How to Avoid Getting Cancelled by Your Car Insurance Company

February 26, 2019 by Chris Bibey

When you purchase car insurance, you assume you’re in the driver’s seat in regards to the coverage you carry and when (or if) you make a change to your policy.

Unfortunately, it’s not out of the question for your car insurance company to cancel your policy. Even though it sounds unfair, insurance companies are cracking down more today than ever before.

Right now, insurance companies are pushing for tighter acceptance guidelines. Not only does this make it difficult to secure coverage, but it does the same in regards to keeping your policy in good standing.

Here are some of the things you can do to avoid getting cancelled by your car insurance company:

1. Pay in Full and On Time

Insurance companies don’t give you much leeway in regards to paying in full and on time. It’s imperative to know when your bill is due, and to ensure that you pay without delay.

In the event that you don’t require your insurance for any reason, don’t simply miss your payments. Instead, contact your insurer to discuss your options.

Tip: setting up automatic payments with your insurance company will protect you against missing a payment.

2. Don’t Drive Distracted

It doesn’t matter where you live, you can be rest assured that police are cracking down on distracted driving. It’s easy to think you can get away with this, but the more chances you take the greater chance there is that you’ll get caught.

While not always the case, there’s a good chance that a distracted driving conviction will lead to non-renewal.

Note: three or more minor tickets can equal one distracted driving conviction, thus leading to the cancellation of coverage.

3. Don’t Misrepresent Yourself

When completing an application for car insurance, it’s easy to stretch the truth with the idea of securing coverage at a more affordable price. This is never a good idea, as your lies are likely to be uncovered at some point.

If you lie about any particular detail of your risk – such as past convictions or suspensions – your policy will likely get cancelled for misrepresentation.

Tip: you’re better off telling the truth and letting your broker shop around for a policy that suits your coverage requirements and budget.

Final Thoughts

If you miss a payment, stack up one traffic violation after the next, and/or misrepresent yourself, you can expect your car insurance company to cancel your policy.

In the event of a cancellation, don’t hesitate to contact us to learn more about what you can do to get back on the road.