HELP!! My Car Insurance Has Been Cancelled
Are you in trouble with your car insurance company? If so and are wondering how this could happen to such a sweet person as yourself, let’s see if we can make sense of it and give some direction for the future.
There are lots of reasons why people have their car insurance cancelled but let me give you the top three reasons. And let me assure they aren’t just picking on you, this happens to thousands of people every year. Here are the top three:
- Insurance companies HATE to pay out claims, I wonder why? Insurance is like gambling. YOU are gambling that you will have an accident and need their money, THEY are gambling that you won’t have an accident and they’ll get to keep your money. This being said, gamblers typically are sore losers! So if your cancellation was because of too many accidents in a short period you are in trouble. It’s very hard to explain that kind of bad luck; no one’s going to buy it.
- Being consistently late on your payments. This is the worse reason for being cancelled. You have to come up with some way to pay your insurance on time. If you are going to be late call your agent and give them the date you will pay. Getting a 10-day extension is easy if you let them know. However if this happens on every payment you run a big risk being cancelled. The easiest way to fix this is to get set up on a direct withdrawal each month. That’s what my daughter does. This way she doesn’t have to worry about it.
- Excessive moving violations. This will probably cause your premiums to increase and if you continue driving this way you may be cancelled. Besides it’s expensive. A friend of mine got a ticket for doing almost 50 in a 35-mile zone - the excuse was she was talking on the cell phone and didn’t notice how fast she was going. The fine $125 - OUCH!
Now for the solution: it’s simple start shopping. Insurance companies are just like any other business - they require new customers to stay in business. There’s bound to be one that can give you a good rate, no matter what your driving history is.
We recommend you use an insurance broker that has access to multiple companies. Each insurance company offers rates based on their own criteria. Some companies will ding you if you live “on the wrong side of the tracks.” Some companies don’t want to insure newer cars (too expensive to repair). Others don’t like it if you drive too far to work. Some companies will give you a discount if you’re a student, etc. etc. etc. The point is, a broker can plug in all the “positives” and “negatives” about you and come up with the one best company that fits your unique situation.
Contact one of our insurance companies and explain what happened and they will get you reinsured promptly. DO NOT drive uninsured. The risk is just too great. Getting insured is just one contact away!
