ICBC and Lease Question
 

So, we gave back our lease to the leasing company (forfeited because we can't afford to pay for the car anymore) before the return period. A month later, we get a letter from ICBC that says we were involved in an "accident" that was 100% our fault. However ... we did not have the car in our posession at the time. In fact, we left it in the leasing companies parking lot.

There was some damage to the front end of the car from the past winter where it slid into a pile of snow and one of the caps popped off. And there was rear end collision to one of the quarter panels that didn't involve anyone because it hit a light pole in the previous winter (2 years ago). So, my question is, can the leasing company claim damage and ICBC award the damage costs/points to the leasee? Or? How does that work?

did you not cancel the insurance immediately upon return of leased vehicle to their possession?

We tried. We couldn't. The guy at the autoplan said that only the leasing company could cancel the plan.

what?!

..... which leasing company is this?

msn me if you wish.

FourStar Auto. You know ... the guys who lease to the Bacon brothers. LOL!

I'm pretty sure that's true with any lease? Correct me if I'm wrong, but when I tried to change over the PO on the insurance of my leased car, I had to have the dealership sign a consent form which allowed me to cancel the insurance, THEN replace it with a new policy which had a new PO.

Edit: According to ICBC, the OWNER of the vehicle has to be present or give consent to cancel any insurance policies on it. Hence, the leasing company/dealership OWNS the car on a lease, being a lessee doesn't make a difference.

The leasing company gives permission to cancel or change PO on the insurance policy. On a lease car, majority of the time, if you are not on the lease contract, you cannot be the principal operator (the rules vary with the lease companies: Honda Canada Finance, Toyota credit, VW Credit Canada, BMW Fin Services, etc.)

As for cancellation, make sure, I mean make sure, that the insurance is canceled right away. I do insurance for dealerships, and I've noticed that the sales people just leave the papers and plates on the desk, and anything can happen during that period of time. Only people who are authorized to sign for the lease can cancel the insurance.

icbc is screwed...sadly i think you'll be screwed too

Do you not have paperwork from the lease company confirming when you returned the car? If you have proof that you turned the car over and left it with them on a certain date, I'd think that would be pretty satisfactory to ICBC that you weren't driving it at the time.

The leasing company should have given you a "Power of Attorney" letter in order for you to cancel the insurance. That is the only way you can cancel, at least that's how it was when I had to cancel my insurance on my nissan. ICBC told me to ask Nissan Canada Finance for that letter.
Good luck on this

Huh?? why ICBC has to take the blame every time when someone else screwed up? Go to the next province over or better Ontario, you would wish ICBC is around. The OP's name is on the insurance, now the leasing company has taken possession and go to ICBC to fix the damages that happened under OP's watch..

The OP left the car in the lease company's lot, even though it is still his insurance.. it gets damaged, it is the still OP's name on the insurance paper... I think the leasing company find it is just easier for them to claim accidents to do the post lease inspection fixes.. by blaming the OP to ICBC, vs giving the bill to OP. I won't be surprised if the leasing company claim multiple accidents too, so the OP might get multiple hits on the claim scale.. since the OP is not there to defend, once it is done, it is done. I don't think it is ethical, however whether it is legal or not, depends on the documentation the leasing company gave to ICBC.

Honestly he should have kept the car in his secured location and wait for the company to show up to repo the car.

OP might want to talk to NCabbyT on Dubberz.. he knows the people at 4stars apparently.

hm... on the topic of ending leases early is there any other penalties? i thought there was some kinda penalties for ending a lease early anybody have more info on this?

It varies from leasing company to leasing company.. best read the fine print.. it is based on how much you still owe the company.

The only way to avoid this is to trade up.

Honestly IMO the only reason to lease is you have the amount for the car on hand and have an opportunity to invest in something that will out perform the lease.