09.16.26 Auto Insurance Warning / Social Media Scam Ads

Oh, man.

We got six weeks to Halloween, and this feels like just an ugly trick happening from America's auto insurers.

I mentioned this before, and there was somebody from the insurance industry who posted a very well thought out Clark stinks.

But the trend is not you're my friend.

Insurers now in the US are not paying on just under half of all auto claims, and the increase in the denials is absolutely stunning across different insurers.

Part of it, the industry says, the post we had on Clark Stinks, that it has to do with a lot of, um, illegitimate bodily injury claims.

But people are having trouble getting all kinds of things paid now by their auto insurer, and it's just a fact.

Now, you want something that will get a claim not paid or get you canceled? If you allow someone to drive your car who is not named on your policy.

In the past, this was not a criteria for an insurer to say they weren't gonna pay.

But as insurers are looking to increase their profitability, well, I gotta tell you that if you let a friend, "Hey, I need to just run with your car," blah, blah, blah, or a work colleague is gonna go pick something up for you, something like that, and you give them your vehicle to drive, and they have an accident, even a minor one, insurers now will say, "No." Not every insurer, but it's become a common practice.

Now, I mentioned once before that, uh, my middle daughter has a car insured with an insurer that in bold type says that her vehicle is not covered for any other driver other than a named driver, and it says it bold.

And so just know that being casual and letting a relative drive your car or something like that, don't do it anymore 'cause insurers, remember what I said, almost half the time they're not paying claims.

Sometimes, as we had in the insurance industry post response, it is true.

Maybe your deductible's high enough that it ends up being a non-payout or whatever it is.

But there is a clear desire of the insurance industry to have those cute TV ads, uh, get you to buy from them.

"But then you were serious about that? We weren't actually covering you.

[laughs] We're not paying for that." So just know that it's a tougher industry, and they're, they're living by the contract.

Pay attention to it, and if there's something you th- are trying to decide if it's okay to do, if you're trying to decide, it's not.