A big question we get is, "can my insurance company cancel my policy?" The answer is yes, but they will provide written notice before they do. Policies aren’t canceled for no reason, here are 4 reasons your auto policy might be canceled.
1) Unpaid bill
Most insurance companies offer a grace period following an unpaid bill, but after that period the insurance company is free to cancel your policy leaving you without insurance.
2) The Insured Lied
If a claim or other issue uncovers a lie you told your insurance company, they have the option to terminate your policy based on omissions in your application.
3) Suspended or revoked license
If for any reason your license is suspended or revoked your insurance company may decide to cancel your policy.
4) Health status
Certain medical conditions, especially those that will impact your driving ability, can be a cause of policy termination.
If your policy is canceled the first thing to do is call your insurance company and see if there is any way to reinstate with or without a coverage lapse. If there is no option to reinstate your next step would be to start insurance shopping. Certain companies are more apt to take drivers who have been terminated and are considered “high-risk” drivers. We service over 40 companies and may be able to help you in the event you have been canceled. Call us and we will see if we can help you out!