What happen when I can't recompense an insurance audit surrounded by full?
My company received a liability insurance audit last year which resulted in an further $15,000 premimu due. We are a small company and can not pay this bill in full. I hold been making weekly payments on the amount, but the insurance company still wants pay in full and has sent us to a collection agency. They too will not adopt weekly payments. What happens now? We can not salary the bill in full. Can they sue us for the full amount? What if we can't pay the court establish?
Thank
I would continue to contact their billing department to see if they can set up a pay plan. If you have not contacted them to make a allowance plan in the past, even though you are making weekly payments, they may enjoy not known your intentions, or the payments may have be too small to have been taken seriously and thus they turned you over to collections.
Try once again to christen and set something up. Explain to them that you just do not have that sensitive of money in one lump sum. Keep a log of all conversations. Include the date, time, person's christen and what was said. This way if you do achieve taken to court, you can show proof that you have tried to work things out.
If it goes to court, ask the regard as being if the debt can be repaid in installments.
If worse comes to worst, you may have to liquidate some of your business' assets and settle off this debt.
Good Luck to you.
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addtional ideas:
I would recommend that you win a good financial advisor and an attourney who can help you sort through this.
Agree beside mbrcatz, if your audit is resulting in an INCREASE of $15K then you apparently either grew a ton this year or made a ton of money more than expected. Either that or you mistated your expected income/staffing in instruct to pay a lower monthly premium.
While I am empathetic towards you situation, based on the audit you any made enough money this year to cover it or you lied on your application.
Answers: Well, of course they can sue you for the full amount! If you can't pay the court instruct, the business can be shut down and the assets sold to pay the amount due.
You just own to work really, really hard to pay this. Clearly, you MADE adequate money to cover this, as audits are a percentage of sales or payroll - I'd suggest you need to review how the brass is being managed at the business.