Question regarding auto insurance
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TV ClubHouse: Archives: 2003 February: Question regarding auto insurance

Abby7

Tuesday, February 11, 2003 - 02:00 pm EditMoveDeleteIP
Sorry for starting a new thread...I coudn't find the thread where one can ask a general question.

My husband got a speeding ticket last year. He took traffic school online and passed the test. He also paid the extra fees charged by the court to process traffic school along with his ticket charge. He thought all was fine and the paperwork handled.

Insurance renewal time comes around and the insurance raised his insurance because of the ticket (400-$500). He sent an e-mail asking about the increase (the insurance had even checked the box "good driver discount" so he didn't think the ticket was still on his record). They responded it was because he received a citation. Apparently it was not taken off his record. Has this happen to anyone? If so, what did you do about it? If we contact the court, traffic school and/or the DMV and contact the insurance, are they, then, obligated to reduce his premium to what it would be without the ticket? Meaning, once they realized he went to traffic school and passed the test, the insurance won't still penalize him for the ticket (just because they know about the ticket?)?

BTW, the company is AAA and this is his third year with them.

Jagger

Tuesday, February 11, 2003 - 04:22 pm EditMoveDeleteIP
Each state varies with their insurance verses traffic violations. In Minnesota it doesn't matter what type of courses you take if there has been a traffic citation it will go on your driving record, a speeding citation will stay on for 3 years.

I'm kind of surprised that AAA insurance even caught that, when I had them years ago I had something on my record that they never noticed so they never increased my rates.

Good luck with trying to get it removed or get a refund from the insurance company.

Abby7

Tuesday, February 11, 2003 - 04:39 pm EditMoveDeleteIP
Thanks, Jagger. I live in Los Angeles. If you get a traffic citation (not including DUIs) you can go to traffic school (if you haven't already attended one within so many months...18 months or something) and get it removed. There are now online traffic schools approved by some courts. You sign up and pay for it online, take the test. If you pass, it's the same as attending a school. There is an extra fee charged by the court to process the traffic school papers (besides what you have already paid the online school).

I just found out from AAA that we need to contact the DMV because they get their information from them. I just have a feeling this is going to take some time to clear up...dealing with the court and DMV to track down the paperwork.

Lucy

Tuesday, February 11, 2003 - 06:13 pm EditMoveDeleteIP
Abby, I stongly suggest putting everything in writing and sending everything registered mail. I'm sure it will get straightened out, but you want to make sure it gets done correctly.

My parents are in the process of dealing with the court in San Luis Obispo over a minor municipal traffic violation (no points go on your record). They mailed their check, but the court said they never received it. Without any notice, it was then turned over to a collection agency. The bill from the collection agency was 4x the original ticket amount. They have learned through their ordeal that everything needs to be in writing and sent via registered mail.

My parents situation is quite different from yours, but I hope that helps!

Abby7

Tuesday, February 11, 2003 - 06:37 pm EditMoveDeleteIP
Thanks Lucy. I better do that. I would hate this speeding ticket of his cost even more than it already has. (At least we learned how much they would have increased his insurance if he hadn't gone to traffic school...around $460 for going over the speed limit about 10-15mph..i forget what it was now.)

I should be making him handle all this so he will stop speeding...but I'm at home and he's at work! Thanks again.

Melfie1222

Tuesday, February 11, 2003 - 06:57 pm EditMoveDeleteIP
Just a little input from someone with insurance work experience (don't pelt me with rocks and garbage please )....

Ditto what Jagger said, the laws vary from state to state, in my state whatever the DMV says is on your record is what the insurance company will charge you for (when they find it!)... so if you have a dispute with what's on there you need to take it up with the DMV - the insurance company will do absolutely nothing to remove the charge until you present them with a clean MVR. It sounds like your company is telling you the same thing.

Companies also vary in how/when they discover what is on a person's record... some check MVR's at every renewal, some rarely check them, some check at random depending on whatever else has been going on with your policy and/or whatever changes they are going through as a company. So someone could easily slip by for years without the company noticing and charging them for their tickets - and then again they might just get charged for them at their very next renewal. It all depends.

Also I'm not familiar with AAA, but as for the "good driver discount" they are crediting him with, it could be possible that this particular company gives a credit for no at-fault accidents, which they might term "good driver", while still charging him for the ticket.

Abby7

Tuesday, February 11, 2003 - 07:42 pm EditMoveDeleteIP
Thanks Melfie. When he first received his renewal (I'm not on his policy), I noticed the amount was almost $500 higher than last year. I then noticed the "good driver" discount so I figured it couldn't be because of the ticket (of course, my first thought was that the paperwork had gone wrong, until I saw that). I sent an e-mail asking them why...that's when I found out the DMV had reported the ticket. Since my first post, I have found out that we need to handle it and once AAA gets the "paperwork" we will be credited the amount of the increase. I've also e-mailed the online traffic school and they are very helpful. They are re-faxing the paperwork directly to the court (as they did the first time) and also sending me a copy of what they send the court. They think the problem could be with the court not giving the proper information to the DMV, which I'm beginning to believe because the online people have been very helpful.

I just wonder if insurance companies somehow "penalize" you if they find out you got a ticket and went to traffic school to get it off your record. Know what I mean? Luckily, I know what the increase was with the ticket, so we won't be "penalized". I think AAA is reputable so they wouldn't do anything "shady"....whether they know you got a ticket and had it taken off your record shouldn't make a difference...Right? Melfie, what state are you from?

Melfie1222

Tuesday, February 11, 2003 - 08:09 pm EditMoveDeleteIP
I'm in Washington... none of the companies I have worked with here operate that way... if you can show them a clean MVR, that is all they need. But if you have a dispute with the DMV, it is up to you to find out if/how you can get the MVR corrected. Until then the company will go by what the state's info is.

Just wondering if you also asked the insurance company if they have taken a rate increase? That could possibly be part of it, in addition to whatever they are also charging for the ticket.

Abby7

Tuesday, February 11, 2003 - 10:36 pm EditMoveDeleteIP
AAA broke down the increase. $463 was just for the citation. They did have a base rate increase of $56...so without the ticket our rate would have gone up just $56 for that. I don't know what MVR means...moving violation report?

It is up to us to get this corrected through either the traffic school, the court, or DMV since the insurance company just gets their info from the DMV. That's what I'm doing now..getting it corrected myself.

Costacat

Wednesday, February 12, 2003 - 10:13 am EditMoveDeleteIP
Hey Abby... MVR is Motor Vehicle Report (the thing the insurance company orders from the DMV to check your driving record). Go to the DMV first, to find out why the ticket shows up on hubby's MVR. Then get it removed, and go back to your insurance company to show that his record is clean. And good luck!

Nancy

Wednesday, February 12, 2003 - 10:33 am EditMoveDeleteIP
HI i work for an insurance company (in massachusetts)..and your correct that the Insurance COmpanys will take whatever the DMV tells them and rates your policy accordingly..it stays on your record and on your policy for a verifying number of years depending on your offense..(speeding vs accident)..and the ONLY way it can be adjusted is via the DMV..I know in mass. when an offense is rescinded(taken off at the registry) the DMV will notify the insurance company to re-inquire to get the correct steps and adjust the insurance policy accordingly..

Jeep

Wednesday, February 12, 2003 - 12:35 pm EditMoveDeleteIP
I'm glad to see some other people here who work in the insurance industry. I work for an independent agency and represent many companies. They all use motor vehicle reports to help them determine the rate you are charged. And it's your responsibility to make sure your MVR is correct.

Melfie, sometimes I feel like I have to duck the rocks and garbage, too!