Peoria man's insurance won't cover 18K claim for car
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- čas přidán 3. 06. 2024
- Manny Munoz of Peoria says his gap insurance won't pay his $18,000 claim for his totaled car after a 60-cent technical error.
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If tax payers are legally required to have car insurance, the car insurance companies need to be legally required to cover ehat they're supposed to cover.
That's not how our fascist country works at all. Insurance companies are the government.
You are required to have liability insurance, to cover the damage you cause. The lender is the one that requires collision insurance for the damage on your own car. The "Gap" is to cover what the difference in what the insurance company pays (ACV) on your car, and what you owe. If you don't have a loan that requires it, you don't need insurance on your car. Liability just covers the other person's car if you are at fault in an accident.
Gap insurance is to cover the difference between what the car is worth and what you overpaid for it. Not the insurance company's problem you paid too much and now owe far more than the car is worth.
This insurance is such a scam ..
Exactly
I can tell you that their claim of a 60 cent error was a smokescreen to get out of paying. Typical insurance company bull💩!!!!!!!
Exactly! And it takes a public shaming to get them to pay. I hope everyone watching this remembers never to insure with them. They'll lose more than $18,000 in a hurry!
Recently, a friend of mine had their gap insurance company hold up their claim process for a while with a long series of document requests. The one that stood out, was them demanding to see the actual check used to pay for the car. Now it all makes sense. Also, she still had to make payments on the vehicle during the process that wouldn't be reimbursed. Another way for them to pay less.
@@Chicago_Native Yes, that's another thing. This guy has been waiting for months. Even if the insurance pays up now, they collected interest on that money all that time while this guy and your friend probably had to PAY interest.
100%
So pay him everything except the 60 cents !!!! Just another way for an insurance company to SCREW the customer 💯
It was just that simple. But they were looking for any excuse to not pay. Insurance companies simply do not want to pay, but keep ask8ng to get paid.
@@stephaniejames4940 I must take a degree in theoretical physics and advanced algebra to even come up with a reason that 60 cents = $18,000.
I hope people realize how dirty insurance companies can be.
This is Fraud and conspiracy of the insurance companies
Exactly 😒
As an attorney, I can tell you that a 60-cent discrepancy is absolutely NOT a defense to paying the claim. This denial is obviously being done in bad faith, which violates the implied covenant of good faith and fair dealing which is inherent in all contracts.
The car owner can -- and should -- sue the insurance company for the full amount they owe, *_plus_* punitive damages.
And if he hasn't done so already, he should file a complaint with his state's insurance commissioner.
Or simply give the insurance Co. a chance to correct a computer glitch, which they did.
You are not an attorney.
@@stuwest3653 What computer glitch did the insurance company have?
@@Chicago_Native Watch the video.
I was in court and judges dismissed a case with a contract that admitted guilt. A totaled car. The United States Supreme Court upheld the judges and jury decisions.
@@stuwest3653 Give the insurance company a chance to correct a computer glitch???
First, this wasn't a computer glitch. The claim was DENIED by the insurance company. Whoever received the claim and wrote the denial letters wasn't a computer.
Second, the car owner fought the insurance company for _seven months_ before finally going to "On Your Side" for help. The insurance company had _seven months_ of chances to pay the claim.
The real crime is the $60k+ for a BMW and the $45K+ he owes.
100%
Naw people should know better with all the free research that exist on the internet
@@LazyTeeRex They should, but they don't. People buy what they can't afford. If you have to take a loan that big on a vehicle like that, drive a used Camry instead or something you can buy outright in cash.
Scotty Kilmer approved😅😅😅😅
Lol. He’s only paid off 1/4 ($15k) in 3 years. He definitely couldn’t afford the car getting that long of a loan on it.
I wouldn’t be surprised if the company did this on purpose.
They definitely did it on purpose. I considered it fraud when insurance companies take your money then when it's time to pay they look for any small detail to not pay. Why did they take his money with out doing their due diligence in the beginning. It's because they are hoping this will happen and nobody will fight them.
Why pay $18,000 when you can reject the claim over 60 cents? Of course it was on purpose! Shame on Safe-Guard Insurance for trying to screw this guy over for 7 months
Gosh, I wouldn't be surprised if it were gravity that made water flow downhill. It's almost too convenient, but what do I know?
What "company " are you talking about? The insurance company had no participation in the credit union paying off the car dealer when the car was purchased. Neither one of them would have any motivation whatsoever to set up a situation for a claim denial.
@davidison3905 Who is they? The insurance company is not privy to the amount paid to dealer. They are insuring the amount of the loan.
Insurance are a scam criminals
insurance companies are legalized criminal organizations.
Yea this is so true i hope someday one responsible senator or president is going to make changes to how they pay their claims. They will make you bleed before tbey even look at your claim. We have a claim with Geico and it took us more than a year to get paid with so much less than our car’s value.
What language is this gibberish?
@@DarthVader1977Facts. Thats the language of facts
@@SL-pg4dh Accurate 😂😂😂😂
Why could they not just short the check .60¢?!?!
That is exactly what I was thinking. Or let him pay the $.60. Their obvious goal was to use ANYTHING to avoid paying the whole $18,000. But somehow that is not a crime. Seems like breech of contract to me. They sure didn't let the $.60 stop them from collecting the premium for 4 years.
@@frotobaggins7169
Exactly. It didn't stop them accepting the money.
@@frotobaggins7169 It's the car seller who probably;y just ignored the .60, the insurance company will spend endless time to find anything they can find to deny paying, some insurance people get a commission on how long they can stall paying a customer before having to shell out the money.
Why pay anything if they can get away with making up a nonsense excuse in bad faith?
@@frotobaggins7169 _"Seems like a breach of contract to me."_
It's _absolutely_ a breach of contract. A 60-cent disparity is *_not_* a defense to paying the gap insurance claim. It's disgraceful.
If it weren't for the fact that the car owner went to a local TV station and apparently got the issue resolved, I would strongly recommend that he look for an attorney and sue the insurance company. If I were licensed in Arizona, I'd be glad to handle his case.
If you did this you'd end up in prison.
The insurance can makeup rules if it wasn’t for the news they would give this bull why does 60 cent difference matter
@@raymondmesa8258 yep they just seen an opportunity. Think of all the people that didn't have contact the news.
@raymondmesa8258
It doesn't matter.
It's an excuse to keep the money.
Or hold the money as long as they can.
Keeping it in their account allows them to use it and make money, even if they later have to pay it.
@@CurlyFromTheSwirly that's right and or interest by holding 20k for 7 months.
Gotta love crooked corporations.
Gotta love stupid people that are 18k upside down on their car loan. He is a financial idiot.
Insurance is legalized extortion.
and months of stress to get some of the money they owe you
Too bad you have to shame them on tv to get it done
It's a reputation thing. Like hush money.
Shame on the insurance
When my grandfather died they denied my grandmother payment because they claimed he died the day before the end of a waiting period they were never told about. I truly HATE insurance companies 😡
When my Dad died there were no issues with waiting periods or anything like that as far as I know but they did everything they could to not pay the full amount of the life insurance policy. They sent my Mom a check for about 1/5th of the amount, she called them and complained. They sent another small check, she called them again. In total she had to call them 5 times before she got the full amount.
So the policy they SIGNED doesn’t list a waiting period? This sounds like more personal responsibility avoidance to me.
Get a lawyer it'll be well worth it
Sixty cents isn't keeping Safeguard from paying the claim. Safeguard is using it as a way out from paying a claim. What a joke! I hope this will alert people to not do business with that insurance company.
It was a deliberate mistake just to void this type of loss.
usually is...
File complaints with the State AG, and State Insurance Commission.
"why are my insurance premiums up?"...
Yeah... in recent years, cars have gotten far too complicated and expensive to repair. 😠
The other problem is some new cars have bumpers that are nearly non existent and low rear hatches, so a small impact damages the rear hatch and surrounding vehicle body instead of just the bumper.
This has nothing to do with your insurance prices 😂 the delusion people trump brought out is scary.
@@angelcelis9090 how is it not when the payouts are getting bigger because the repairs are so costly, where’s the common sense in your statement?
@@pinchebruha405 you liked your own comment 😂 you must also believe the governor is wasting “your tax dollars” 🤦♂️
This is acting in bad faith by the insurance company.
Thanks for helping people. the gap insurance doesn't want bad press so they reversed it
Yeah. Nothing was stopping him. It isn't as if the 60 cents was even their money. They wanted to deny the claim.
Sounds like the CEO needs to be charged with fraud
Sucks to pay $61k for a mid level BMW suv and just a couple years later, it's lost almost 60% of it's value.
I don't feel sorry for him.
4 years later still owes more then half the value of the car-at the time of purchase. 10 year loan? Seems like Im entitled to this no matter if I can actually pay for it. Think about the value of the car when he would have paid it off and owned something worth $12. Cars value drops by almost half when you drive it off the lot, its always been that way.
Lol
Typical BMW
Big
Money
Wasted
Still owe 70k after 4 years of paying on it? Seriously, this guy needs a financial advisor.
He owes $45,360 not $70,000. You don't add the insurance payout to the debt you subtract it. $45,360 minus $26,709 equals $18,651, that's what he has left to pay still after using the insurance payout on his loan. The GAP insurance should be covering that $18,651 and probably will since that insurance company is going to get a ton of bad publicity from this.
How does he owe 70k?
@ o-The-Duke-o Where do you get the $70k figure from?
@@Milesco In the video it states Ins paid $26.7k but he still owes $45.3k @1:25
@@-o-The-Duke-o- Okay, I see what the problem is. The announcer used a poor choice of words. He misleadingly said the insurance company paid the car owner just over $26k, which was the value of his BMW, "but he still owes about $45,000 on the vehicle."
What the reporter *meant,* and should've said, is "...but at the time of the insurance payout, he owed [not "still owes"] $45,000 on the vehicle."
The dealership accepted the payment "in full" from the credit union? Then that sale is final and shows the final value of the car. Pay that.
It wasn't even the insurance company's 60 cents.
The dealership accepted it and wrote of the $0.60. There's a difference.
“No one noticed the error until..”
If the insurance couldn’t provide notice in that time, they’ve forfeited the opportunity.
Wow, screw SAFE-GUARD! Any underwriter with any common sense would have just handled it. Instead, they tried to do the wrong thing over a minor typo. No one should ever use this company for GAP. - Good job you guys for helping this poor guy out!!!!
INSURANCE COMPANY’S ARE SCAMMER’S IN MY OPINION ‼️
Fraud!
Insurance is not distinguishable from organized crime.
That is such an easy fix
At best around 8-11k repair
Sounds like just another friggin insurance scam.
I was in the body shop business.
I did a customer pay job.
Customers says he will get reimbursed from his insurance company.
I got paid with no problems.
I received a call from his insurance company claiming
that I over charged him $ 5.00 for an item.
The agent and I had a long dialog on the $ 5.00 subject.
I kept my $ 5.00
The "long dialog" likely cost 3x the $5.00.
@@frotobaggins7169exactly, it's step over a dollar to save a dime mentality.
Most insurance companies are there to receive premiums and find any way that they can to get out of claims.
The real crime is claiming that a bumper and a tailgate would cost more than $26,000 to repair.
His insurance company ripped him off
It’s clear, don’t use safe guard!
This reminds me of an issue I had back in the late 90's.. I bought a car from a guy that inherited it from his late father. Both men, Father and son, had the same name, BUT.. when this fellow signed the title over, he signed it with "jr" at the end. I didn't think anything of it until I tried to get it registered at my local title clerks office. Since the signed name didn't EXACTLY match the name on the front, they would not issue me a title until I could get it fixed. We had to get together and go back to his clerks office (different county) with his paperwork from his father's estate and get a new title issued in HIS full name (which I paid for) and THEN he could sign it over to me right there. It was aggravating, but it had to be done. Lesson learned. If you buy or sell a vehicle (according to DMV), make sure the seller line on the title is EXACTLY like it's written on the front! Including the address!! I've bought and sold a few since then, but I assure you, I double/triple check to make sure it's correct!
It also pays to check what the insurance values a vehicle you are buying also. If it's not going to be insured for the amount paid and you have to buy gap insurance. Wake up people. Dealerships are robbing us. And insurance companies have become the same.
Markets change everyday. Nobody can predict what the value of a car will be tomorrow, let alone 3 years down the line.
Don't speak on things you don't understand
@@P2B_JCYes you can if you buy toyota or honda. At least you can predict that the value will hold. You can also predict that the value for a beamer or Benz will go to shxt the minute you drive them off the lot
@SL-pg4dh that's not true. You can't predict what the market will be tomorrow. Anyone who says otherwise is an ignoramus and should not be listened to. You can guess, but a guess is not truth.
Being processed could mean they are sending him a check for 60 cents....
Thank you for helping this man
I guess Safeguard is not really that safe. Not a good company to do business with.
"SafeGuard" (of their own money only) would have found something else if there wasn't a 60 cent discrepancy.
That's all these 2nd rate insurance companies do; take and never pay.
The adjuster for the insurance company should be sent to prison for insurance fraud
What a horrific company. Nobody should use safe guard. This is absurd.
I'm betting that was done on purpose by the insurance company knowing he probably would not notice and giving them a way to try not to pay....this needs to be thoroughly investigated as I'm quite sure there are many customers that have been done the same and are not yet aware.
They saw news involved don’t want bad publicity that only reason everything rolling
Contact the Arizona Insurance Commission. I've had an insurer's license revoked and then finally paid after a lawsuit.
I just learned to never use Safeguard...Thanks
Sounds like the same companies that sell extended warranties! He's probably one of the few they'll ever pay!
“Didn’t have a choice”? He had a choice. He could have bought something cheaper that was more reliable like a Toyota or Honda.
He didn’t have a choice. He had to borrow 60 grand for a car. They dragged him out of his bed, drove him to the dealer under the gun, and squeezed his hand until he signed the loan applications.
Thank god for this news team getting involved.
The attorney general needs to have a conversation with that company. This is ridiculous and should never have happened. There's no need to find out who made the mistake and then go through the process of using them when all a company needs to do is realize a clerical error and move on.
I think they are totaling cars to get them off the road.
I tired to estimate his payments... With a principle of $60,517, 96 months term, at 12% APR, after 36 (3 years since April 2021) payments, the outstanding principle would be $44,216. This guy still owe $45,360, meaning his terms are worse.
Signing a contract like that would feel like grand central station when you try to sit down.
Broke ass bro trying to look rich by borrowing his life a few hundred dollars a month.
He needs to file a complaint with the state insurance board and attorney general.
Insurance and attorney is a must when living in America today.
Shows that the ins company is willing to do anything they can to save money and not pay out, it’s obvious that the client/victim had good intentions from day one by paying extra for that extra coverage. Did the ins offer to refund what he paid extra since the GAPins was “null and void” due to the .60 discrepancy? Of course not.
First mistake was buying a car you can’t afford 🤦♂️
He should have bought a Toyota...They hold value much better!
True but that 60 cent is still petty and dumb af
He got rear ended
@@lrich8181or a Lexus
Idk why you're being dumb. Was it stated he couldn't pay it???
He PAID for an insurance protection and was trying to use it to cover what was legally and contractually obligated to fulfill in a total 💯 loss in the vehicle.
Hope you get the same thing one day and have someone say you shouldn't have bought the thing you loved because you couldn't afford it, even though he was responsible enough to get the coverages needed to cover his butt financially.
Plus this entire thing is not HIS fault.
SOMEONE rear ended him causing his total loss! There's so much to this story. And hopefully he gets to sue multiple companies for there lack of attention and inability to process loans.
It's the banks fault for not submitting the information correct which in due time caused damages/interest accruement over the loan that was Still open because he couldn't closed out that vehicle is Full Payment,
It's also the GAP, insurance companies fault for accepting the documentation that wasn't accurate which yet again caused undue stress and punitive damages to the customer.
There where multiple people that could've stopped this fiasco. Please be better and stop commenting BS.
Thank you folks for helping this man get his issue resolved!
There should be regulations against any business "enriching" themselves at a customer's cost based on a technicality like this.
Not only has all kinds of INSURANCE went up like crazy. But now insurance companies don’t want to pay out. What a Scam
It's very possible that the finance guy at the dealership messed up on the loan amount when filling out the GAP contract and sent the GAP company the wrong amount financed.
Dealers can't sell GAP to 3rd party loans.
His biggest problem was filling the claim through his own insurance instead of filling through the party that hit and damaged his car
What if he was at fault or it’s no one’s fault
@@godsson8035 if it was his fault, his own insurance wouldn't have covered it and damage cannot be of no one's fault as two vehicles were involved, he was rear ended
@@subhobrotouhhh yeah it would have rofl. That's what insurance is for...
what difference does it makes? Whether it was his insurance or the offender’s insurance, his pay out would still be the value of the car at the time which was 26k. His real issue was with his gap insurance which was a separate from on insurance. And gap has to be self insured
@@SL-pg4dh no. The third party insurance has to make him whole. His own insurance has stricter terms always, for example actual cash value than replacement value. This is why you always pursue the other person's insurance if you have the means to do so and they carry insurance
These scams are like the "Extended Car Warranty" companies that refuse over 80% of claims based on some "technicality" BS.
Unreal. Great job highlighting this problem.
Fraud at your expense. Insurance, attorneys, and bankers will drive you bonkers 🤪🤪🤪
Avoid all 3 as much as possible.
@@frotobaggins7169 you're talking about Shangri La😂😂😂
1st mistake was buying a BMW.
Yeap, I bought a 2009 335i with 75k miles and so many expensive repairs were made. Never buying a German brand ever agaib
He drove it for 4 years without a problem until he got rear-ended. He certainly paid FAR too much for it in '20...
Or taking your advice. Stick with your pinto
@@nboddie1036 and he could've bought a Toyota, poor guy.
No way! You bought a luxury car and had expensive repairs? Who would’ve ever thought.
Lol. The anchor saying "he didn't have a choice". Did they have a gun to his head to purchase a 60k car?
It may have been more difficult to purchase a car, but he didn't need to purchase a 60k car. Get real.
Thanks for looking out for the little guy and his $60,000 BMW.
They don't have To match
They do.
@@P2B_JC You are what's wrong with this country Mister troll
@@Drumbo1959 have you read the GAP contract? Have you read ANY GAP contract?
😂 the insurance company broke their contract.
Thank you for helping him out. God bless
I bought a New $30k Camry back in 2020 and it’s all ready paid for and it will take me to the same places that BMW will. Great car
Always have a lawyer check your contracts for 'weasel clauses'. They still exist.
My father always said if it looks like it was written by a lawyer then you need a lawyer to read it for you.
No wonder these insurance companies are all cutting and running. The whole house of cards is coming down.
They should just pay the 18K minus the 60 cents
Paid $60,517.86, insurance only believes the car is worth $26,709, why isn’t anyone saying anything about BMWs depreciation?
Bmw depreciation is not news though.
My guess this is a common practice so they can deny claims for gap insurance. Now they are getting caught publicly so they are going to settle asap before others come forward 😂
First of all, check all the maths and don't sign anything that doesn't match up perfectly. But, his biggest mistake is paying that much for a pile of shit BMW. He could have bought a new Highlander for about half. No tears for the 1%'ers.
My 2017 X5 with 150k miles is worth 15k and when someone sideswiped me last year insurance refused to total it and spent 12k fixing it.
It was 60 cents cheaper to repair than replace
All that paperwork to say No costs more than .60
But might let them deny a claim. And it wasn't even their 60 cents. It was the dealership's money.
Why did you pay $60,000 for a 26,000 car that's stupid
It's obvious he bought fairly new at the time
He paid $60,000 for a new car that was worth $26,000 at the time of the accident
The need for gap insurance is an indication of not making sound money moves
More like an indication the insurance companies in this country need a major make over and reeled in. Gap insurance is basically insurance on your insurance. Foh.
No, the gap insurance is an indication of making a sound of money move. Since most new cars are going to be worth less, especially when they’re less than a year old.
New cars, but not like that, are the more economical choice. Used cars require repairs a lot, and are still expensive.
I switched to new as the repairs of older cars would add up to a new car payment. The only thing scummier that insurance is auto repair shops.
Insurance companies in general are the biggest rackets out there SMH
Imagine writing that letter. They had to be laughing. Ridiculous.
The bigger issue is he bought a $60,000 car 4 years ago, he still owes $45,000 on it, and that's only worth $27,000.
That cars worth more than $27,000. Theyre a car insurance company. NEVER take the first amount they offer, especially in a sellers market.
It's probably worth closer to $35000.
That's why he had the gap insurance.
@@bobvance- Possibly, but I don't recall hearing what year it was. It looks exactly like my 2016 and those wheels were only offered 2 years - 2016/2017. It also didn't say how many miles on it. They drop off in value massively after 100,000 miles because of maintenance expense. I just had my valve cover gasket replaced and it was $2000. It's a 6.6 hour job and you have to replace the valve cover also as they're known to warp. The oil filter housing gaskets were $1000 to replace. Although it sits right in front of the engine, it has 1 bolt that requires you to take the intake manifold off first to get at. What should be a 1 hour job is now a 3 hour job because of that. Edmunds puts the value of my 90,000 X5 AWD at $11,400
Thank you On Your Side, it's programs like yours that help to bring back some fairness to this world. We need to boycott Safe Guard, it's disgusting what they tried to do to their client.
"the damage looked somewhat minor"
That's the kind of response I expect to hear from someone who's never done automotive structural collision repair.
Are you fucking kidding me? This is an absolute joke. I dont care who or why, but whoever rejected this claim needs jail time.
This company should be shut down for this type of scam.
Time to start holding this insurance company liable. A massive lawsuit will be way more for them then an 18K claim. Typical insurance company BS that would never hold up in court. Unbelievable BS they put this man through. Glad On your side is exposing them for their fraudulent behavior.
Disgusting. My best friend’s family owned an insurance company for several decades. A client bought a new Mercedes (his dream car) and called my best friend’s dad (the company president) asking him to provide coverage so he could drive it home from the wharf Friday evening - my friend’s father said “sure, the premium is $xxx, just drop the cheque off Monday morning, you are covered from now on.”
Would you believe the car got hit by a truck on the way home and was totaled? The owner called my friend’s father and was told “I said the car was covered, just drop the premium off as agreed, and we will write you a cheque for the car.” An honest deal done by honorable people.
Nothing depreciates more than a bmw. Good god.
60 cents? They're really going to hold 60 cents over him? That's ridiculous.
Doing what journalists are supposed to do. Good job.
classic... try to find any excuse to NOT pay... Been there done that and stopped using insurance companies over such crap.
The government needs to step in and regulate insurance companies to protect the consumers
Cashing that check with the sixty cent shortage is implied that they have accepted it as full payment and he therefore is covered. I’d sue for breach of fiduciary duty. This is disgustingly common.
Sue them. The court will see on ridiculous that statement is.
Is not the car that rear-ended insurance responsible
They are responsible to pay current value of the car. If you owe more than the value, either you eat it or have gap insurance.
But would it had been resolved without a news team investigating them? Terrible business, I will never use this company.