30 days after closing and we are still dealing with issues that should have been addressed at closing.

It is the great American dream to own your own home.  We dutifully applied for a loan looked for a house met all the lenders conditions and brought money to a closing that we shouldn't have had to bring.  Our house closes, we move in, we clean out our former living arrangement.  We are homeowners now we should be done. 


Wrong again.  Because of where we live our lender requires Flood Insurance.  We went to our insurance company and got a quote.  It was a little high so I negotiated with them by lowering how much personal property was covered and got a great quote.  That was about 6 weeks before closing.  1 week before closing our mortgage processor verified the flood quote and coverage and then arranged for the entire year of flood insurance to be paid in full at closing.


Fast forward 29 days.  We get a call from our flood insurer.  We are sorry to inform you that our computer made an error in rating your property and we require and additional $250.00 to grant you the promised coverage.  Wait a minute this company accepted payment and issued a flood insurance policy.  Now you are going to come back to us almost a month later and say you made a mistake and we owe you.  First of all the new price is $135 higher than the former owners were paying and that was without negotiating the personal property coverage down.  Second the company had 6 weeks to discover the mistake.  Third as a consumer we paid the premium quoted to us in good faith  expecting to receive the coverage that was promised to us for that price.  4th the company accepted that payment as paid in full at the time of the effective insurance date.


As a consumer protected by consumer protection laws, is this not a bait and switch situation.  Now that we have the policy we are being required to pay additional funds for the promised coverage.  Even if there was a mistake shouldn't the quote and payment stand?  Not only that but how can insurance that is federally regulated jump so much when there are laws to prevent this on the books?  We are investigating the legality of this before we pay anymore money to anyone. 


We have been happy with Progressive Insurance prior to this, but now they will find us shopping for a new insurance company for three different insurance policies. Buyer beware think hard before yu use this company.