Have you heard similar stories of policyholders getting canceled because of a home inspection being done, without any explanation or notice that a negative assessment could mean refusal of their renewal?
I know that Co-Operators will definitely not renew us. Its not right that they deceived me that way, leaving me feeling helpless.
People should be aware of the companys true intention when it comes to inspect homes. Always ask for a written request for home inspection and the purpose.
21 years and we have not made a single claim on our home insurance.
Last month, an employee from Co-Operators local office advised me over the phone that an inspector will come to our home to inspect. I was surprised because in 21 years nobody ever came to our home to inspect.
When I asked what for, I was told that it is to check that we are paying the right premiums and to make sure we have enough coverage. So, the inspection was done on Oct. 28.
With no claims filed in 21 years, I was confident there would be no problems renewing our policy. Right after the inspection, I received a notice to renew and I noticed that the premium had gone up. I called to inquire but my agent was not in.
On Sunday, Nov. 8, I read our local agents two emails, dated Oct. 29 and Nov. 4, informing me that Co-Operators will not renew. I was shocked!
It was not at all explained to me that this home inspection can result to our policy being declined. I say its very deceptive because I was not notified that the main purpose of the home inspection is for risk assessment.
Never was it disclosed that a negative assessment can result in our policy being refused for renewal. I never got a written notification on why this home inspection was needed and there was no indication that we can in fact lose our policy based on this.
Then I was told that I have up to Nov. 13 to look for another provider, only 4 days from the day I actually read the agents email. Whatever happened to a consumers right to know what could happen? His reason for refusal was upkeep and using a new credit rating.
Three things are definitely wrong with this business practice:
1) Its deceptive. I allowed the agent to come to our home, believing the reason for it was to find that we were paying the right premiums. I deserve to know ahead of time that a negative assessment could cause us to lose our policy.
2) There should be a written notice at least 60 days before renewal date, explaining the reason for home inspection, the benefits and risks (one being that the policy may not get renewed). Give details on how the company measures risk. If we dont know, how can we fix those problems?
3) There is nothing in the policy that states a home inspection has to be done, and based on the result, policy may be refused.
I was so stressed over this, I let the agent into my home not knowing exactly what he was doing. I felt scammed, tricked, deceived!
Our home may not be perfect, may need a repair here or there, but was it ever explained to me that our policy may not be renewed because of this? That is not right.
The consumer has a right to know.
He mentioned in his email that the company uses a new credit rating.
My question is, did underwriting look into our credit history, right after the home inspection? If they did, they did so without my consent. Is my credit score a factor in the companys decision to refuse me?
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