Living Car Free - Car insurance after being car free

I had trouble getting car insurance after being car free for a couple of years back in the eighties. They didn't care that I hadn't owned a car, only that I had been without insurance. I ended up paying such high rates that it probably offset the money I saved by being car free for a while. Is there a way that I could have avoided being screwed by the insurance company?

Check the laws in your state. Here in Michigan, a "no fault" state, they can put you in a high risk category if you let your insurance lapse. This will make your rates higher initially. After a certain period (6 months?), you fall out of the high risk category and your premiums normalize.

Was it any vehicle insurance at all or just automobile insurance? I wonder if getting insurance on a moped and then parking it would count.

Roody by Normalize do you mean they aren't huge rip off rates or that they actually count the 20 years of insurance you had before you cancelled and give you 20 year rates and not 6 month rates?

Roody by Normalize do you mean they aren't huge rip off rates or that they actually count the 20 years of insurance you had before you cancelled and give you 20 year rates and not 6 month rates?

Not sure, since I never went 20 years with a car to find out. I've always been a sporadic car owner, and carfree much of the time. I know there was always a downward adjustment in my premiums after an initial period. It always pissed me off--being in a high risk pool when I'd had no accidents or tickets for 20 years or more.

I had this situation awhile back- I just went and took out insurance with progressive for 48 hours(random arbitrary time period), then took out a geico policy and showed them my proof of insurance from progressive that i printed from their website to prove i had insurance within whatever recent time period it was they asked me about, saved about $400 on the new policy and called progressive to cancel my policy and get a refund minus the two days I had it.

I went for a while where I didn't have a car/insurance. State Farm didn't care when I purchased a new car, only that I hadn't been driving without insurance. The was in OR.

is there a way that i could have avoided being screwed by the insurance company?

no!

I had this situation awhile back- I just went and took out insurance with progressive for 48 hours(random arbitrary time period), then took out a geico policy and showed them my proof of insurance from progressive that i printed from their website to prove i had insurance within whatever recent time period it was they asked me about, saved about $400 on the new policy and called progressive to cancel my policy and get a refund minus the two days I had it.


Brilliant!

One option that might work is "suspending" your insurance policy. If you know how long you are going to go without insurance, and it is a short time (usually less than 1 year), they can suspend your policy. You call them back up when you want it turned back on and basically pick up where you left off. This is in place for people who have cars that need repairs beyond their immediate financial means. I don't know if all insurance companies offer this, but it is something worth looking into.

no!
I disagree with this. Insurance companies are very conservative, but they are also into selling new products if they think a market is out there. You can bet your bottom dollar that if there were enough requests for insurance from previously carfree people -- particularly if their regular market was either stagnant or dwindling -- they'd think up something fast.

I don't know the answer to this one, but seems to me that someone in a city like Portland should have some kind of response, cause it's not like it never happens.

I had not owned a car for 7 years when I tried to get insurance for the car Rowan and I bought. I had no trouble at all.

But then ... I went with CAA, with whom I had been a member for many years.

I tried suspending my license once for only 6 months after being assured I wouldn't take a hit, they lied like they always do. Create a fake moped, insure it for 6 months and then get insurance. Since the moped doesn't exist, it will never be in an accident so they won't find out it never existed.

I tried suspending my license once for only 6 months after being assured I wouldn't take a hit, they lied like they always do. Create a fake moped, insure it for 6 months and then get insurance. Since the moped doesn't exist, it will never be in an accident so they won't find out it never existed.

how do you "create a fake moped"?

Why is there a penalty for restarting insurance? Do the insurance companies feel you are out of practice so they categorize you as a new driver?

how do you "create a fake moped"?

Fairy dust and moonbeams.....couldn't be simpler!

The hard part is creating a fake VIN number that the DMV databases will accept as real. The other hard part is explaining why you shouldn't be charged with fraud when you get caught.

Why is there a penalty for restarting insurance? Do the insurance companies feel you are out of practice so they categorize you as a new driver?

As far as the companies are concerned, the risk isn't that a lapsed driver will crash the car. The risk is that he/she won't pay the premiums.

A lot of people let their auto insurance lapse because they don't have enough money to keep it going. Then they make the first payment on a new insurance policy, but only so they can get the proof-of-insurance certificate for the DMV. After that they let it lapse again.

People will go to enormous lengths to hold onto their cars.

I tried suspending my license once for only 6 months after being assured I wouldn't take a hit, they lied like they always do. Create a fake moped, insure it for 6 months and then get insurance. Since the moped doesn't exist, it will never be in an accident so they won't find out it never existed.

The court costs in your fraud case will likely cost more than the premiums....

As far as the companies are concerned, the risk isn't that a lapsed driver will crash the car. The risk is that he/she won't pay the premiums.

A lot of people let their auto insurance lapse because they don't have enough money to keep it going. Then they make the first payment on a new insurance policy, but only so they can get the proof-of-insurance certificate for the DMV. After that they let it lapse again.

People will go to enormous lengths to hold onto their cars.

Ahhh got it.
So, if you offered to pay the full year up front, they might give you a different quote?
I am just curious, I don't think it will ever apply to me. Even though I fantasize about being car free, I am sure I will always have one. Currently I drive less than 1000 miles a year.

Fairy dust and moonbeams.....couldn't be simpler!

The hard part is creating a fake VIN number that the DMV databases will accept as real. The other hard part is explaining why you shouldn't be charged with fraud when you get caught.

seems easier to just buy something that has been junked that you know is never going to be driven

As far as the companies are concerned, the risk isn't that a lapsed driver will crash the car. The risk is that he/she won't pay the premiums.

A lot of people let their auto insurance lapse because they don't have enough money to keep it going. Then they make the first payment on a new insurance policy, but only so they can get the proof-of-insurance certificate for the DMV. After that they let it lapse again.

People will go to enormous lengths to hold onto their cars.

This sounds dangerous but I'm sure people do it.

All you need is the police to pull you over and in 30 seconds, they can find out if you have insurance. If you don't have insurance, the whole thing will set you back from 3-5 K over the next 4 years as you have to pay the fine, higher insurance etc!

I had trouble getting car insurance after being car free for a couple of years back in the eighties. They didn't care that I hadn't owned a car, only that I had been without insurance. I ended up paying such high rates that it probably offset the money I saved by being car free for a while. Is there a way that I could have avoided being screwed by the insurance company?

Another good reason to remain car free for life!

This sounds dangerous but I'm sure people do it.

All you need is the police to pull you over and in 30 seconds, they can find out if you have insurance. If you don't have insurance, the whole thing will set you back from 3-5 K over the next 4 years as you have to pay the fine, higher insurance etc!

Around here they give you a ticket and you dissappear until the next time. The DMV Enforcement division is so understaffed they can't even come close to getting all the plates that are being used without insurance. They need to pass a law for immediate impoundment of the vehicle if there is no insurance on it, ditto for DUI's...but then the cries of racism, police state, lack of due process, etc, etc, ensue. Remember driving is a God Given Right!:innocent:

FWIW I had DMV enforcement show up at my house to take my plate away due to non payment of insurance; what really happened is that 1) I had turned the plate in (had receipt to prove it) 2) canceled the insurance (again documented) 3) 4 months later reinstated the insurance on that vehicle and had gotten a new plate issued. Once I provided the proper information and documentation to the officer he apologized and told me he would make sure it was entered correctly into the system. Unfortunately most people without insurance don't follow the rules and can drive for quite some time without being caught.

Aaron:)

This sounds dangerous but I'm sure people do it.

All you need is the police to pull you over and in 30 seconds, they can find out if you have insurance. If you don't have insurance, the whole thing will set you back from 3-5 K over the next 4 years as you have to pay the fine, higher insurance etc!

Let's say you don't have $300 to get an insurance certificate, and you live in a society where almost everybody believes you must have a car to stay alive. What are you going to do?

I had this situation awhile back- I just went and took out insurance with progressive for 48 hours(random arbitrary time period), then took out a geico policy and showed them my proof of insurance from progressive that i printed from their website to prove i had insurance within whatever recent time period it was they asked me about, saved about $400 on the new policy and called progressive to cancel my policy and get a refund minus the two days I had it.

Ah the benefits of living in a regulated marketplace.... 3/4's of the year we live in France. For our new EU car, we pay for full insurance per year , not much more than the value of your refund..!, . My wife just had a one week stay in the hospital.. Hospital room charges per day are 7 euros.. We left, we felt like we were robbing them, since hotels are considerable more expensive..

Let's say you don't have $300 to get an insurance certificate, and you live in a society where almost everybody believes you must have a car to stay alive. What are you going to do?

Earn the $300 to pay for the service you "need" to stay alive, rather than pay for something else farther down in the list of "needs"?

Earn the $300 to pay for the service you "need" to stay alive, rather than pay for something else farther down in the list of "needs"?

Come on now... Cable TV>Car Insurance

Earn the $300 to pay for the service you "need" to stay alive, rather than pay for something else farther down in the list of "needs"?

You mean like pay for the insurance instead of rent or food for the kids.

And no, this is not a hypothetical case. This is a very good friend. In fact, I myself was in a similar situation many years ago.

You mean like pay for the insurance instead of rent or food for the kids.

And no, this is not a hypothetical case. This is a very good friend. In fact, I myself was in a similar situation many years ago.

No, I mean that if a person needs a car to earn a living and pay for food and and rent they will need to get the money to pay for such essentials as car insurance. Your post( http://67.201.16.77/showpost.php?p=8202724&postcount=23 )implied that people only need a car because of life in a society where "everybody" else believes it so.

Believe it or not some people can not earn a living wage and pay their rent or feed their family unless they have reliable, all weather transportation to and from their job, and live and/or work in locations where bicycles, shoe leather and/or public transportation are not viable options.

No, I mean that if a person needs a car to earn a living and pay for food and and rent they will need to get the money to pay for such essentials as car insurance. Your post( http://67.201.16.77/showpost.php?p=8202724&postcount=23 )implied that people only need a car because of life in a society where "everybody" else believes it so.

Believe it or not some people can not earn a living wage and pay their rent or feed their family unless they have reliable, all weather transportation to and from their job, and live and/or work in locations where bicycles, shoe leather and/or public transportation are not viable options.

Oh I see. I thought you were being uncharacteristically illiberal. Sorry I jumped on your case for nothing. :o

This sounds dangerous but I'm sure people do it.

All you need is the police to pull you over and in 30 seconds, they can find out if you have insurance. If you don't have insurance, the whole thing will set you back from 3-5 K over the next 4 years as you have to pay the fine, higher insurance etc!

wow, not in WI! a ton of people here don't have any insurance. no one checks if you have it or not. not the DMV, not the police. Thats just not how it works in this state, it never comes up until you get in an accident.