Usually, the most upsetting part of a car accident is the collision. But for one Michigan woman, she was allegedly blindsided by her insurance company after it made her feel like she was “being dumped”.
Cari McCaskill, of Oakland County, told ClickOnDetroit that she was involved in a traffic accident on May 2 of last year when another car “came, going 40 or 50 yards. [miles per hour]trying to get around traffic and he threw us bones.”
At the time, McCaskill had two passengers, her 12-year-old daughter and her daughter’s friend. All three were fortunately unharmed.
McCaskill said she filed a claim with her insurance company, GEICO, and “The process went as normal.” The complaint, however, required the police report, which listed McCaskill’s two young passengers.
And even though she was notified that her car was worth more than $25,000, she said the insurance company, which she’s been happy with since 2014, has been silent on her claim. It came right down to it, she added, when she couldn’t log into her insurance app to check the status of her claim.
Finally, weeks later, he got an answer he never could have expected.
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Rather than a standard update to her claim, the letter McCaskill received from GEICO noted that her policy was “under review for retroactive cancellation” at its most recent renewal, citing McCaskill’s “failure to disclose all resident relatives” in her household.
In other words, they canceled her insurance because she didn’t put her 12-year-old daughter, who isn’t allowed to drive, on her personal injury protection (PIP) statement for her insurance coverage.
Worse, because the daughter’s friend, who was involved in the collision, went to the doctor for a post-accident checkup, GEICO sent McCaskill the papers for a complaint against both her and the doctor, alleging that it didn’t have to provide medical coverage because McCaskill’s daughter wasn’t enrolled on insurance. The story adds, however, that the doctor in question had not even requested payment from GEICO (1).
The case, meanwhile, raises questions about who car owners must list on auto insurance forms and whether insurance companies can void coverage if you don’t include a minor who isn’t even legally allowed to drive.
Direct Auto—a division of Allstate—notes that “Insurers will generally ask you to list all household members when you apply for an auto insurance policy,” but “young children (usually under 14) should be exempt” (2). Other insurance companies suggest the same, including the Michaels Group, which added “Unlicensed children typically should not be listed as drivers” (3).
State laws, however, can complicate matters. “Some states require that all household members, even those who are not driving, be enrolled in your auto insurance policy,” states CarInsurance.com. “Ensures that any situation where someone else might drive your car, even temporarily, is covered” (4).
Meanwhile, Michigan laws have their own unique quirk. They state that “the territorial base classifications and rates used by an insurer in this state with respect to automobile insurance” must be applied based on certain requirements, including “the number of dependents of persons earning insured income under the policy” (5).
Therefore, the law appears to leave room for discretion as to whether the insurance company must cover a collision, as there is no age requirement for dependents listed on the policy. It also creates a potentially costly situation for many drivers who may assume that only dependents of driving age should be included on their policy.
In a different report from ClickOnDetroit, insurance provider AAA confirmed that “Due to state law, everyone must be listed, even babies” on auto insurance policies (6).
That said, there is clearly room for insurance companies to provide coverage.
Another Michigan accident story involved a local couple, their two young children, and GEICO insurance. The couple told local station Fox 5 that their car, with their entire family inside, was hit by a hit-and-run driver on Christmas Eve 2025. And while they thankfully weren’t seriously injured, they say GEICO told them their failure to enroll their one-year-old, three-month-old on their insurance policy could “affect” their coverage. Ultimately, however, the couple says GEICO agreed to cover the damage to the car—estimated at $15,000—allowing them to avoid the same fate as McCaskill (7).
As for McCaskill, her attorney, Chris Camper, told ClickOnDetroit that the situation made her feel “like she did something wrong and could be stuck with a $25,000 or $26,000 lease.”
GEICO told the station it complies with all state insurance regulations regarding claims and coverage and could not comment on a case with pending litigation. Specific attorneys representing GEICO did not respond to requests for comment (1).
According to the Insurance Information Institute (III), in 2024, the average collision claim payout was $5,489, while the average personal injury claim was $28,278 (8).
The costs of a car collision, of course, can skyrocket depending on the severity of the damage and whether there were any injuries. And because different states have different laws — including when it comes to disclosing dependents on your insurance forms — it’s best to talk to your insurance agent about your household members to make sure you won’t be denied coverage based on incomplete disclosure.
That said, if you find yourself in a dispute with your insurance provider, there are important steps you can take to help resolve your case.
III suggests reviewing your policy because “Most companies offer either arbitration or appraisal services to help resolve differences and disputes. Your insurance policy will explain these options.” They add that submitting documentation with all relevant information, along with a letter, to the insurance company could help build your case (9).
Law firm DM Injury Law says evidence should include everything from police reports and witness statements to repair estimates.
Comprehensive documentation, they add, can significantly increase your chances of winning an appeal (10).
If all else fails, III and others note that you may need to go to your state’s insurance regulator, an arbitrator or even a lawyer to get what you think you’re owed.
And although they add the additional cost of legal fees, employment lawyers Babcock Tucker advise that “Most likely, once you’ve hired a lawyer and they contact your insurance company, the dispute will be settled out of court” (11).
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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 Law of prejudice (10); Babcock Tucker Employment Lawyers (11)
This article provides information only and should not be construed as advice. Offered without warranty of any kind.
