Q: I was in an accident which they have deemed my fault. Can my ins company drop me and deny claim after accident
They Dropped me for not having step son excluded from policy although he was not involved in accident, and said I was using car for business, which is incorrect I was driving to work in my girlfriends personal vehicle. I applied for Ins. Over the phone and they never asked me about exclusions.my car was totaled, so was the guys I hit, now guy claiming bodily injury 3 months later. Insurance was national general a subsidiary of allstate.
A:
Under California law, insurance companies have the right to cancel a policy if they determine that there was a material misrepresentation or omission during the application process. If your insurer believes that you did not disclose a potential driver (your stepson) or that the vehicle was being used for business purposes, they might argue that these were material misrepresentations.
However, if you can demonstrate that you provided accurate information and that the vehicle was not being used for business purposes at the time of the accident, you may be able to challenge the cancellation. Additionally, California law requires insurance companies to act in good faith, which means they cannot deny a valid claim without a legitimate reason.
If you believe that the insurer is acting in bad faith by dropping your coverage and denying your claim without just cause, you might consider consulting with an attorney who handles insurance disputes. Remember to retain all communications with the insurance company and any evidence that supports your position.
A: It could depend on the basis for the denial. It isn't clear if they denied based on the stepson issue or other factor. An attorney could advise more definitively after seeing the policy and the denial. Good luck
A: Addendum - the cancellation issue aside, claims arising while policy was in effect are still coverable - although coverage may remain a subject of dispute that could possibly require negotiation or litigation. Good luck
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