question about lapse in car insurance (health insurance

3 posts, read 62,370 times Reputation: 15

Hello, I have searched this forum prior to posting but couldn't seem to find an answer and I was in hopes someone may be able to give me some direction. I changed auto insurance last year, due to progessive continueally raising my rates, however, had a 11 day lapse in coverage, I thought I was covered until the end of the month and changed companies thinking I had overlapped by 15 days. Guess I was Wrong. While trying to renew my registration, I was told I had to turn in my plates for 30 days due to the lapse. I am clueless on what to do whereas I have never heard of this before. I never received any notice and just thought that everything was fine. I have a perfect driving record for the past 30 years, never had any insurance issues and/or accidents (knock on wood). I am in total amazment that I could really loose my plates for 30 days. I have spoken to the NC DMV today and they said they would set up a hearing, however, I only have until the end of the month to reregister and I can only assume this hearing will take longer than that time frame. Does anyone have any insight on this or has had this happened? Turning in my plates and not being able to drive to work would result in me no doubt losing my job. Sorry for the lengthy post and thank you for listening. Any suggestions would be greatly appreciated.

2,006 posts, read 1,957,761 times Reputation: 1660

Arrggg!!! This also happened to me! The situation was a bit different, though. It's kind of a long story, but basically, I thought I was paid up for three months before we moved, then about a month after we moved called the insurance company to change address and such and found that my insurance had been cancelled for non-payment! Same deal as you, we would have to turn in our plates on both the cars since the policy was for both. We were also given the option of scheduling an insurance hearing. We had the insurance hearing last week. It was a complete joke. Basically, it's a court hearing with an uneducated DMV employee...no judge, no jury. Ridiculous. The lady my husband spoke with was so nasty and kept telling him that he was contradicting himself and being illogical ...he has a phd in philosophy from UVA. I'm sure he was not contradicting himself. His life's work has been to find contradictions in other people's writing.... All this to show the type of person you will be dealing with at the hearing. This woman was incapable of following a basic conversation. However, instead of losing our tags we were fined $300 ($150 for each car)...even though she thought he was lying! Once you schedule the hearing they will put a hold on the tag revocation. I can't remember all the jargon they used for this so I hope it translates. Anyway, then in a month or two they will send you a letter in the mail with a date scheduled for your hearing. The hearing is conducted over the phone. If you don't answer the call at the scheduled time, they automatically revoke your plates. For what it's worth, even though neither one of us intentionally let our insurance expire, it comforted me to realize that had I gotten in an accident and caused damage to myself or anyone else, it would have been financially devistating to me and/or the other person involved. What if there had been a huge medical bill and the other person didn't have health insurance or the cash to pay for it. Even though I didn't have insurance at the time and that lapse was unintentional, I still would have been financially and morally responsible for the damage. So, to me, I was perfectly willing to take the slap on the wrist.

3 posts, read 62,370 times Reputation: 15

Thank you Pegotty for your reply, my biggest fear is that I have to reregister the car by the end of this month. Which leads me to another question. I am assuming in your case that you found out about this prior to registering? I just found this out and it gives me only a week to 'get my ducks in a row'. I have asked for the hearing but they have to send the 'paper work', would you happen to know if this will continue to block the registration or will they let me register it while the hearing is waiting to happen? Thanks again, for your thoughts. I am still shaking my head in amazement that I have never had Any traffic violations in the past 30 years of my life but now it is like I am under arrest with my car. I guess at this point, although I can't afford them, I would gladly pay the fines but I am afraid that I still can't register the car with this 'pending', do you know anything about that?

Location: South Beach and DT Raleigh 7,692 posts, read 8,658,752 times Reputation: 5631

Location: Raleigh, NC 1,039 posts, read 1,097,087 times Reputation: 1096

It happened to me once and I'm trying to remember what happened. I can't recall if we were fined or not, but we definately did not have to go to court. I would call your insurance company and/or the DMV and ask them what your options are. I remember when I called I said that "If I have no car, I have no job". As I recall I had to go to a DMV office and maybe pay a fine. Sorry I couldn't be more helpful, but I do recall that making phone calls helped my situation.

2,006 posts, read 1,957,761 times Reputation: 1660

I don't know what will happen with the registration. Mine wasn't due at the time. I'm sorry it's such a pain. And, really, a good insurance company with good customer service would have called you because you have such a clean record. I also have a clean driving record and have not had a problem with this before. Ever. I think a decent agent should have called me and said, "Did you know you're insurance is going to cancel in 3 days if you don't pay it?" I'm switching to an agent that takes better care of their people. Unless you personally go to the office and hand them cash and get a receipt there is no guarantee that things like this don't happen on occasion. It should not be this difficult.

Location: under the beautiful Carolina blue 8,268 posts, read 8,730,305 times Reputation: 4507

Your new insurer should make sure that you don't have a lapse. Your new company really dropped the ball there. It's up to them to verify that there's no lapse in coverage.

3 posts, read 62,370 times Reputation: 15

I wondered about that too twingles...but I guess it is what it is at this point and I guess I should have paid closer attention and will in the future. I think it is a bit harse to pull someone's plates for 30 days though. Someone elsewhere mentioned that they had the hearing and were able to get temp plates whereas once it is being reviewed, the revoking plates rule doesn't apply. We shall see.

1,161 posts, read 1,217,273 times Reputation: 347

My daughter just registered her car again last week and found out there was a lapse. All she had to do was pay those days to the state and she was able to register the car without a problem. They said they always send a bill that you can pay online with. You can't pay without it as it gives you a number you need to input on the site.

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