There are many reasons why you may choose to change you're vehicle insurance coverage to another company. Perhaps you have found another company that offers you the same amount of coverage, for less. Reasons like, you're not satisfied with your auto insurance company. Investigating your choices with the expansion of the internet and quote comparison sites has never been this easy! Within, we will explain to you how to change providers so you can obtain cheap auto insurance.
You need to regularly review your auto insurance coverage to make sure that you are receiving the best insurance value for your money. You will discover that it pays to shop around. In some states, premiums for identical policies vary widely among different auto insurance companies. The reasons for this price variation can be very complicated, but they boil down to a company's claims experience with policyholders in a coverage group . For example, if a large number of customers in an existing coverage group file claims during a given year, their rates can possibly rise. When this happens, you can get better discounts and lower overall premiums at other insurance companies. Whenever you are ready to decide which auto insurance company you will change to, then you'll find that it's fairly easy to do so.
Generally, all you need to do to cancel your auto insurance policy is to inform your insurance company in writing, specifying the date you want the policy canceled. In some states, the new agent must notify the previous agent of the policy change. Policyholders will send back the actual printed policy as is sometimes required. The auto insurance company will send out cancellation request form that needs to be signed and sent back to them. Examine the form carefully and analyze all the information regarding the policy to make sure it is correct. If the form is not received within two weeks of sending the letter, call the agent or company immediately to check on the status of the cancellation. Ensure, that you cancel your prior insurance policy. In all U.S. states there are laws that prevent the cancellation of an auto insurance policy without prior notice, therefore if you do not formally cancel your policy, your insurance company will cancel the policy due to lack of payment, and may report this discontinuity in coverage to your state government. This can have a negative impact on your credit rating and your ability to get a new auto insurance policy.
Prior to cancelling your old policy, be sure that you have new coverage in place. If you do not do this, you have have a lapse in coverage! A large number of U.S. states have mandated auto insurance, as a consequence, you will frequently be required to present proof that you have obtained a new auto insurance policy before you existing insurance carrier will cancel your policy. The new company will be able to time the beginning of the new policy to coincide with the cancellation of the prior coverage. It may be beneficial for you to look at several auto insurance reviews before making your final selection.
The most convenient time to change policies is at renewal, since at this time, you will not be due a refund from your prior insurance company. In the majority of cases, you will receive a renewal notice from you existing carrier at least one month before it is due to be renewed. When changing providers, you will have to obtain a new policy prior to the time the existing policy renews. Be aware, that your new coverage will not activate until payment is received by the insurance provider. If the premium was not paid and you have an accident, you will be liable, since your coverage will not be in effect!
Car insurance policies all have a provision that allows you to terminate your policy with advance notice at a time of your choosing. In some states, a penalty applies to those who cancel a policy prior to the time of renewal. Most of the time, no penalty is applied. Quite often switching policies prior to the renewal date can be advantageous to you. To give an example, your existing auto insurance policy may run from February 1st to January 31st, however, a ticket you received may become 3 years old in April. By changing policies prior to renewal you can receive a good driver discount. Your current carrier won't apply this discount until the policy renews on August 15th. This action will likely reduce your insurance premium immediately!
When you change auto insurance companies, the new agent or insurer can generally change carriers while you wait! In order to make the policy switch the agent will need upfront payment, your driver's license, and a copy of the existing insurance policy.
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