Insurance charges for resignation (Canada)

Sounds like you're leased on with a company as an OO. Go back and read your contract with them, paying particular attention to any fees they claim they can charge you under the termination clause. If there are no fees mentioned, they're committing fraud. If that's the case, don't bother with a lawyer and call the district attorney's office in the county where his company is based. If there are fees mentioned in the termination clause, you're probably screwed.

An insurance company and/or a broker cannot keep unused premiums and must refund them to the policy holder.

 

You would have to read the contract to see if it's spelled out there. Certainly makes it easier for them to keep the money and harder for you to get it without going to small claims court.

 

If it’s in the contract, you might be out of gas. I forget when you lease, they don’t charged you that big down payment when you start an insurance policy. They breakdown the whole term policy in payments. So you might be in the negative which the lessor will want to recover. This is just a guess since I have never leased to anyone.

 

You may have a loophole with the wording stated as "insurance premiums", and indeed a good attorney may be needed to clear this up. The burden of proof is on them to show exactly what insurance premiums they must pay on your behalf for the early termination. Just coming up with a random dollar amount seems pretty odd.

 

you will pay for the time you were there...like you said...2 months....that's what pro-rated means, you pay for the time, not all of it..

in the future, take the paperwork to a lawyer and have him explain things to you, BEFORE you sign...

 

Most insurance policies charge by the month, not year.
You should only be charged for the time on the company list. Per month.
I would think the apportioned plates you would be liable for. Maybe any annual permits or quarterly permits. (Oversize,overweight)

 

Are you in Ontario?
If you are, you are not considered a true Independant contractor but a dependant contractor. Which means that you may be able to use the labor board to recover your money. Before you go get a lawyers advice, call the labor board. Then if they can't help you,get a lawyer involved. The only issue with this situation is that your lawyer may cost more than the money the ex company is withholding. Sometimes a sternly worded letter from a lawyer can resolve the issue.

Also, if you have NOT signed a confidentiality agreement I would threaten the company with what amounts to a "I'll make this company my personal hobby" social media threat where no one will come work here and is it "really worth what you'll lose" in turn.

Go after them and call them on this BS.