Reader’s Question:
Is there some kind of a law that when an automobile insurance agent gave you a wrong car insurance quote, can they honor it?
Alfred
Boston MA
Normally, when you get car insurance quote from an automobile insurance agent, and you place an incorrect information on your application, they will correct it and they will tell you will pay nay difference in the premium if necessary. Some insurance company will even cancel the policy. Usually you will be notified about the changes. The notification will show the reason. If you have been notified and you failed to pay the premium amount, your car insurance policy will be canceled.
Some changes that can be made may be:
- An increase in the premium you are charged
- Non-renewal of your policy
- Cancellation of your policy, or,
- A reduction in your policy coverage.
If you do not agree with the decision of the company canceling your policy you you have the right to protest though. However the decisions and guidelines of the company complies with the law.
But if you believe that the automobile insurance agent did something illegal regarding your car insurance contract you can always make a complaint with the insurance regulator in your state.