I had auto insurance with a company called Country Club (CC) until December 13, 2004, when I changed to Geico insurance and have been using them since. However, in January, I noticed that CC was still sending me bills in the mail saying that I still had insurance and that I owed them $800.00 for the next 6 month period. I contacted my, now former, CC agent via phone and she said that she would take care of it. I received a another statement, dated Feb 28 - Mar 22 2005, in the mail about a month ago that had a payoff quote of about $500. It was very vague and it didn't even detail what they were charging me for or what period it was for. I assumed that the item was still in dispute, however, today I received a letter from a collection agency saying that I owe them $500. I feel stupid now as I probably should have seen this coming. I at least thought that they would send me another notice that actually detailed what they were charging me for. I am just curious as to what my course of action should be? I want to avoid getting anything on my credit report. Should I send the credit collection agency a cease and desist letter and state that the item is in dispute? If I do this will I also need to send something to the creditor in writing or would I be okay to just discuss this over the phone with my CC insurance agent? What are any of you more experienced users opinions? Thanks in advance for any help or advice... Joe
The CC insurance company is probably claiming an "earned premium" for some time period Was there an overlap in coverage when Geico was in effect, but CC had not yet been cancelled?
