experts

Switching insurance companies and buying some Nokian Hakkapeliittas.

 

[denverpilot]

What really ticks me off is they didn't know what they were selling when I was looking for coverage and sold me something that's useless, even after I explained my needs.



But when it comes time to pay out, they are experts



Switching insurance companies and buying some Nokian Hakkapeliittas.

Or they did know and screwed you. Too bad you don't have a recording of the conversation.

You've adequately described why all communication about changing my insurance is in writing even if it's email. Insurance regulators would have a field day if you described your needs in writing and they sold you something else. Via voice? No way to prove it.

 

[ChrisK]

I do feel bad for you. I had a $3500 cost and $7000 property loss on my house a few years ago because I didn't have $50/yr worth of sewer backup insurance. We had another loss this year due to a burst pipe that WAS covered.

It is important to have a conversation with your agent about losses that are NOT covered. I encourage everyone reading this to have that conversation with their provider asap =)

And like Nate said - email your provider back and recount any verbal conversations you have. Give them a chance to object to your understanding in writing.

 

[FORANE]

Be glad you don't have to insure commercial property. I had insurance on one of my apartment complexes not get renewed (unbeknownst to me) when I refinanced last year. In spite of having taxes and insurance escrowed, somehow no one made sure the insurance policy was renewed at the time of the refinance. So, after going without coverage for the better part of a year I went shopping for insurance. I was getting quotes as high as 5 times what I had been paying or outright refusal to offer coverage. I was told this was because there was no current policy on the property. Now, the policy I have costs thousands more than I had been paying yet the coverage offered isn't worth paying for.

 

[asechrest]

What really ticks me off is they didn't know what they were selling when I was looking for coverage and sold me something that's useless, even after I explained my needs.

But when it comes time to pay out, they are experts

Switching insurance companies and buying some Nokian Hakkapeliittas.

It's not useless. In fact, it addresses one of your stated concerns: an incident with an animal. The difference between Comprehensive and Collision is one of the most rudimentary of understandings of an auto insurance policy. You've got to take ownership of what you're purchasing. Ask questions, get answers in writing. It's like anything else in the world: trust, but verify (in writing).

Also, if you bought online or over the phone, you might consider getting a real agent. Find a local independent agency, sit in front of him/her, look them in the eye, and discuss your coverage and needs. At least then you have a better chance of someone whose livelihood depends on good advice and service, instead of licensed Geico employee #4523 at location #22.

 

[83Golf]

Also, if you bought online or over the phone, you might consider getting a real agent. Find a local independent agency, sit in front of him/her, look them in the eye, and discuss your coverage and needs. At least then you have a better chance of someone whose livelihood depends on good advice and service, instead of licensed Geico employee #4523 at location #22.

Yes!!!

 

[Aaronk25]

Deer hits are covered under comprehensive ....stick a couple strands of deer hair in a crack between your mirror and body and the story you tell is.....a deer jumped out, swerved to miss it and grazed it and then hit a snow bank as a result of trying to avoid the deer.

Collision claims raises your rates, comprehensive does not....


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[asechrest]

Deer hits are covered under comprehensive ....stick a couple strands of deer hair in a crack between your mirror and body and the story you tell is.....a deer jumped out, swerved to miss it and grazed it and then hit a snow bank as a result of trying to avoid the deer.

Collision claims raises your rates, comprehensive does not....

Sent from my iPad using Tapatalk

You're suggesting he commit a felony in the first part, and giving bad info in the second part. Well done.

 

[Aaronk25]

You're suggesting he commit a felony in the first part, and giving bad info in the second part. Well done.

Oh come on don't take stuff so seriously. Really you think he can call them back up, he already told him the story.......gullible......


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[asechrest]

Oh come on don't take stuff so seriously. Really you think he can call them back up, he already told him the story.......gullible......


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Ya' needed a wink smiley, then. :wink2: And the second part is not correct. Plenty of companies take comprehensive claims into consideration for rating or tiering.

 

[James331]

Deer hits are covered under comprehensive ....stick a couple strands of deer hair in a crack between your mirror and body and the story you tell is.....a deer jumped out, swerved to miss it and grazed it and then hit a snow bank as a result of trying to avoid the deer.

Collision claims raises your rates, comprehensive does not....


Sent from my iPad using Tapatalk

Funny, I actually compared the black ice to a deer running out.

They told me if I were to have hit a deer than hit a snow bank it would be collision, if I were to swerve to miss a deer and hit a snow bank, collision.

If something fell out of the back of a truck and hit my car, comprehensive.

If something fell out of the back of a truck, touched the ground and it my car, collision.

Basically comp is for suckers, unless you're worried about theft, as almost everything can be somehow considered collision in some way.

And yes I agree about a live agent next time. It's sad that people give crap information like what happened when I bought this worthless policy.

I've had people call the old number for my old flightschool, even though I can't make any money off them and live across the country, I still feel obliged to offer sound advice, recommend good products/local services, and have no issue spending 20min on the phone even though I can't make a cent off it.

Times are not what they used to be. Seems like you have to become a full expert on everything now, as all the people in different industries are ether;

1 trying to screw you over to make so much as one dollar

2 incompetent, and have not a clue about what they do for a living.

 

[Topper]

Be glad you don't have to insure commercial property. I had insurance on one of my apartment complexes not get renewed (unbeknownst to me) when I refinanced last year. In spite of having taxes and insurance escrowed, somehow no one made sure the insurance policy was renewed at the time of the refinance. So, after going without coverage for the better part of a year I went shopping for insurance. I was getting quotes as high as 5 times what I had been paying or outright refusal to offer coverage. I was told this was because there was no current policy on the property. Now, the policy I have costs thousands more than I had been paying yet the coverage offered isn't worth paying for.

Ouch that hurts, but better than a big loss with no coverage! Assuming you own these in an entity, you might consider adding yourself personally as addition insured. That way you will get a certificate and notice of a loss of coverage. We purchase coverage for all of our properties ourselves and send the bank evidence of insurance to avoid this situation.

Jim

 

[asechrest]

Funny, I actually compared the black ice to a deer running out.

They told me if I were to have hit a deer than hit a snow bank it would be collision, if I were to swerve to miss a deer and hit a snow bank, collision.

If something fell out of the back of a truck and hit my car, comprehensive.

If something fell out of the back of a truck, touched the ground and it my car, collision.

Basically comp is for suckers, unless you're worried about theft, as almost everything can be somehow considered collision in some way.

And yes I agree about a live agent next time. It's sad that people give crap information like what happened when I bought this worthless policy.

I've had people call the old number for my old flightschool, even though I can't make any money off them and live across the country, I still feel obliged to offer sound advice, recommend good products/local services, and have no issue spending 20min on the phone even though I can't make a cent off it.

Times are not what they used to be. Seems like you have to become a full expert on everything now, as all the people in different industries are ether;

1 trying to screw you over to make so much as one dollar

2 incompetent, and have not a clue about what they do for a living.

Here's a sample excerpt from the policy language of a Safeco Personal Auto policy:

B. “Collision” means the upset of your covered
auto or a non-owned auto or its
impact with another vehicle or object.
“Comprehensive” means loss, other than collision,
to your covered auto or a non-owned
auto. Losses caused by the following are not
collision losses but are comprehensive losses:
Loss caused by missiles or falling objects; fire;
theft or larceny; explosion or earthquake; windstorm;
hail, water or flood; malicious mischief or
vandalism; riot or civil commotion; contact with
a bird or animal; or breakage of glass.

If breakage of glass is caused by a collision,
you may elect to have it considered a loss
caused by collision.

As you can see, Comprehensive is far more useful than you're suggesting. In my relatively young life I've had people vandalize my car, had a car blow up and burn next to mine and melt the side of my car, and nearly flooded my car out driving after torrential rain. All are typical Comprehensive losses.

The honest truth is that if you're worried about physical damage losses to your vehicle, you need both Comprehensive and Collision, and you need it from a good company. Any good agent should tell you the same thing.

 

[Jimmy cooper]

Always best to check carefully what's covered and what's not. This goes for your aircraft too. Many " I got a real deal!" Policy's are not what they seem. What you paid seems like bare minimum insurance. What kind of car, what year, driving record? All comes into play.

 

[James331]

Here's a sample excerpt from the policy language of a Safeco Personal Auto policy:



As you can see, Comprehensive is far more useful than you're suggesting. In my relatively young life I've had people vandalize my car, had a car blow up and burn next to mine and melt the side of my car, and nearly flooded my car out driving after torrential rain. All are typical Comprehensive losses.

The honest truth is that if you're worried about physical damage losses to your vehicle, you need both Comprehensive and Collision, and you need it from a good company. Any good agent should tell you the same thing.

In the north, we don't have many cars blowing up, stolen of earth quakes. Selling just liability and comprehensive to a customer up here is a disservice to say the least.

It's my fault for now reading up so I could see the scam, its still sad that these salesmen don't really care to sell you the product you need, or educating you a little on what you're buying, "shoulda read the fine print sucka!"

 

[RJM62]

If Geico were the only insurance company left in the business, I'd sell my car and buy a horse. Seriously. I'd tell you why I hate them, but I'm in the middle of a legal case against the company (which I guess also tells you why I hate them, when you think about it).

My suggestions to anyone who asks me about car insurance are, firstly, avoid Geico at all cost; secondly, consider an independent agent who's really an independent agent (that is, they deal with multiple companies); and thirdly, ask around at local collision shops to find out who they think are the best and worst companies. If anyone knows, they do.

The answer to that question varies from place to place, by the way. Some companies are good in some places and not so good in others. A lot has to do with the caliber of the adjusters in a particular area. That's why I say ask the collision guys. They deal with the companies and their adjusters all the time.

As an aside, in my neck of the woods, the collision guys' favorites are USAA, Erie, Liberty Mutual, and Amica Mutual. State Farm and Farmers also get honorable mention. As for Geico, the collision guys curse and spit on the ground when the company's name is mentioned. Progressive isn't much better: They just get the curse without the spit.

Rich

 

[JB1842]

Geico and Progressive are the 2 worst insurance companies out there. The wife works in insurance and hates dealing with them.

 

[denverpilot]

Basically comp is for suckers, unless you're worried about theft, as almost everything can be somehow considered collision in some way.

Depends on whether you live somewhere golf ball sized chunks of ice fall out of the sky every summer. Ours just paid out $5000 to repair Karen's truck.

Prior to that it paid out $2500 when I accidentally launched a rock through the power rear slider window with the riding lawn mower.

The total annual bill for four trucks and a van is $1200.

I'll take $7500 in repairs for $240 in one year's premiums, any day. Heck I'm now ahead for 25 years without another claim on that truck.

 

[Cpt_Kirk]

Times are not what they used to be. Seems like you have to become a full expert on everything now, as all the people in different industries are ether;

1 trying to screw you over to make so much as one dollar

2 incompetent, and have not a clue about what they do for a living.

I thought this was obvious.

 

[ElPaso Pilot]

In the north, we don't have many cars blowing up, stolen of earth quakes. Selling just liability and comprehensive to a customer up here is a disservice to say the least.

It's my fault for now reading up so I could see the scam, its still sad that these salesmen don't really care to sell you the product you need, or educating you a little on what you're buying, "shoulda read the fine print sucka!"

James, I'd love to give you sympathy, but I really think you're blaming the wrong party. I have no love for insurance companies, but this is pretty basic stuff.

And I do have only liability and comprehensive on most of my vehicles, as do many folks.

Ya' gotta read your policy, and understand that verbal discussions regarding business transactions are wide open to misinterpretation and confusion. Claiming you've been scammed is a bit extreme.

I'd be pretty sure that any insurance agent would have been happy to sell you more insurance if you had used the right verbiage. Just google comprehensive insurance, most companies have significant detail on the limitations.

This is a live and learn lesson, and it could have been much more expensive.

 

[Everskyward]

Depends on whether you live somewhere golf ball sized chunks of ice fall out of the sky every summer. Ours just paid out $5000 to repair Karen's truck.

Prior to that it paid out $2500 when I accidentally launched a rock through the power rear slider window with the riding lawn mower.

The total annual bill for four trucks and a van is $1200.

I'll take $7500 in repairs for $240 in one year's premiums, any day. Heck I'm now ahead for 25 years without another claim on that truck.

I had a $13,000 hail damage repair on the Forester. If it had been older I'm sure it would have been totaled like some of the other cars parked nearby.

 

[RJM62]

Part of the problem is the terminology. To most people, "comprehensive" means complete, full, all-inclusive, or exhaustive. The only place it doesn't mean that is with regard to car insurance.

One thing I will say about my own case: My legal adventure with Geico began with their denying that I had comprehensive, which was untrue. I'd paid for it, it was on the dec page, and it even showed up on my account page on their own Web site; but they refused to acknowledge I had it. It took about a week of persistence on my part before they even acknowledged that I had the coverage.

So if I were OP, I'd take a look at the documents. It wouldn't surprise me in the least if Geico uses the ruse of denying that an insured has the coverage he or she paid for to avoid paying claims. Actually, they're a big enough bunch of dirtbags that nothing would surprise me; but as I experienced that particular ruse first-hand, maybe it's become part of their standard arsenal of bull**** to avoid paying claims.

I'm back with USAA now, and I expect I will be for the rest of my life.

Rich

 

[Henning]

Well, maybe not a full blown scam, but...

I got insurance for my fiancé's car about 5 months ago, 450bucks worth. Told the insurance guy on the phone that normally I'd just get liability but since we live way up north I was concerned with the conditions, animals etc.

We end up the liability and comprehensive coverage.

Few days ago fiancé is driving down a road, with me catching some Zs in the back, when I wake up to the car sliding, car ends up grazing a guard rail and going into a snow bank, couple flats and light body work needed on one side, luckily we were all fine. I step out of the car, and nearly fall on my butt, the entire road looks fine, but is covered in black ice, and I mean a good stretch of road right in one area.

I call Gieco and they won't cover it.... Apparently I should have been sold collision, turns out comprehensive covers little to nothing aside from theft and glass (which are not even factors up here).

Guess I get to spend more money, buyer beware.

Do you have your policy in hand? You did NOT have a COLLISION! You had an ALLISON. You don't collide with a stationary fixture. I would be reading the policy closely. Something does not sound right about your phone call. Who sold the policy, Gieco direct or an agent? If you did not specifically decline the collision coverage and get denied you may have an actionable event. If they are hard assed, mention the words "Bad Faith".

 

[RJM62]

Do you have your policy in hand? You did NOT have a COLLISION! You had an ALLISON. You don't collide with a stationary fixture. I would be reading the policy closely, something does not sound right about your phone call.

Hmmm... interesting. Certainly it would be true in maritime law.

Rich

 

[Henning]

Part of the problem is the terminology. To most people, "comprehensive" means complete, full, all-inclusive, or exhaustive. The only place it doesn't mean that is with regard to car insurance.

One thing I will say about my own case: My legal adventure with Geico began with their denying that I had comprehensive, which was untrue. I'd paid for it, it was on the dec page, and it even showed up on my account page on their own Web site; but they refused to acknowledge I had it. It took about a week of persistence on my part before they even acknowledged that I had the coverage.

So if I were OP, I'd take a look at the documents. It wouldn't surprise me in the least if Geico uses the ruse of denying that an insured has the coverage he or she paid for to avoid paying claims. Actually, they're a big enough bunch of dirtbags that nothing would surprise me; but as I experienced that particular ruse first-hand, maybe it's become part of their standard arsenal of bull**** to avoid paying claims.

I'm back with USAA now, and I expect I will be for the rest of my life.

Rich

That is a wholly stupid position for an insurance company to take given the propensity of juries to give very large punis on Bad Faith claims, and if this is systemic in their operations, it could be enough to ruin them if they get fully called out.

I have never seen comprehensive coverage sold without collision.

 

[1600vw]

I was laid up with a broken neck when I let my son use my truck. He ended up rapping it around a tree. I was so sick it was a month before I contacted Geico. They covered everything. The truck was a loss. I received a check. Never had a problem with Geico myself.

 

[jsstevens]

If that's the case, it doesn't hold true everywhere. Glass is still covered on the Florida policies I'm familiar with. And a windshield claim is a no-deductible loss as long as you have Comprehensive Coverage.

I'm pretty sure the windshield coverage is required by Florida law. I've had three replaced over the years. One which I cracked pulling and extension cord off the roof. The plug end flopped onto our van's windshield and it cracked. I was embarrassed but the insurance covered it.

John

 

[paflyer]

Geico and Progressive are the 2 worst insurance companies out there. The wife works in insurance and hates dealing with them.

Which two national insurance companies spend a gazillion bucks each year for saturation advertising, all along claiming the lowest premiums? How can they do that? Isn't it obvious?

 

[asechrest]

Do you have your policy in hand? You did NOT have a COLLISION! You had an ALLISON. You don't collide with a stationary fixture. I would be reading the policy closely. Something does not sound right about your phone call. Who sold the policy, Gieco direct or an agent? If you did not specifically decline the collision coverage and get denied you may have an actionable event. If they are hard assed, mention the words "Bad Faith".

No such thing as an allision in any auto policy I've read (limited to Florida). As described, the OP had a collision, and he can consult the policy for confirmation.

Also, where's the bad faith? At most there's an Errors and Omissions claim against Geico's E&O carrier.​

 

[asechrest]

I'm pretty sure the windshield coverage is required by Florida law. I've had three replaced over the years. One which I cracked pulling and extension cord off the roof. The plug end flopped onto our van's windshield and it cracked. I was embarrassed but the insurance covered it.

John

If you have Comprehensive coverage, Florida Statute requires the insurance company cover the windshield as a no-deductible loss. Important notes: it only applies if you have Comprehensive Coverage (if not, SOL), and it only applies to windshields.

[EDIT] - Statute here.