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Usually, the most jarring part of a car accident is the collision. But for one Michigan woman, allegedly getting blindsided by her insurance company after the fact left her feeling like she was \u201cbeing thrown away.\u201d<\/p>\n
Cari McCaskill, of Oakland County, told ClickOnDetroit that she was involved in a traffic accident on May 2 of last year, when another car \u201ccame around, going about 40 or 50 [miles per hour], trying to get around traffic and T-boned us.\u201d<\/p>\n
At the time, McCaskill had two passengers, her 12-year-old daughter and her daughter\u2019s friend. All three were, thankfully, unharmed.<\/p>\n
McCaskill said that she filed a claim with her insurance company, GEICO, and \u201cThe process went as it normally does.\u201d The claim, however, required the police report, which recorded McCaskill\u2019s two young passengers.<\/p>\n
And while she did receive notice that her car was worth more than $25,000, she said the insurance company, which she\u2019d happily been with since 2014, went silent on her claim. It even got to the point, she added, that she couldn\u2019t log into her insurance app to check the status of the claim.<\/p>\n
Finally, weeks later, she received a response that she never could have expected.<\/p>\n
Read More: The average net worth of Americans is a surprising $620,654. But it almost means nothing. Here\u2019s the number that counts (and how to make it skyrocket)<\/strong><\/p>\n Rather than a standard update on her claim, the letter McCaskill received from GEICO noted that her policy was \u201cunder review for rescission retroactively\u201d to her most recent renewal, citing McCaskill\u2019s \u201clack of disclosure of all resident relatives\u201d in her household.<\/p>\n In other words, they cancelled her insurance because she hadn\u2019t listed her 12-year-old daughter, who is not legally allowed to drive, in the personal injury protection (PIP) statement for her insurance coverage.<\/p>\n Worse, because the daughter\u2019s friend, who was involved in the collision, went to the doctor for a post-accident check-up, GEICO served McCaskill papers for a complaint against both her and the doctor, claiming they didn\u2019t have to provide medical coverage because of the aforementioned failure to list McCaskill\u2019s daughter on the insurance. The story adds, however, that the doctor in question hadn\u2019t even requested payment from GEICO (1).<\/p>\n<\/p><\/div>\n The case, meanwhile, raises questions about who car owners must list on auto insurance forms, and if insurance companies can cancel coverage if you fail to include a minor who isn\u2019t even legally allowed to drive.<\/p>\n Direct Auto \u2014 a division of Allstate \u2014 notes that, \u201cGenerally speaking, insurers will ask you to list all household members when applying for a car insurance policy\u201d but that \u201cyoung children (typically under the age of 14) should be exempt\u201d (2). Other insurance companies suggest the same, including the Michaels Group, which added \u201cUnlicensed children typically do not need to be listed as drivers\u201d (3).<\/p>\n State laws, however, can complicate things. \u201cSome states require all household members, even those who do not drive, to be listed on your car insurance policy,\u201d CarInsurance.com states. \u201cIt ensures that any situation where someone else might drive your car, even temporarily, is covered\u201d (4).<\/p>\n Michigan laws, meanwhile, have their own unique quirk. They state that \u201cclassifications and territorial base rates used by an insurer in this state with respect to automobile insurance\u201d must be applied based on certain requirements, including \u201cnumber of dependents of income earners insured under the policy\u201d (5).<\/p>\n The law, then, appears to leave room for discretion as to whether the insurance company has to cover a collision, as there\u2019s no age requirement for dependents listed in the policy. It also creates a potentially expensive situation for the many drivers who might assume that only those dependents of driving age need be included in their policy.<\/p>\n In a different report from ClickOnDetroit, insurance provider AAA confirmed that, \u201cDue to state law, everyone has to be listed, even infants\u201d on auto insurance policies (6).<\/p>\n That said, there\u2019s clearly wiggle room for the insurance companies to provide coverage.<\/p>\n Another story about an accident in Michigan involved a local couple, their two small children, and GEICO insurance. The couple told their local Fox 5 station that their car, with the whole family inside, was hit by a driver on Christmas Eve 2025. And while they fortunately didn\u2019t sustain any severe injuries, they say GEICO told them that their failure to list their one-year-old and three-month-old children on their insurance policy could \u201cimpact\u201d their coverage. Still, in the end, the couple says GEICO agreed to cover the damage to the car \u2014 estimated to be up to $15,000 \u2014 allowing them to avoid the same fate as McCaskill (7).<\/p>\n As for McCaskill, her lawyer, Chris Camper, told ClickOnDetroit that the situation made her feel \u201cas though she\u2019s done something wrong and that she may be stuck with a $25,000 or $26,000 lease.\u201d<\/p>\n GEICO told the outlet that it complies with all state insurance regulations regarding claims and coverage, and could not comment on a case with pending litigation. The specific lawyers representing GEICO did not respond to requests for comment (1).<\/p>\n According to the Insurance Information Institute (III), in 2024, the average collision claim payout was $5,489, while the average claim for bodily injury was $28,278 (8).<\/p>\n Costs of an auto collision, of course, can skyrocket depending on the severity of the damages and whether there were any injuries. And because different states have varying laws \u2014 including regarding the disclosure of dependents on your insurance forms \u2014 it\u2019s best to speak with your insurance agent about the members of your household to ensure you won\u2019t be denied coverage on the basis of incomplete disclosure.<\/p>\n That said, if you do find yourself in a dispute with your insurance provider, there are important steps you can take to help resolve the case.<\/p>\n The III suggests reviewing your policy, as \u201cMost companies offer either arbitration or appraisal services to help settle differences and disputes. Your insurance policy will explain these options.\u201d They add that sending documentation with all the relevant information, along with a letter, to the insurance company could help make your case (9).<\/p>\n Law firm DM Injury Law says that supporting evidence should include everything from police reports and witness statements to repair estimates.<\/p>\n Comprehensive documentation, they add, can significantly increase your chances of winning an appeal (10).<\/p>\n If all else fails, III and others note that turning to your state\u2019s insurance regulator, an arbitrator or even an attorney may be necessary to get what you believe you\u2019re owed.<\/p>\n And though it does add the extra cost of legal fees, Babcock Tucker Labor Advocates advise that \u201cMost likely, once you\u2019ve hired an attorney and they contact your insurance company, the dispute will be settled out of court\u201d (11).<\/p>\n We rely only on vetted sources and credible third-party reporting. For details, see our editorial ethics and guidelines.<\/em><\/p>\n ClickOnDetroit (1); Direct Auto (2); Source name (3); Carinsurance.com (4); Michigan legislature (5); ClickOnDetroit (6); Fox 5 (7); Insurance Information Institute (8); Insurance Information Institute (9); DM Injury Law (10); Babcock Tucker Labor Advocates (11)<\/p>\n