Independent insurance agents in the Pacific Northwest have been voicing their apprehension over a promotion made by General Motors that offers auto buyers in the area a year of free MetLife Auto & Home liability and damage coverage.
In an effort to encourage more drivers in Washington and Oregon to purchase new GM vehicles, the auto manufacturer has announced that until September 6, when customers in those two states purchase a new 2010, 211, or 2012 car, crossover, or truck, they would also receive a free year of MetLife Home & Auto coverage. That insurer operates by way of independent insurance agents.
As MetLife has left the system of agency distribution, many of the agents have voiced some alarm. President and chief executive officer, Bob Rusbuldt, from the Independent Insurance Agents & Brokers of America (IIABA), explained that this promotion by GM brings a number of legal concerns, which the IIABA has identified to MetLife.
Rusbuldt said that the IIABA has pointed out a number of regulatory and licensing issues, as well as a number of important issues for policyholders. He added that the insurer has been receptive to the concerns voiced by the IIABA, and they are currently investigating them.
Independent Agents and Brokers of Oregon president, John Timm, said that the offer made by the GM “In the Car” promotion through MetLife brings about “a lot of questions” for customers.
Timm explained that if a consumer has more than one car, then they might face struggles with their existing auto policy that states that they are not automatically insured unless coverage is provided by a single insurer. He said that “I don’t think the other insurance companies in the country are going to roll over and waive all those provisions.”