Equity

Merriam-Webster’s site says it quite clearly for children:

Main Entry: eq·ui·ty
Pronunciation: ek-wt-
Function: noun
Inflected Form(s): plural -ties
1 : fairness or justice in dealings between persons
2 : a system of law that is a more flexible addition to ordinary common and statute law and is designed to protect rights and achieve just settlements in cases where ordinary legal settlements may be too strict
3 : the value of an owner’s interest in a property in excess of claims against it (as the amount of a mortgage)

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It appears that as our insurer of two cars, a renters insurance policy we are not required to have and a million dollar umbrella insurance policy chose to not wait an hour. Instead they sent out an immediate cancellation notice by email then a pink letter I picked up in today’s mail.

Am I livid? Yes, I’ve talked to several people and sent a letter to the head of the Gecko Network.

We’ve been good customers for 14 years and have four accounts. All they can say is that these letters are sent by the system and they can’t do anything about their issuance.

When called, a representative said that after 14 years paying into the Gecko Network we don’t have “equity” in it so get notices on the first of every month if our online check has not been processed.

What is “equity” when it comes to an insurance company? I’d like to know. If we don’t have “equity” after 14 years, what might that elusive pink or punk elephant be?

Our state does not give one day’s grace period for lateness on an auto insurance policy, something I’m trying to remedy because it turns out our state senator has to run for office in a few weeks and I’m a new swing state voter.

Thirty years ago I had a check cashed at my local (back home) auto insurance agent’s office. It was due on the first but was a day late due to the mail service. Remember, this is 30 years ago.

They cashed the check that was due for the coming month and cancelled my policy the same day. I called and called and called. I was working for the Speaker of the NYS Assembly at the time, on Insurance. My agent would not answer a call and his assistant would not even answer the phone.

New York State has a 15 day grace period for auto insurance. I went to a reception that night for the insurance industry and ran into a former lobbyist who became Insurance Commissioner under the Governor.

The Commissioner asked what was up and I told him what happened to me. He asked if he could take care of it personally if I sent him the paperwork by interoffice mail. The next morning my agent called (he probably had an accident in his pants) and said my policy was reinstated with a decrease in premiums.

Would I have liked to be a fly on the wall for that conversation. Well, insurance is regulated state by state because that’s the way the insurance industry wants it to be (unlike banking, but no-one regulates the banks, they only take bailouts).

I’m pioneering a five business day grace period for auto insurance policy holders because no-one can depend on computers, or the US mail. The State of Wisconsin has no grace period at all and told me they could do nothing for me with GEICO.

I’m looking into other companies but haven’t had a good hit yet. GEICO has been good to us for 14 years, we’ve had two minor claims in 14 years, under $5K total and two windshield nicks. I’d hate to leave them but will if a better deal comes along.

In the meantime, I’m going to pressure the state legislature to enact a grace period so these companies don’t send out pink envelopes to long-standing, premium-paying clients who always pay on time for over a decade, just because some dang computer says so.

Are you with me? Dee