Typically, as we go through life, we make many changes to our auto insurance policies. Additional drivers and vehicles may be added to our policies as our families expand and our children begin to drive. Coverage limits may be increased or reduced depending upon our current economic situation. Finally, specific types of coverage are often added or rejected as we deem necessary.
Due to the ever changing nature of insurance policies, attorneys often encounter difficulty in determining the types and amounts of coverage that were in effect on the date of an accident. For this reason it is important that you maintain documentation indicating the effective date of all changes to your auto insurance policy including the addition of any driver or vehicle and any increase, reduction, addition or rejection of insurance coverage. It is also vital that you maintain a copy of all renewal forms, waivers and other signed documents relating to your policy.
This is especially true when it comes to the rejection or reduction of coverage. Depending on the type of coverage, your insurance carrier may be required to have you sign a waiver indicating that you are knowingly rejecting or reducing coverage. Furthermore, in certain situations, your insurance carrier may be required to have you sign additional waivers as you make changes to your policy indicating that you still wish to reject or reduce coverage. If they fail to do this, the rejection or reduction may be deemed ineffective, entitling you to additional insurance coverage.