The Robert Plan Corporation

Review: I was given a quote of $1700 for insurance for my three vehicles for one year, after one month this company raised my rate to $2500 per year, when this happened I decided to remove one vehicle from policy to lower rate, after paying and receiving adjustment Assigned risk solutions again raised my rates upon receiving this notice I called progressive auto insurance and began using there services. I ended up paying over two thousand for two vehicles instead of three and didnt use more than half of the term of insurance.Desired Settlement: $1000 for term of insurance not used

Business

Response:

We are replying as managing general agent on behalf of National Liability & Fire Insurance Company to your recent correspondence that was received in our office concerning [redacted]’s policy.

The insured’s agent, (on an Automobile Insurance Plan policy the producer is the insured’s agent and has no relationship with the carrier), completed a private passenger application for the insured listing three vehicles and estimated the annual premium to be $1,774. He then submitted the application to the New York Automobile Insurance Plan (NYAIP) to be assigned to a carrier. The NYAIP assigned the policy, but the carrier to whom it was assigned determined that the insured was not eligible for private passenger coverage, and required a business automobile policy. They returned the application to the NYAIP who then assigned it to National Liability & Fire Insurance Company as a commercial assignment. We issued a policy for the insured on June **, based on the information his producer provided on the application and the annual premium was $2,507. We received a request from the producer to remove one of the vehicles from the policy which resulted in a reduct ion of $582. Our underwriter reviewed the policy and based on information in the file sent a letter to the insured requesting proof of residence. The insured failed to respond and the garaging territory was amended. The amendment resulted in an additional premium. Shortly after, the insured’s producer submitted a request to have his policy canceled, which we did. However, based on the new amended premium the insured was not entitled to a refund. Our records indicate that he still has a balance due to us.

The original quote of $1,774 was given to the insured by his agent who has no relationship with the carrier. The producer’s relationship is with the insured. We rated his policy in accordance with the rules and rates of the New York Automobile Insurance Plan, which are set by the state of New York. As to the increase due to [redacted]’s failure to provide the documentation we requested, he can now provide the documentation and we will reverse the additional premium and revise the cancelation. However, the quote provided by his agent is a matter he must address with them as we are required to use the NYAIP rates on policies which are assigned by them.

Consumer

Response:

I have reviewed the response made by the business in reference to complaint ID# [redacted], and have determined that my complaint has NOT been resolved because:

When I removed one of my vehicles from the policy I was credited for the excess I payed on the policy a month after, but I reside with my parents and my proof of residence was not adequate for the company so I can celled my policy and went with another company that accepted it before my plan with this company was due to increase therefore I be leave I am entitle the remained of the premium because I did not use the full term of the insurance. This company starts with one rate and keeps raising the rates, they should stick to one price it is very unfair to be a consumer and have to worry about insurance premiums raising after a quote is given and when they cancel they keep the full policy paid and didn't cover the insured vehicles for full term.

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Sincerely,