Auto insurance company drops customer, but will its reason pass inspection? - Philadelphia Inquirer

By Harry Gross

Daily News Personal Finance Columnist

Dear Harry: I got a shock in yesterday's mail. Instead of a renewal bill for my automobile insurance, I got a "notice of nonrenewal." I contacted my agent, and his reply was that the company had too many people in my ZIP code!

He also implied that I may have been chosen to drop because of my age (75). I have not had a claim on this insurance for more than 25 years, and even that was less than $1,000. I contacted another insurance company and got new coverage, but for a premium that's $322 more than I was paying.

Isn't there some way that I can get the old company to accept my renewal? I was probably an ideal customer, with no recent claims and only one claim in the 35 years I have been with them.

What Harry says: Their answer to your inquiry sounds a bit dubious. In such a situation as they describe, the usual procedure would be to not accept new customers. It's unlikely that the company made an error because insurance companies have among the best record-keeping systems anywhere. There must be some other reason for them to reject you. I suggest that you contact the Pennsylvania Insurance Department in Philadelphia at 215-560-2630. They are in a position to find out just what happened. They might even get you reinstated with the old company and the old premium.

Write Harry Gross c/o the Daily News, 400 N. Broad St., Philadelphia, PA 19130. Harry urges all his readers to give blood: Contact the American Red Cross at 800-Red Cross. .signup_regularText

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