Auto Insurance Claims: Car Accident/Insurance, insurance comapny, notice of cancellation

Question
We insured a new car, but after accident they tell us we aren't insured. I had 2 cars insured, 1 full and 1 liability. I bought another car and the salesman offered to call my agent and he did so. The next day my daughter was involved in an accident with the new car. I called my agent, who at that time told me that I only had liability ... he said because the car salesman failed to tell him there was a lien on the car and because the car that I was replacing on my policy only had liability. Then the next day they tell me that I have no insurance at all on ANY of the vehicles. They said that I didn't pay my premium, that they sent me notices to pay and a notice of cancellation. I have never gotten any notices or letters from the insurance company! They said they took money I had paid on the old car that had liability, put it towards what I owed on the car that had full, cancelled me out on both cars, and that I had no policy with them at all when the new car was called in, so it wasn't covered. This leaves me with a ticket for no insurance, having to not only pay for my new wrecked car, but also the other car. My agent tells me that he did not know that I wasn't covered. How can this happen?! I did everything I was supposed to do and I have never gotten any letters or notices from the insurance company. Please help? Please tell me what I can do. I can't afford an attorney.

Answer
Hi Brenda,

I'm afraid this is not going to be an easy fix, if there is a fix at all. You need to demnand that the insurance comprovide you with a copy of all of the letters and statements they claim to have sent you along with "Proof of Mailing" of each of the documents.

If they can produce these documents and the proof of mailing, there will not be much you can do. If they can not produce the documents and the proof of mailing for each document, then you can demand they reinstate your policy retroatively back to when it was cancelled. If the insurance comapny does not cooperate with you then you will need to file a formal complaint with your state insurance commissioners office.

I hope this helps
Richard Hixenbaugh