We finally sold our old house and the closing is next week. I called the insurance company to cancel our homeowner’s policy, effective on the date of closing. They refused to do so, telling me that they can’t leave me without insurance unless I can prove that the house is insured elsewhere. Uh, it isn’t going to be my house any longer, so why would I continue to insure it? And, since the house is paid off and there is no mortgage holder, why is it any of their business if I choose to be uninsured and assume the risk myself? I am betting you that they won’t be so concerned about leaving me without insurance if I don’t pay the premium.
Doing the math, we have owned that house for a total of 15 years and we never filed a single claim against our insurance. It was paid off and mortgage free as of six years ago. My insurance is about $2000 per year. If I had chosen to assume the risk myself as soon as we paid it off, I would have (counting my normal investment returns of about 8 percent) an additional $15,000 in my bank account with which to take care of any problems.
Speaking of homeowner’s insurance scams- I wanted to insure my solar installation. I was kindly informed by my insurance company that it would cost $2500 per year just to insure my solar panels against hurricanes, but there would be a deductible of $10,000 for hurricane damage. They are otherwise covered under the rest of my homeowner’s policy with a deductible of $1,000. Uh, the solar panels themselves cost $20,000. So in the event of a hurricane (remember my panels are engineered for winds up to 140 mph) I would actually be losing money to insure them if they can make it at least 3 years without being damaged (The cost to insure them for 4 years is $10,000, plus the $10,000 deductible). Needless to say, I elected not to cover them. I think my risk of a 140 mph hurricane in the next 4 years is pretty low.
I also recently bought a new truck and traded in my old one. I tried to log into my insurance company to take care of things, and the system wants to send a 2FA text to my wife’s phone. She isn’t home. There is no option to select my phone number to log in. So now I have to call them and get stuck in phone tree hell.
10 Comments
Steve · November 18, 2024 at 11:52 am
I despise what the racket has become.
We were on the road and got pulled over by a revenooer. (Small town cop shaking down out-of-staters for cash.) We had the last 5 years of insurance cards in the glovebox, but the last one had run out while we were on the road and the new one had probably already been delivered to our house, a couple thousand miles away. So we are trying to get confirmation from insurance via the phone, but they insisted on 2FA via email. Which for security reasons, I refuse to put on the phone. On the road, no email, and I’m not going to drive all the way back for a court date, so I had to just pay the flippin’ ticket.
I hate insurance companies. I hate small-town shakedowns.
Don W Curton · November 18, 2024 at 1:08 pm
The 2FA verifications are ridiculous – it’s on everything now. I fricking hate it.
And yeah, 99% of the vehicle accidents inflicted on my immediate family over the past ~5 years have involved illegals, no license, no insurance, and/or hit-n-run type scenarios (which also involve illegals with no license or insurance). Every single dollar of repair costs came out of my pocket. But God forbid I don’t have instant proof of insurance on my car. Apparently some animals are more equal than others.
SoCoRuss · November 18, 2024 at 1:21 pm
So did you get them to understand you wont be owning the house anymore and did they cancel it? Any reason why they refused, since the house is paid off and maybe if it wasn’t being sold you just got tired of being fucked by them. That’s a new one to refuse to let you not be covered by insurance that doesn’t pay off unless you hold a gun on them.
Is that ridiculous solar panel ins fee just for FLA? I have friends with solar here in CO, but they never said anything about getting hit that hard a price.
liberty · November 18, 2024 at 3:08 pm
I’m been thinking about setting up a shared Google Voice number just for 2FA purposes. It is a hassle when the needed phone is not available.
Unknownsailor · November 18, 2024 at 6:53 pm
Your story reminds me why I prefer to insure with a local agent, with an office, so if I want to change something I can go to said office, and sit down face to face with someone.
This lack of face to face ability is why I will NEVER use USAA for any sort of insurance, no matter how cheap it is. I want to be able to loud talk at someone if they are trying to be obstinate.
JB · November 18, 2024 at 7:43 pm
WHO IS THE INSURANCE COMPANY. WE ALL SHOULD AVOID THEM. THEY ARE RATS.
Tom235 · November 19, 2024 at 8:18 am
Some of us don’t have those portable “We know what you’re up to and where you are” boxes. If they insist on 2FA, will they provide the device to receive them? (No, of course not – so having the damn things are getting to be essentially mandatory. Another not-tax expense required by our betters)
Pat H. Bowman · November 19, 2024 at 8:47 am
Had a similar issue when I changed insurance earlier this year. After trying for over a month to reach my agent (located 90 min. away in the city we used to live in), I finally reached out to a local agent. Once I set up the new insurance, I finally got in touch with the old agent and he wouldn’t cancel the insurance until I sent him the declaration pages from my new insurance. Seems a people are pulling scams where they “cancel” their insurance, get into a wreck, then claim they never cancelled. Took two weeks, but finally got that straightened out, and thought we were through with the nonsense.
Then I got my 6-month renewal for the auto insurance. New company is raising the premium 27% over 6 months ago. I’ve not had a claim on my homeowners/renters insurance ever. My last auto claim was 20+ years ago. Seriously considering of taking the “newcomer” route and dropping car insurance altogether. Adding up the premiums I’ve wasted over the years, I could have bought a nice car or two.
John · November 19, 2024 at 6:29 pm
2FA cost Capitol One a credit card customer. Their card broke when I landed on the water from a 3m diving board. I called for a new one and they wouldn’t waive the 2FA even though I was driving. I asked if closing the account required 2FA. It didn’t. So I cancelled it. So I’ve got a better card now. Lord works in mysterious ways.
When my mom went into a nursing home on hospice, I got the run around from Comcast. “You’re not an authorized person on this account.” Well, I’m the guy with POA and the checkbook. You can close the account. Or not. They didn’t. She died and they sent a $500+ bill to collections. That was after they made an “adjustment” when I called for them to get their hardware. No, I’m not dropping it by your office. I live an hour away.
A year later they call my wife’s cell phone asking for mom. “She’s not available.” Can I take a message? I’m afraid I won’t be talking with her anytime soon. They said they would try back later and I said, “First, this is my wife’s phone. That’s my mom you’re looking for and she died in April of last year. If you reach her, please tell her that her son loves her and to give me a jingle too.” F them and the horse they rode in on.
Divemedic · November 19, 2024 at 7:03 pm
A couple of years after my father died, some collectors called my mother because she was an authorized user on his card, and demanded that she pay his outstanding balance upon the threat of a lawsuit. She came to me for help. I sent them a letter on her behalf that basically said “Stop contacting me. If you are going to sue, then do so. However, you aren’t getting anything because an authorized user isn’t responsible for the charges.”
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