My yearly insurance policy statement states that I took out a premium loan. I have no knowledge of either asking for the loan, or recieving the money. I asked for an explanation and wasn't given one. I asked for a list of transactions for the last few years and they sent me information going back only 2 years. The 'loan' was taken out earlier than this, so I still have no explanation. I'm on a disability pension and can't afford to pay the loan off. What are my rights? Do you have an explanation?
2006-09-17 05:39:38 · 4 answers · asked by Anonymous in Cars & Transportation ➔ Insurance & Registration
There is a possibility that you did not pay your premium at one time, so the company paid it and recorded it as a loan against your policy. However, even in that case, it does not take away your rights. You have the right to know what they are alleging. If the insurance company is not cooperating with you, contact the insurance department or regulatory agency in your state. They will get them to comply very fast!
2006-09-17 05:44:10 · answer #1 · answered by brucenjacobs 4 · 0⤊ 0⤋
Some people can't get insurance in the regular market, and have to get an assigned risk policy. When that happens, the entire premium has to be paid up front. Even though you only make payments in increments, there is a finance company that pays the premium, then you have to make the payment. That may be what happened here. It could also be that this is how the company chose to get your premium paid. I bet if you look through the paperwork you signed you'll find that the policy was financed for up front payment.
Since that is basically a loan, you have to pay it. If you're not satisfied with the explanation you got, call back and ask for them to go over it in detail with you. That's the best guess I have.
2006-09-17 16:41:24 · answer #2 · answered by Chris 5 · 0⤊ 0⤋
Never pay back $ that you are unaware of borrowing in the first place. Tell them you need proof that shows your signature on it, if they can't or won't provide it, ignore them. If they end up taking you to court, they'll have to have that proof to make a case against you. If they are sending you mail, send it back, if they are calling you, hang up, or learn their phone # and don't answer.
2006-09-17 13:34:31 · answer #3 · answered by Anonymous · 0⤊ 0⤋
ask to see a signature on the actual loan papers and see if it matches yours,,this is one way to find out for sure,,someone may have forged your name and took the loan out,,if so you may actually not have to pay it back,but it may be a hard battle to win,,but i would fight it really hard,if your sure you didn't take it out,,good luck with it,,i Hope this help,s.
2006-09-17 12:50:59 · answer #4 · answered by dodge man 7 · 0⤊ 0⤋
They need to provide you with proof if you ask for it.
2006-09-17 12:44:32 · answer #5 · answered by waplambadoobatawhopbamboo 5 · 0⤊ 0⤋