My gap insurance refuses to pay. What can I do?

OK, WHY does the gap refuse to pay? They need to tell you WHY!!! The ONLY real reason I can think of, is that you rolled over a prior loan into THIS car loan - you were upside down on the OLD car. THAT balance is showing up in your loan, but is NOT covered by GAP insurance. If they can't provide you with a written declination and reason, AND it's true insurance, you can complain to your state insurance department - but you have to complain IN WRITING. And be really, really specific - include the declination letter if you can! But really, your AGENT should be willing to help you out with this. Even if you didn't buy the gap coverage through your agent. (but next time, get the gap coverage on your auto policy, NOT the auto finance people.)

First thing, find out what State VLS is domiciled in. Then, contact the Department of Insurance for that State. Tell them the whole story. You might first want to give VLS one last chance to help you, especially if you tell them that you will contact the Department of Insurance in their State, and you just might put it on your 'blog. These guys don't like that kind of scrutiny. Let the Dept. of Ins. do the hard work for you. That's what they're there for.

You need to contact your States Insurance Department. They are the ones who oversee and investigate fraudulent insurance practices and this place VLS is definitely in serious trouble. Below is the link to "Your State Insurance Department Site." Just go to your state and it will tell you how to file a complaint. I went through the same thing a year after I was released. Guess they figured what the hell does an ex-con know? Enough to get there as*** shut down. Good luck ma'am http://www.naic.org/state_web_map.htm

I had the exact same thing happen to me! Uhhhh! That drove me crazy!!!!! While you fight with the insurance people, PLEASE pay the finance company! While I was fighting with the insurance company over $500, the finance company continued charging me late fees, reporting it to the credit bureau, and it was reported as a repossession! Over $500.00! It was so absurd. It has messed my credit score all up. It took 9 months for the insurance to finally pay and then I had to pay more money because of the interest and the late fees. PLEASE pay the $900 and continue to dispute the Gap insurance's refusal through letters and phone calls. Document everything! Lastly, when you pay the $900 to the finance company, get a payoff statement and file it. Good luck!

You can file a compaint with the insurance commission in your state, but that is a really slow process. You should write a letter and dispute their claim denial. Do that quickly. That will reserve your rights. Unfortunately, it costs a lot to go to a lawyer, it may not be worth it for $900.00--the legal costs could be more than that-- but you should go to one-most offer free consultations. If the company is known for that kind of behavior, I'd switch carriers. Go to a company that pays their claims--allstate, statefarm, geico, progressive, etc. It is bad enough to have an accident, much less be in the position of fighting with the company that has the fiduciary obligation to protect you. Good luck. I hope you prevail!