Did my case manager give me good advice?

Question

She told me I should cancel my car insurance since the car isn't running, but the insurance company is telling me that if I cancel it, I'd have to turn back in the license plates & that it would cost more to get insurance turned back on. Do you think the insurance lady just wants more money?

Now I'm stuck because I'm being told 2 different things that sound right, but if I don't listen to my case manager, she'll call me irresponsible.

Answer 1

U need to abide by your state law. Talk to the DMV, and ignore your case manager. Your insurance company is right.

Answer 2

I am afraid it all depends upon the state. You can call back the insurance agent and ask her what you can do "by law." She will know that.

It has not been my experience that insurance agents give wrong information just to get more money. The ones I have dealt with have all been honest.

Your case manager may be right that it would save you money now by cancelling the insurance but if it would cost more to get it back on the vehicle later then she is giving you bad advice.

The first thing you need to do is find out if it is legal in your area to own a car without insurance even if you are not driving it. If it is, then I would not pay any more insurance on the car. So what if it costs a little more for the initial start up of the insurance; you will be making more money by not paying now since you are not using it.

A good general rule for me has been: I do not pay for anything I am not using. That has helped me make many decisions.

Good luck to you.

Answer 3

The license plates do not have anything to do with insurance at least not in NJ.. The division of motor vehicles takes care of registration (plates), and the insurance company merely takes care of insuring the vehicle. Watch though, because in some states (I know in NJ this is true) you can not have a vehicle parked on the street if it is not insured. I would cancel the insurance if there is no way to fix the car or you don't know when you can get the car fixed or if you know that it will take you a very long time to be able to get the car fixed. And she may be right about it costing more to get the insurance policy reinstated... But then you could always shop around for a cheaper insurance company (I use progressive.. Cheapest I've found and extremely friendly, helpful and convenient). Hope this helps.

Answer 4

In the world of car insurance you are the customer and they are there to serve you. They need your business to stay in business. Never worry about what they think :) They are there to help you.

Here is what she was saying to you.

If you cancel your insurance and turn your tags in then you are ceasing coverage of any vehicles. Insurance companies rate your risk level using certain guidelines: age, driving record, marital status, credit reporting, etc.

One of the things that flags you as a lower risk is by maintaining an auto policy consistently with no lapse in coverage. When you go to reapply for insurance the fact that your car was uninsured for a period of time will effect your rate, but not all that much. If you look at the money you save while it is off the road then you might even break even.

There are tons of insurance companies out there. Call around, get advice and get other rates. They all want your business and if you get them to compete for you, you will come out on top almost all the time.

Answer 5

All I can suggest is be compassionate, but don't let your client's walk all over you. Go into every situation with your eyes open. Most agencies don't give training. Most agencies are so underfunded and overworked that they don't want to take the time to train a person right. Unfortunately for them, by not taking time to train a person right, it will cost a lot more money in the end due to costly errors and oversights. I am not sure what type of case manager you are as there are several types, but I wish you the best because the line of work that you have chosen is not an easy on in any respect.

Answer 6

This would depend on which state you are in and what the requirements of your state are. In Florida, you cannot cancel insurance on a car, working or not, unless you turn in the license plate and show that the car has been junked or sold. If you were keeping the care, it would be virtually impossible for you to cancel insurance without being in violation of the law or selling the car.

Answer 7

They are both right. You can get insurance for a car in storage (even if it is just sitting outside). That way you keep the plates and the insurance is nominal.

Answer 8

Most states let you make your plate "inactive" and keep it on the vehicle if it's broken. This allows you to drop the insurance and keep the plate until the vehicle is fixed. Call your satte department of transportation or go to their website and ask about it (before you drop the insurance). Yes, the insurance company will try to get you to keep it on, because they want the money. They also have to refund you back for any insurance you have pre-paid and not used, which they do not like to do.

Answer 9

If you still owe on the car
keep the car insured for thief only
If you do not owe on the car, then you have to decide
As long as you paid for your plate,you do not have to turn it in,
but
YOU CAN NOT DRIVE THE CAR WITHOUT INSURANCE
Always call atleast 3 insurance companies to check for the best rates

Answer 10

Contact your state's department of motor vehicles. In most states auto insurance is mandatory when you have a licensed vehicle. If the car does not work, why not sell it to a scrap yard? You can sign the title over to the scrap dealer, return your plate, apply for an insurance refund, apply for a refund on the registration.