Auto and Car Insurance

More about State Farm fraud.?

State Farm offered me an auto insurance policy of $844 for six months of coverage. All correct information, about speeding tickets, etc., was given. Two weeks after the contract period began, I got a call from the office of State Farm agent Lynne Barnhardt of Smithtown, New York. The agent told me that the rate was higher, and used some excuse about the driver's abstract from New York State. But all driver information had been disclosed: there was no deception issue, but an excuse to charge a higher rate. I cancelled at the end of the first month, and was not charged one-sixth of the six-month rate, but a higher amount. Thus, they started charging the higher rate from the moment I walked out of the office. Can this be legal?

Public Comments

1. it is but i don`t agree with it i agree with you 100% i would have done what you did bro
2. This unfortunately is not an uncommon problem among some agents...it was probably not State Farm directly. I myself am an agent and see others doing this all the time. You can go to the nys insurance web site, and file a complaint. most likely nothing will come of it. But I would caution about bashing a company, it was more than likely the agent.http://www.ins.state.ny.us/hpoffnos.htm
3. No it is not legal to charge you more than you agreed to pay. It may be legal to raise the rates on you before you ever paid, depending on your agreement. It will probably take work on your part, but you may be able to negotiated down to the lower rate if you talk to the agent, the company, remind them you can report them to various insurance boards in NY, etc. But it may be more trouble than it is worth for you, for the one month's difference.