April 27, 2007, Newsletter Issue #63: How To Cancel Service With A Car Insurance Company

Tip of the Week

In most, if not all cases, you should be able to cancel service with your car insurance company at any time during the policy term. To do so, send written notice of the date and time at which you'd like the coverage to end. Your car insurance company may have a standard form that they need you to fill out to cancel your coverage. Do not assume that your policy will be cancelled automatically if you fail to pay your next monthly premium. It is better to give formal notice of the cancellation. Going through official channels to cancel the policy will help you avoid negative repercussions, such as being labeled a “high-risk” applicant by your insurance company.

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