AAA Auto Insurance AAA I called to cancel and was told to do nothing. Then I was in collections! Internet

I called to cancel my auto insurance and was told by the clerk that I had to do nothing just let the policy lapse. I asked if there were was a balance on the account and was told no, I am paid in full. So I did as I was instructed and a couple of months later was sent a bill from AAA for $270. They had assessed me another month billing after the policy was due to lapse and had audited my bill and came up with this outrageous figure.

I wrote back and explained what their clerk had told me but I was never replied to. Then I got a letter from AWA Collections for the same bill. I wrote them and they said they were investigating it and then got another bill from them for $290 saying that I had to show them proof that I was covered. I had already given them the new policy number, company and date. It is now on my credit report and I am furious. I am planning on going down to AAA with a protest sign and plead my case to the manager and public. It's the PRINCIPLE!!! That they think they can piss on anyone.