Legal Question in Insurance Law in Georgia

Homeowners policy paid through mortgage with our bank. In febuary, bank was notified that the policy would be cancelling. The bank, nor the insuance company notified us. In March, 1 day after cancellation was official, the house was broken into and trashed. Now the bank says they would have notified us AFTER policy cancelled. So shouldn't someone at the bank be resopnsible for letting us know we would have NO insurance BEFORE it was actually cancelled? Thanks for any help.


Asked on 3/31/12, 7:49 am

1 Answer from Attorneys
Glen Ashman Ashman Law Office also dba Glen Ashman Attorney

You were negligent. Obviously you know the expiration date of your policy and it is your responsibility, not the bank's, to keep the policy in effect. When you don't get a renewal letter in time, YOU call your agent. The bank cannot. The loss is thus your fault. Note that the bank can foreclose when you breach your loan agreement by letting insurance lapse, or they can do forceplace insurance that protects only the bank and not you. In the future, pay attention to your affairs and contact your insurer if you do not get your renewal letter in time. That is a responsibility you have as a homeowner.

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Answered on 3/31/12, 2:02 pm


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