Quote:
Originally Posted by undercoverbrother
Sorry what do you mean by "double coverage" as it relates to Home Owners or Auto (non-fleet/commercial)?
Who is primary?
Who pays the losses?
Sorry just trying to understand.
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I think it was some weird scenario where they just left the insurance till the end of the term with one provider and started paying insurance with a different provider for the last two months, then upping it when the previous insurance term expired, but I didn't look at the info in detail at the time nor do I completely understand why they felt it made sense to "double insure" the property.
Maybe it had something to do with a pending spike to the insurance of the property due to estimated spike of FMV of the property that hadn't been addressed yet? Didn't like quote of old insurance company and doubled up for a few months in case there was a claim and the old insurance company's policy didn't cover enough due to the older FMV of the premium?
ie: FMV was to spike 20-30%, old company policy was still on old FMV value for coverage and wouldn't cover excess if a claim were to happen. Quote from old insurance company would increase premium 20-40%+ after policy expired, so they said they'd cancel after it expired. They also grabbed a cheap policy with a new insurance company to cover the 20-30% excess if anything were to happen. Then obtained revised policy with same new insurance company that would cover the updated FMV but only costs 10-15% more (vs 20-40% more) than what was paid before on an annual basis?
There was no claim during that time period, so I don't have an answer for your other questions. I just recall asking why they had months with two insurance premium payments and their response made sense.