10 percent cancellation fee!!!!

Oldsilverback wrote:
bigdoger You said" I am sure the fee was in writing in the insurance contract, so I am not sure what the fuss is."

As I stated in my two posts the 10% cancel fee is NOT written in the policy. But it is clearly written in their manuals sitting somewhere at their office. My current insurance company does not have a cancellation fee. I had not said what the fee is but now I will - Its $270.00. That is the fuss.

What I would like to see posted is anyone that has GMAC/NGI read their policy to see if it clearly states a 10% cancellation fee. If I see enough factual posts I will gladly pay the bill.

I have spent a lifetime dealing with contracts, and it is in there. This isn't some guy who hung a sign out front of his taco stand and decided to create an insurance company as well. Insurance companies have entire wings of their buildings dedicated to legal and compliance issues. They are regulated by the states where they operate. It might not say "10% fee for early cancellation" but there will be a whole bunch of legal mumbo jumbo that will eventually allow them to arrive at an amount. It might be a proration formula of some kind. It might be purely coincidental it came out to 10%. If you had cancelled a week early it might have been 11% and a week later 8%. But it is a certainty they have the contractual right to charge a fee.