Time can come where you just want to cancel your auto policy and you just can’t take it on your vehicle anymore. Don’t worry, it happens. There could be several reasons to cancel a current car insurance policy and it’s no crime.
You’re free to end up with your insurer but bear in mind that insurers don’t let go their policyholders that easily. So, before you unstick your policy, prepare a solid reason that caused you to take this step.
Valid Reasons to Cancel Current Car insurance Policy
We would like to show you up some valid reasons in which you can’t think twice to cancel your policy. Situations like these sounds prompt to call off your current car insurance.
- You are buying a new car that doesn’t fit in this policy
- You are getting rid of your current car
- You’re planning to give away your car
- You’re leaving driving for good
If you find these reasons missing then you might simply want to switch your current car insurance policy over these.
- You’re moving to a new state and it has different policies. Your current car insurer may not cover your new location and it’s not best-priced for you anymore
- Occurrences like marriage or death of someone registered on your policy
- You’re not satisfied at all with your current car insurance policy.
Things You Need to Cancel Your Policy
Ready this documentation as soon as you make you your mind. Your car insurance agent will ask you about this following information:
- Your policy number
- Personal information including name, DOB and social security number
- Your new auto policy details containing provider’s number, policy number, and date.
- Proof of plate forfeiture or bill of sale if you’re getting rid of your car
Steps of Cancelling Current Car Insurance Policy
Notify Your Insurer – Let him know that you’re canceling this policy otherwise you will keep receiving bills which if you won’t pay will cause you more future expenses.
Follow Their Lead – Write a written notice in email or either talk to your insurer to follow the right steps.
Ask for Refund- It is smart to ask for a refund or insurance fees if you’ve left some weeks or month on your insurance policy. You are also entitled to refund by the company if a sudden casualty happened in your family and you already paid for the entire year.
Inform Your Bank – Let your bank know if you have a loan on your from there that you’re leaving or switching to a new policy.
Cancel Automatic Payments – Stop if you’re using electronic funds transfer after you policy cancellation is been processed.
All Set for Your New Insurance – If you’re planning to continue driving your car then have your new car insurance policy lined up before you cancel current car insurance policy.
Will You Pay Any Fees?
Well, it depends upon your insurer. There may be or maybe not. Cancellation fee varies from $25 up to a percentage of your overall premium. The good news is this that most of the companies don’t usually charge any.