Legal Question in Insurance Law in Utah

Submitting payment to bank at wrong date

My Auto insurance carrier submitted my monthly payment to be withdrawn from my bank account at the wrong date.I wasn't notified of this and susequently all following transactions I made in my bank account were overdrawn and the bank charged fees for each transaction.The insurance provider was completely at fault and admitted this but will do nothing such as credit the amount back into my bank account and withdraw it on the right due date.The bank will not reverse the overdraft fees because they say they were never notified and it was not their fault.They say the insurance company should pay my overdraft fees in which they refuse to. Am I liable for fees because of a faulty transaction that I had no knowledge of?


Asked on 2/10/04, 10:25 pm

1 Answer from Attorneys
Alvin Lundgren Alvin R. Lundgren, L.C.

Re: Submitting payment to bank at wrong date

Your only recourse appears to be to sue the insurance company. You can probably sue them in small claims court. The insurance company will have to hire an attorney to appear in court - and may just elect to pay your bank fees. Document all of the fees and costs you incurred, file the suit and see what happens. You will probably not need an attorney at small claims, although you are permitted to have one.

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Answered on 2/10/04, 10:47 pm


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