Posted on 10/27/2023 11:16:13 AM PDT by vespa300
A San Diego family has learned the hard way why it’s important to know every detail about your car insurance and to keep it updated.
Sergio Preciado got in a car accident back in July of 2022 when he was exiting Interstate 805. He admits it was his fault, adding that nobody was injured in the crash.
(Excerpt) Read more at nbcsandiego.com ...
No excuse. No apologies for the obvious.
Anyone who falls in this category should carefully consider whether you want to be an insurance expert...
...or pay a bit more to have an independent agent who actually looks out for your a$$, because "cheapest" has consequences (as does doing it without a local independent agent, regardless the price point).
Free advice.
I assume the idea, is that even if not licensed there is a risk that they could take the car without the parents even knowing.
This has been an issue for a long time actually. It applied 50 years ago when I was 16 and wanted to drive a wealthy relative’s car and he refused out of concern I wouldn’t be covered. I can see the insurance company not covering the accident if an undisclosed minor was driving but that was not the case here. He should take this to court and sue the insurance company.
Yes.
It’s referred to as “access”, permissive or not.
If that is the case they should ask for the ages of all children and anyone living in the house when the policy is sought and explain why.
If one has a 10 year old it may not be relevant at the time, but at renewal time when it becomes relevant the insurance company should be responsible for flagging the change and noting the excluded driver.
I report when my kids get a learners permit, but that itself doesn’t up rates here. I trust the companies are able to make up for the low permit rates by what they charge when the kid becomes licensed.
I have had State Farm insurance on my cars and homes for over 30 years. They have never failed to pay a claim nor did they raise my rates because of the claims. I know they probably aren’t the cheapest, but they are good to my family.
This is ridiculous and California shouldn’t allow this, either. What’s next? Dad’s homeowners refuses to pay for the fire because he failed to disclose his niece and nephew, who like to skateboard, sometimes visit and skateboard on the driveway?
Would this then apply to the 14 year old “teen” living three blocks down the street, who just might steal your car tonight?
I thought the concept of insurance was to insulate you from exactly these occurrences. Guess it’s just to send checks to insurance companies for nothing.
You're right on this logi... it'll cost more in the short run to pay for another 'potential driver' in the family but in the long run paying for an accident and an injury out of pocket would be a disaster. This guy's lucky the cost is ONLY $5,000. Throw in a small injury and it could have been $30,000
I wouldn't think so, because the odds of that happening are much lower, than your own 14-year old son, who knows where the keys are, taking the car.
OTOH, I’ll never buy State Farm as a friend of mine had his (the entire families) insurance was cancelled as a brother - living in another state - had “one too many” DUI convictions.
Damning an entire family for one members problems.....
That basically includes every living person on this planet......................
"Preciado admits he hastily filled out the forms when he applied for auto insurance."How many of us have ever read the details of a policy down to that level? You count on your agent to honestly tell you what you are buying and inform you of things like "listed excluded drivers."
Do I need to list all my relatives and friends? Acquaintances? People in my neighborhood? Maybe I should just give the phone book to the insurance company and say "All of these people are excluded."
It's a HELL of a lot easier to say who is included rather than excluded. That's what a reasonable person would expect.
I would think this wouldn't pass the "reasonable man" concept in law.
“I can see the insurance company not covering the accident if an undisclosed minor was driving but that was not the case here. He should take this to court and sue the insurance company.”
It costs, on average, about $10,000 to initiate a lawsuit. The better approach would be to contact the Insurance commission. I’d also give a call to my repetitive.
Had he hit a static utility box or pole, the bill could have cost him dearly ($80-200K or more).
I wonder if USAA has a similar provision?
Should an insured exclude the entire U.S. Army?
(Asking for a friend.)
there’s a lot of fine print in those contracts including a clause that they can deny a claim, cancel your policy & return any unearned premium paid.
best case use an agent you know that you can have a personal trusting relationship with....may be worth a few bucks more in premium some day?
I know someone who was not at fault in an accident. Someone backed into him. He didn’t honk so he was deemed partially liable.
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