Insurance Companies

We’ve had a frustrating mix-up with State Farm. Basically, they insured my husband for 6 months without his paying anything. It wasn’t intentional on the part of my husband or myself; our agent told us we didn’t owe anything, or we would have paid months ago.

Now, however, they’re wanting us to pay $1600 for those 6 months as well as for the next 6 months.

We’re not financially in a position to do this.

Our insurance agent told us that, at the risk of losing our business, he felt we should know that we’re "ahead" at this point and that, if we left State Farm and went to another agency, State Farm would be unable to get the past-due money from us.

This seems like the logical thing to do at this point, but my concern is for our credit scores. Technically, can you owe an insurance company money? If he went six months without paying, why didn’t they just cancel his insurance rather than running up a tab?

They’re not a lender, so do they have the power to negatively affect our credit scores?

I think that anyone that you owe money to can file a report for non payment with your name on it. They just take you to court and it’ll happen automatically.

I have a good driving record. All the accidents i have had were hitting a damn deer.(three of them- hate them!) And a DWI 19 years ago. I always paid my bills on time and had the same INS for 10 years (still cheapest) yet i have had my rates go up three time over the past three years ($1500 total!!)

because they are a bunch of blood sucking thieves
JD.

I have a medical bill that just got paid from over a year ago. It took the insurance company a long time to pay it. The medical bill showed up on my credit as a delinquent account. Is there any recourse for this.

The FIRST thing I would do is change insurance companies.

A reputable company pays pretty quickly, unless your application for payment was in error (meaning you’ve tried to bilk the system). For instance – the last medical claim paid to my family was accomplished in about 72 hours after the incident – no questions asked.

Second – depending on the program, you may have been caught in a "which insurance covers the bill" condition. This can happen when part is to be paid by employment-related coverage and part is through personal insurance coverage. Usually the personal coverage takes longer to get squared away … but a year is far too long, even for this. Something else to watch for is that there are no conditions on which providers you use – or which services are covered by the premium.

Lastly – communicate with all parties (medical provider, creditor, and insurance company) to see why the delay occurred. Stay on them every day until you get an answer … it’ll be a pain for you, but more of a pain for them. Also see if the creditor will affect changes to the report, based on the findings from your conversations. Make the initial communication by letter – but call them to let them know a written request is coming. Keep a record of the written responses (if you receive any) during the process.

You MAY have a case, but only after you’ve got the paper trail.

Since November last year I have defaulted on my credit card dues that card companies have dropped me from their ‘members in good standing’ rolls and their lawyers have been sending me collection letters. My action on this is pay a little sum as I can afford. I want to know if they have already written off my debts and collect equivalent sums from insurance.

Credit card companies don’t collect insurance when they write you off. They basically lose that money. If the credit card company is still calling you, they haven’t declared you a chargeoff yet. When they’ve given up on seeing that money, they stop calling and sell the debt to a collection agency, usually for a lot less than you owe. The collection agency then gets to call you and chase you down till you pay.

Your best bet— call the credit card company and tell them you don’t have the money to pay them. Often they will erase the penalty fees and reduce the interest rate if you close the account and agree to a payment plan that you can afford. Their ideal goal is to get full money and interest from you but if they can’t, they’ll often agree to accepting just the money without the interest.

Since November last year I have defaulted on my credit card dues that card companies have dropped me from their ‘members in good standing’ rolls and their lawyers have been sending me collection letters. My action on this is pay a little sum as I can afford. I want to know if they have already written off my debts and collect equivalent sums from insurance.

Credit card companies don’t collect insurance when they write you off. They basically lose that money. If the credit card company is still calling you, they haven’t declared you a chargeoff yet. When they’ve given up on seeing that money, they stop calling and sell the debt to a collection agency, usually for a lot less than you owe. The collection agency then gets to call you and chase you down till you pay.

Your best bet— call the credit card company and tell them you don’t have the money to pay them. Often they will erase the penalty fees and reduce the interest rate if you close the account and agree to a payment plan that you can afford. Their ideal goal is to get full money and interest from you but if they can’t, they’ll often agree to accepting just the money without the interest.

i just got a new/old car and my dad is carrying the insurance and he gave me questions that the insurance companies needed answers for from me.. like my social security number, marital status, if i have a child or not, drivers license number, and something else…. i can understand but i just want to know what they are going to do with it?
they did not ask if i had a felony.. i dont have one but still they didnt ask… i dont have any thing on my records other than bad credit so i was just wondering because the more often someone looks at your credit record affects it somehow i’ve heard… and dont you have to signs something giving them permision to do that anyway? i didnt sign anything my dad did everything…. its my dad paying for it all and i only have one wreck from 2002 so it shouldnt be too bad right?

An insurance score is a score calculated from information on your credit report. Credit information is very predictive of future accidents or insurance claims, which is why most insurers, uses this information to help develop more accurate rates. Each insurer has its own method for evaluating this credit information.
Favorable credit information results in lower premiums. Because both above-average and below-average factors are evaluated, you still have the opportunity to get a lower rate, even if there are some below-average items in your credit history.

Favorable credit factors might include:
Long-established credit history
Numerous open accounts in good standing
No late payments or past due accounts
Low use of available credit

Unfavorable credit factors might include:
Collection accounts
Numerous past-due payments
High use of available credit
Numerous recent applications for credit

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I’m looking for an insurance company (in Minnesota) that doesnt check credit… Does anyone know any? Thanks so much

i dont think that they all run credit .. . and even if they do it is not that big of a weight as how many driving points you have incurred.

You can check out www.MNautoINS.com for minnesota

I’m looking for an insurance company (in Minnesota) that doesnt check credit… Does anyone know any? Thanks so much

i dont think that they all run credit .. . and even if they do it is not that big of a weight as how many driving points you have incurred.

You can check out www.MNautoINS.com for minnesota

I am an 18 yr old male living in Mississippi, and buying a 600cc bike.

No, they do not.
Statistically, your age and the fact you are buying a 600 cc sport bike means you will be in an accident or two. An insurance company will charge a very large insurance premium to help cover the expenses they will shell out when people in your age group on sport bikes crash.
Sorry, you are choosing the wrong motorcycle in regards to insurance.
Articles below are worth reading.
One other point, motocross skills do not correlate to street riding skills.

Besides charging a higher interest rate to their good customers who are never late and other questionable practices, I heard they have insurance to protect them. True or False?

yes they do they have it just well a the banks all do for charged offs on debts