Title: Did my Insurance Broker Drop the Ball on My Policy Cancellation?
I purchased a small business health plan last year through an insurance broker. At the end of the year, they significantly increased their fees, so I informed him that I would be seeking a new plan for the upcoming year. I asked if any additional steps were required to cancel my existing policy, but he never replied. Now, I’ve realized that premiums are still being deducted from my account for a plan I believed was terminated.
The broker is now stating that I should have canceled directly with the insurance company. Given that I initiated my policy through him, it seemed logical that he would handle the cancellation process as well. Is there any recourse available to me?
Just for context, I’m located in North Carolina. Thank you!
I’m sorry to hear about your situation. It sounds frustrating, especially when you thought everything was handled. Here are some steps you can consider:
Review Your Agreement: Check any documents or agreements you signed when starting the policy. They might outline the cancellation procedure.
Document Everything: Keep records of all your communications with the broker, including your request to cancel and their response (or lack thereof). This documentation will be valuable if you need to escalate the issue.
Contact the Insurance Company: Reach out directly to the insurance company where your policy is held. Explain your situation and see if they can assist you in getting the issue resolved. Sometimes, they can cancel the policy if you can provide proof of your conversations with the broker.
Consult Your State’s Department of Insurance: North Carolina’s Department of Insurance can provide guidance on how to handle this situation and may be able to assist you in filing a complaint against the broker if necessary.
File a Complaint: If your broker misled you and did not provide the required assistance, consider filing a complaint with relevant organizations like the National Association of Insurance Commissioners (NAIC) or the Better Business Bureau (BBB).
Seek Legal Advice: If the situation remains unresolved, you might want to consult with a legal professional who specializes in insurance or consumer rights. They can offer specific advice based on your situation.
Moving forward, it’s always good practice to get confirmation in writing when making such requests to avoid misunderstandings in the future. Good luck, and I hope you can resolve this quickly!