Whether you’re switching car insurance providers or selling a car with plans to no longer drive, cancelling car insurance is typically a straightforward process

Section 1: When to cancel car insurance

There are many reasons why you may want to cancel your car insurance, but the reasons aren’t usually as much about risk or cost. Often, you might want to cancel insurance in order to reduce the cost, as this could help to reduce the overall burden of car insurance and, possibly, the overall financial obligation to your vehicle.

Before deciding to cancel your car insurance, it’s important to think through the various risks that you may be facing. In particular, it’s important to consider potential charges, such as speed awareness courses or penalty points, and understand the terms and conditions you are currently signed up to.

How to cancel car insurance

Cancelling car insurance is different from cancelling home or travel insurance. The key distinction is that with car insurance, you usually have to inform your insurance provider that you’re no longer driving your car.

The cancellation process for home or travel insurance, on the other hand, is automatic once the policy is open for two or three years and the underwriting department has evaluated your application. That means you never have to be explicitly told that you’re no longer allowed to drive, nor do you need to make a decision to cancel the policy.

However, for car insurance, cancelling your policy can be much more complicated, as you’ll need to research a number of different factors before making your decision.

What are the benefits of cancelling car insurance?

It’s arguably one of the most important considerations when you’re thinking about switching or selling a car and perhaps the last to be thought about as you approach the point of the sale. The big benefit is the fact that cancelling your car insurance will generally result in you paying a smaller fee for the insurance.

You can usually cancel your insurance policy online through your car insurer. Most do it automatically once you’ve given your notice to drive away, though you can cancel more than six months’ notice by phone.

Another key benefit is that cancelling your car insurance may save you money as you’ll no longer be covered for accidents or damage caused by third parties, for example if you park on private property.

What are the disadvantages of cancelling car insurance?

If you are buying insurance that is not required, but you know you don’t intend to drive your car, you will find that cancelling the policy is going to incur hefty charges.

People who own expensive cars or are likely to have accident-prone vehicles should be very careful when dealing with this: for the sake of the vehicles’ value, companies charge cancellation fees that might prove unaffordable for most of us.

Is there a way to deal with this?

We have compiled a step-by-step guide with detailed instructions on how to cancel car insurance, which should ensure that you will not have any hiccups when cancelling your car insurance.

Another obvious disadvantage of cancelling car insurance quickly and without fuss when you need to cancel your car insurance without any hassles.

Conclusion

When your car is stolen, and your car insurance provider won’t send your premiums back to you, it’s time to leave your insurer. To facilitate this process, a good car insurance company will send a new set of premiums and reimburse you for the outstanding balance.” — Daniel Padaviel, CEO and Founder of GoDriveInsurance.co.uk

LONDON, UK, January 9, 2019 / EINPresswire.com / — Moving from one car insurance provider to another is typically a simple process. Just follow the steps below and you will be able to get out of your car insurance provider.Before making a car insurance move, the first thing you need to know is when you are able to cancel your policy and what documents you need to send to cancel your car insurance.