Is there a non-owners motorcycle insurance policy available from any insurance company?

Insurance policy lapsed for a month...should I pay now that I have a new company?

• I had an auto policy w/ Liberty Mutual for one year. My policy was due to expire on 7/26/06. I was sent paperwork and a bill to renew my policy in June, but I did not sign anything, or send any payments, because I was looking to get a cheaper policy. Long story short, I cancelled my policy on 9/5/2006, and went with another, cheaper company. Now, I let my prior policy lapse for a little over a month. I'm getting letters in the mail from a collection company, saing that I owe them $330. Which is my annual premium! Should I just pay the full amount, and suffice the company, enen though I only lapsed for a month? Im afraid that they will report me to someone(my new insurance Co., or DMV), saying I drove w/o insurance for a month. Or should I fight it? I'd rather pay the extra hundred dollars, and not be reported than to pay less, and get introuble w/ my new insurance policy. What should I do? I cant afford to pay the entire amount, anyway!!

• Answer:

  AIG does this stuff too....you have to submit proof of your new insurance coverage in order to get them to cancel your policy. And even then, you only owe for the time they actually insured the vehicle--what you think may have been a 1 month lapse may not have been. You'll need to discuss it with them first....I wouldn't voluntarily give them your money. And NO, they can't get you in trouble with the DMV.