Sport Bikes banner

1 - 20 of 21 Posts

·
Registered
Joined
·
538 Posts
Discussion Starter · #1 · (Edited)
I cancelled my bike insurance with Dairyland this week and called to see check on the process. They told me yes, its been cancelled by letter and email and now the phone person says I have to pay a termination fee of 85 dollars.

I ask what is this for? They said in the fine print if you do not fulfill you 1 year agreement with us we will recover whatever discount has been given like winter non use etc. I could not believe it, I have cancelled auto and bike policies before and not one time have I ever received a bill for stopping my business and going to the competition.

Its in the fine print. Well yeah, they got me on that count. Sure you win there. Its however bad business to fine a customer cause they took their money elsewhere and not state it very clearly either with a salesperson at the time of the sale or boldly written out to get my attention before I sign up.

Just want to get the word out to anyone buying Dairyland Motorcycle Insurance that if you leave early you pay a fine like a cell phone contract.

Buyer beware.
 

·
Registered
Joined
·
538 Posts
Discussion Starter · #2 ·
Geico
Progressive

Two companies I have terminated either car and bike insurance with and both offered me discounts like safe driver, non winter use and at the time of cancellation did not fine me.

Horrible taste in my mouth by this company.
 

·
Registered
Joined
·
538 Posts
Discussion Starter · #4 · (Edited)
I posted this warning on 4 forums. I was irate over the phone, told the phone rep to tell mgt is it worth 85 bucks for bad word of mouth cause people will remember reading this and avoid the company.
 

·
Registered
Joined
·
145 Posts
Eh.

I had a policy with Progressive, and I was going to cancel it. They told me since it hadn't been a year yet, they charge a % of the unused premium. Oh well, that's life.

I'm happy with Dairyland and will continue to refer friends to get quotes there. Save several hundred each year because of them.
 

·
Registered
Joined
·
2,566 Posts
I posted this warning on 4 forums. I was irate over the phone, told the phone rep to tell mgt is it worth 85 bucks for bad word of mouth cause people will remember reading this and avoid the company.
Yeah, I doubt they are shaking in their boots over this threat. Just suck it up and quit complaining. You failed to read the policy in full so who is at fault here?
 

·
Registered
Joined
·
538 Posts
Discussion Starter · #8 · (Edited)
Yeah, I doubt they are shaking in their boots over this threat. Just suck it up and quit complaining. You failed to read the policy in full so who is at fault here?
That's fine if people if want to do business with a company like this. There are plenty out there that will not punish me if I no longer ride, sold the bike, found a cheaper plan. Still feels very rotten to me.
You read the whole policy in full? Really, that good for you. There are many of us who pay for a service when we are done stop paying.

I clearly know apt leases, condo leases, car leases have penalty for leaving. someone tells you so at contract time, the business does not make you the buyer fish it out

I know with Directv, cell phone plans, Bank CDs, at point of sale a human being will tell me a penalty is enforced. Its ethical to actually SAY something as opposed to fishing it out of 10-20 pages of a legal document. There is something call good business practice which is different than stone cold business practice which leads to ill will between customer and business. You want repeat customers choose the one that is a good business practice not one that hides its policies which will deter someone from signing up with Dairyland in the 1st place.

You think I would sign up if I knew there was a early termination fee? No, so the agent over the phone does not say a thing nor is this important fact clearly written out without you falling asleep in page 13 of the motorcycle policy discovering it.
 

·
Registered
Joined
·
731 Posts
That's weird, last time I cancelled a Nationwide policy they paid me back the unused portion of my policy. Now I'm with Progressive.

Sent from Motorcycle.com Free App
Yep, when I cancelled my Progressive policy I received all my $$ back. I've never even heard of Dairyland but I agree with the OP that's it's good to share this type of info. That being said, it's also important as a consumer to know what questions to ask before signing on the dotted line.

As a general rule, especially with all types of insurance, I tend to favor large established companies with good credit ratings over saving a few bucks.
 

·
Registered
Joined
·
729 Posts
So you didn't read the policy.

Know what? Most office clerks don't really read the signed forms you hand them when you purchase the policy, either.

I'm sure you'll read carefully from now on, so next time you see something like this, line through it and initial, or else write a note somewhere on the form: "Insured will not be obligated for any early termination costs." Or whatever.

Back when I was a renter, I got an apartment once that had some clause I didn't like so I lined through it an initialed it. The landlord later tried to enforce it and said, "It's in your lease." I replied, "It might be part of your standard form, but it's not in my lease. Pull it out and look. And I retained my copy." She went and checked and said "If I'd seen this you wouldn't have gottent the apartment." I just replied, "You really should read your agreements, shouldn't you?" End of story.

Did a similar thing when I bought my houses and on my re-fi's. Saved me several hundred dollars in "errors and omissions" charges.

Most people don't read standard forms. Learn to use that to your advantage, rather than getting screwed by it.

You've received a lesson here that's worth much more than the $85 it cost you, if you have sense enough to learn it.
 

·
Registered
Joined
·
538 Posts
Discussion Starter · #12 · (Edited)
i got money back when i switched from statefarm. that was pretty shady of dairyland to have a clause like that in their contract.
I called and a supervisor is supposed to call me tomorrow. Told them to take me to a 3rd party to decide. I signed up over the phone, when I bought my bike did not sign anything. Gave them the vin, my address, social # for the credit check and put the bill on a credit card without hearing " penalty for leaving early" words.

So really I was signed up before getting a chance to read anything as I left the bike shop fully insured and already a entrapped Dairyland customer.
 

·
Pit Bike Legend
Joined
·
3,339 Posts
I've always bought my insurance over the phone. Kinda hard to read a full contract when you've never even seen it. I know geico has actually told me that if I cancel they will refund the remainder of the paid premium. So far I haven't felt the need to cancel though.
 

·
Registered
Joined
·
9,277 Posts
wow that is shite. here it's law that if you cancel insurance, they HAVE to pay you out for the remaining time. . .

+1 to making your own changes. That I know of, no drafted agreement is set in stone until you sign off on the thing. change what you want, see if you can get away with it.
 

·
Registered
Joined
·
145 Posts
wow that is shite. here it's law that if you cancel insurance, they HAVE to pay you out for the remaining time. . .

+1 to making your own changes. That I know of, no drafted agreement is set in stone until you sign off on the thing. change what you want, see if you can get away with it.
My understanding of this, is that they would pay back the remaining unused premium, but take $85 out of this money. Or if less than $85 remained in unused premium, would charge him the difference. Obviously in the latter case you would just let the policy run out.

For the guys saying they didn't sign a contract because they bought it over the phone: are you sure you didn't then get a policy in the mail or sign electronically? Auto insurance rules vary by state, but I'd imagine signing a contract wouldn't be variable.
 

·
You are here
Joined
·
3,535 Posts
I had Progressive for years until I got a sport bike, and Progressive wanted to rape me up the ass to insure the thing. Went another way, though they insure my Goldwing and quite reasonably at that. Heck, I crashed that thing into the back of a land yacht and my premiums actually went down.
 

·
Pit Bike Legend
Joined
·
3,339 Posts
For the guys saying they didn't sign a contract because they bought it over the phone: are you sure you didn't then get a policy in the mail or sign electronically? Auto insurance rules vary by state, but I'd imagine signing a contract wouldn't be variable.
I have never signed a single piece of paper from geico, and you cant electronically sign over the phone. I'm sure they have sent me various things in the mail, but i've never sent anything back.
 

·
Registered
Joined
·
3,498 Posts
Every state has it's own laws governing insurance company policies. That's why insurance of all forms is such a hassle here in the US. For example, in Arizona insurance companies can only hold a crash against you for 3 years, so eventually it fell off my record and my premiums went down. Then I moved to CT where they can hold crashes for 5 years and that accident came back on my record and my premiums went back up.

Sent from Motorcycle.com Free App
 

·
Registered
Joined
·
538 Posts
Discussion Starter · #19 · (Edited)
Dairyland got me, I now remember.
I had a 06 GSXR600 last Summer and was looking for a lower rate than what Progressive gave me. So I called and got a much better rate and switched over the phone, was happy and pleased and did sign online after the phone call at home.
By the conversation over the phone I thought it was going to be like any vehicle insurance I bought in the over 20 years I've had vehicle insurance.


So it looks like I am going to see if its legal in WA State to be fined for stopping insurance with the State Insurance Commission office or Attorney General.

When I had Progressive I signed up over the phone and the only thing I remember sending back was a written note stating I reject Personal Injury Protection.
 

·
Registered
Joined
·
538 Posts
Discussion Starter · #20 ·
I called to complain and they have agreed to drop the term fee, I will see if they keep their word. I did get a collection bill in the mail yesterday, I assume they next step for them would have been debt collectors. This is one week after I termed my policy.
 
1 - 20 of 21 Posts
Top