Auto Insurance Claims: Insurance policy that did not cover a minor accident?, Insurance policy that did not cover a minor accident?

Question
Hi I have a kind of complex question, hopefully you can answer In 2004 I and
my ex-husband were fully in sured by Mercury auto on the suv I obtained in
the divorce, but he had to stay on the insurance policy because of the lease
being in both names and they would not release him from it. Well while at his
home picking up my children, I backed into his porshe leaving a minor dent.
His porshe was insured by FARMERS, so he files a claim against my OURs
mercury claim to farmers , and even with full coverage mercury denies my
claim, because he is on the policy with me, and his other car (Ihit) is insured
by farmers. So now farmers is sueing me personely, for 25,000 to fix his
porshe. Keep in mind this is a minor dent, aslo while his porshe is being
repaired at what ever place he chose, it was broken in to and completely
vandalized and gutted. Does this sound completley obsurd or what. I think in
some way this is fraud. Also possibly they tried to put entire amount of
accident and theft to the car on my tab. Please help. Being harassed by
creditors.

Answer
Umn.. This is indeed somewhat complicated. My gut instinct tells me that there should be coverage for you. You were paying for a policy and hit someone else’s property. You are liable (which triggers coverage) to that person (husband, ex husband, etc). You cannot liability to yourself (legally speaking), but you can be liable to you husband (even if you are married). It is very difficult to help you because I do not have the policies in front of me.

If you had liability on the SUV, they should protect you against Farmers. Why are they not covering this exactly? Is this  an insurable interest type of argument? Remember, they need to explain (with police language), what is the exact effect of him being on this policy? YOU ARE THE INSURED (you were driving), and also a policy holder (you are named on the policy). The duty and coverage is owed to you, regardless whether he is there.

There might be some community property issues, depending on which state you are.

There is something implicitly wrong here. You are both paying insurance on two policies – How are you left without coverage? The insurance companies need to figure this one out.

You need to ask for an straight answer. If they cannot give you one, consult with a lawyer. You might have to go to arbitration.

Also consider reporting your insurance company (MERCURY) to the Department of Insurance or the office of the insurance commissioner. Here is a link to every state Department (all the way down of the page).

http://www.auto-insurance-claim-advice.com/car-insurance-agent.html

Good luck,
Anne
http://www.auto-insurance-claim-advice.com/