Did you know that forgetting or misstating details could be considered misrepresentation and cause serious issues with your auto insurance?
Here’s a common scenario. You bought a car a few years ago and listed yourself as the sole driver. But recently, your teenager, who was a child at the time, has been using it to get to their weekend job. If you didn’t inform your insurer and your teen causes an accident, you may not be covered, even if it was an honest mistake.
Misleading use or location can cost you
Some people report a lower-risk location to pay less, say, a Montreal resident listing Tremblant as the main location because they spend time at their chalet. But if the car is stolen in Montreal, coverage may be denied. The key is this: the “use territory” is where your vehicle sleeps most of the time.
Accurate use matters
Underreporting how you use your vehicle is another issue. For example, you use it evenings and weekends to deliver food, whether for income or not, but haven’t declared it. This increases your mileage and risk of accident. Including old damage in a new claim can also backfire.
Honesty pays off
Such omissions can result in denied claims, cancelled policies, or even legal action. So:
- Be open and accurate in all disclosures.
- Update your policy whenever your situation changes (move, new driver, etc.).
- When in doubt, call your Lussier advisor, available 24/7 at 1-855-LUSSIER (1-855-587-7437).
