🚨 Important Reminder: Don’t count on your dealership to notify your insurance company when you need to add, replace, or remove a vehicle from your policy!
As an auto claims adjuster, I recently had to deny a coverage claim due to a situation where a customer’s car, purchased over a year ago, was never added to her policy. She was overwhelmed during the car buying process, and the dealership assured her they would handle the paperwork with my company to ease her stress. Unfortunately, this approach can lead to serious issues:
- Dealerships often promise to call your insurance but may not follow through.
- Only the policyholder can request any changes to their policy, which means the dealership cannot make these changes on behalf of the customer.
- If a dealership were to successfully make a change to your policy without your direct request, it raises concerns about your agent’s compliance and could pose a security risk—you’d need to consider reporting this or switching agents/insurance.
Most importantly, many policies require you to inform your insurance about any new vehicle within 30 days of purchase, or you risk not being covered in the event of an accident (this can vary based on your insurance company or state).
In this case, the customer relied on her dealership to add the vehicle to her policy, but they never called us. As a result, she drove for over a year without coverage on her new car. When she was involved in a no-fault accident with an uninsured driver, her car was likely totaled, leaving her in a tough situation.
So please, make sure to communicate directly with your insurance company when buying, leasing, or selling a vehicle! They can provide accurate quotes for your new premiums during this process, quickly process any necessary changes, and ensure your policy is up to date!
Thank you for sharing this important reminder! It’s a tough situation that many people might not think about when purchasing a vehicle. It’s easy to assume that dealerships will handle everything, but as you’ve highlighted, communication directly with your insurance company is crucial. Ensuring that your vehicle is officially added to your policy within the designated timeframe is essential to avoid any gaps in coverage.
This is a perfect example of why we should take an active role in managing our insurance. It’s always best to confirm with your insurance provider directly after any significant change, like buying a new car. Thanks for the helpful tips and for raising awareness about this issue! Hopefully, others can learn from this experience to prevent similar situations.