Can my car insurance company here in New Jersey opt to non-renew my policy if they don’t want to cover me anymore? What are the possible reasons an insurance company can do just that?

Melvin

Passaic, NJ

Car insurance companies can opt not to renew your policy once it is time for renewal. However, state regulations do not constantly explain the reasons wherein a car insurance policy cannot renew policies. Your car insurance policy may not be renewed if your insurer in New Jersey does not want to provide you coverage anymore. Typically, a car insurance policy may not be renewed if the policyholder has had too many claims for accidents that you have caused, has a conviction for driving under the influence (DUI), or has had a lot of traffic tickets in the last three to five years. These things could undoubtedly increase your car insurance rates from your subsequent insurance provider; however, they will not make you a car insurance outcast.

In case a car insurance company does not want to renew your policy anymore, they will send you a notification. State laws differ, but a car insurance company usually should give the policyholder a notification for nonrenewal of 10 to 30 days. This notification may or may not explain why the car insurance company does not want to renew your policy anymore. In case you want to know the reason why your policy is not being renewed and it is not explained in the notification, you would have to send a request in writing to the car insurance company.

Can you tell me more about how one can be a victim of car insurance fraud? I’ve seen some distressing news about it lately here in New Jersey and I don’t want to be a statistic.

Irene

Jersey City, NJ

Over the years car insurance fraud has become a very serious matter for motorists and car owner’s everywhere. Everyone who owns a vehicle and pays for auto insurance should be aware of how these criminals operate and how they victimize people, cheating them out of their money, causing emotional and financial distress (causing the victim’s auto insurance premiums to increase significantly) and even putting innocent lives at risk.

Since we believe that everyone should be as diligent as you are in raising awareness about car insurance fraud, here are some of the more popular methods that car insurance scammers utilize, everyone should be prepared:

“Rear-Enders” Staged Accidents
A vehicle driven by one of the accomplice vehicle will suddenly speed right in front of you and suddenly slam it’s brakes, not giving you enough time to respond and therefore causing you to crash towards it. And since Rear-end collisions like this will most likely be treated by a judge as your fault, you will have to pay for pre-inflicted damages and maybe even for fake injuries.

The “Good Samaritan”
There will be a person who seems to be trying to help you by waving you seemingly out of traffic jams or dangers but will actually cause you to crash into another (accomplice) vehicle and will deny doing so in court or an investigation, leaving you paying up for damages or injuries that may very well have also been staged.