my car insurance is lapsed right now. i know when you sign up for insurance they always ask its been lapsed. when i say yes, which i ll tell the truth cuz they ll find out anyways, what will they do? will i be in trouble?
2007-08-20 09:46:56 · 0 answers · asked by j dddddd 3 in Business & Finance ➔ Insurance
As long as your not driving or don't get caught driving your okay! It may be difficult to find a low rate insurance company to accept you right now though. You may have to start out at a higher rate company and then when you keep it paid on time you could go to a lower rate company. Hope this helps!
2007-08-20 09:57:41 · answer #1 · answered by REALISTIC 3 · 0⤊ 0⤋
Usually if you have let your auto insurance lapse and you've gone for a certain amount of time w/o insurance the only thing your new company can really do is rate you as higher risk which means you'll receive a higher rate. Granted some insurance companies won't insure you while others have a specific # of days you can go w/o insurance before your rates will increase. The best thing to do is to shop around, most companies handle this situation on a company basis rather than a state regulated basis.
FYI, most states require your insurance company to report your policy has cancelled. Grace periods for how long you have to obtain a new insurance policy vary by state before they take any action i.e. suspending your registration or fines.
2007-08-20 18:24:28 · answer #2 · answered by parhelion2006 2 · 3⤊ 0⤋
Well right now your license has been revoked and if you are stopped, they'll take your car. Then you'll have to pay for towing the car back to your residence, have a court appearance renegotiate with the Insurance Co. If you have a lease, you're in a double jeapordy situation: you can't have a lease w/o insurance and because you've lapsed you can't automatically re-apply (technically, you're renting the car). God help you if you get into an accident.
For your own safety rectify this a.s.a.p.
2007-08-20 10:06:50 · answer #3 · answered by ObscureB 4 · 0⤊ 0⤋
Depends...
If you go without coverage for more then 25 days, then when you sign up for coverage again you automatically move into a "high risk" group. The cost increase will not be pretty:(
I went without a vehicle (and obviously without insurance) for almost a year while I saved for my new car. When I bought the new car and went to get insurance, I had to buy a "high risk" policy. It didn't seem fair that I should be penalized for going without insurance when I didn't even own a car...but that is how it works.
At the point that you go to sign up again for insurance. If you cannot prove that you had coverage within the last month they will bump you to that "high risk" group:(
Not to mention what will happen if you get pulled over during the lapsed time period!
It is better (and cheaper) all the way around if you re-instate your policy within 25 days.
2007-08-20 09:58:52 · answer #4 · answered by starrzfan 4 · 0⤊ 0⤋
Not with the car insurance people. Maybe with the DMV, especially if you drive while the insurance is lapsed.
With the car insurance people you have to prove that you had NO lapse in coverage in order to get an extra discount. If you had the lapse, you don't get the discount. How they find out varies.
2007-08-20 10:09:13 · answer #5 · answered by Anonymous 7 · 0⤊ 0⤋
Another thing is that if your car is financed, your insurance company will notify them that your coverage has lapsed. They could repo your car for contractual breach. Or they will "force place" insurance on your car. This insurance will only cover the costs for the damage to your vehicle, but when you think you've paid off your car you'll get a notice from your lien holder that you owe them for the premium.
2007-08-20 12:07:21 · answer #6 · answered by Anonymous · 0⤊ 0⤋
You won't get in trouble with the insurance company - they aren't going to call the cops and report you or anything. However, if you get into an accident or get pulled over, you will get a big fine. So get the new insurance, and be up front with your new company. They will charge you more money initially to get your policy started, but after you have been with them for awhile, your rates should go back down.
2007-08-20 09:53:05 · answer #7 · answered by jml167 4 · 1⤊ 0⤋
Yes, if you get stopped for any reason by the police, or get into an accident. You would be better off carpooling in someone else's car or using public transportation, until you renew your insurance. It is not worth the risk. Don't be a "Paris Hilton"!
2007-08-20 10:05:12 · answer #8 · answered by macfifty06 4 · 0⤊ 1⤋
if you still owe on your car, your lender will send you a letter stating they will place lender-place insurance on your car, add it to your loan, and that will take care of that.
you dont want that as it costs much more than your current insurance...
other than that, i did not get notice from police or anything, because it is only illegal if you drive without the license...
2007-08-20 09:58:56 · answer #9 · answered by Daniel 5 · 0⤊ 0⤋
Your insurance co. will send a letter to the state where your car is registered informing them. You will likely get a notice saying that your registration is due to be canceled and will have to prove you have paid your bill and are in good standing. My insurance co. sent this notice to the state of NJ about me by mistake. It took about two hours at the DMV to get it straightened out.
2007-08-20 09:55:30 · answer #10 · answered by Entidine 2 · 1⤊ 1⤋