Understand when you can cancel your car insurance coverage.
Are you moving to a city and no longer need a car? Perhaps you’ve found a better policy with a different insurer. There are many good reasons why you need to cancel your auto insurance policy. If this is the case, you may be wondering when you can cancel your coverage. After all, didn’t you enter into a contract with the insurer? To help you understand more about your coverage, read on.
Technically, you can cancel car insurance coverage at any time. The circumstances in which you cancel may determine if you have to pay the insurer a penalty. For example, if you immediately cancel your car insurance coverage after taking out a policy, you could be charged a fee for cancellation. These fees can vary from $25 to a percentage of your overall premium. Be aware that every insurer will have their own cancellation policy and fee, so it is best to consult them for accurate information.
Depending on your policy and the insurance carrier, you may get a refund when you cancel coverage. Some insurance companies will refund all the premiums that you have already paid. That means if you prepaid for a 6-month or 12-month car insurance policy, then you could receive the complete value of your premium as a refund. Again, it is best to talk to your insurer directly to understand what you are entitled to.
For all of your car insurance needs, contact C.V. Mason Insurance Agency in Bristol, Connecticut. We will work with you to ensure you have the right amount of auto insurance coverage, all at the right price to fit your budget.