Can You Cancel Your Car Insurance Policy Without Being Charged?

Reader’s Question:

Will Texas car insurance companies charge you if you decide to cancel your insurance?

Rey

Arlington TX

Insurance companies in Texas need to protect their business from uncertainties by including clauses in policies that deal with cancellations. Most car insurance companies will impose a charge if you cancel before the maturity date. The amount will vary depending on the insurer. If you have no urgent reason, do not change car insurance companies because that could cause you to unnecessarily incur fees.

If changing policies can wait, then wait and don’t be hasty since the new offer may not turn out as well as you expected. In the event that you are canceling your insurance because you are dissatisfied with the company’s services, make sure to tell them of your intention through a written notice. The company will likely renew your insurance if you don’t make it clear to them that you don’t need their services anymore. Also, car insurance companies can report you to the Department of Motor Vehicles if your insurance lapses and you are in a probationary period because of a major violation like driving under the influence or driving while drunk. Coordinate with your old insurer properly to avoid having to explain to the DMV, suffer an additional period of probation, or worse, a cancellation or suspension of your license.

How Long Are You Required To Have an SR22 Filing

Reader question:

For how long are you required to have SR 22 filing done?

Adam

Excellent question, Adam.

The truth is that the necessity and length of the SR 22 filing process depends on a number of factors. The SR 22 filing requirement is one that comes after you have been convicted for something such as driving while intoxicated, driving under the influence of mind altering drugs (which also comes with even heavier penalties, along with the drunk driving), and driving without proof of financial responsibility; the requirement becomes even more strict when any of these actions result in a car accident. If you are simply caught from being pulled over by a police officer, then the requirements are less strict.

The first factor that affects how long you have to do SR 22 filing is your possession of a license. Normally, if you are required to file an SR 22 form, then you must first have had your driver’s license suspended. Sometimes the suspension lasts for a certain amount of time before you are able to reinstate it with SR 22 auto insurance coverage proof. Other times, it is only suspended until you pay a fee (which varies from state to state) and provide the DMV with your SR 22 form. The key to all of this is that the period during which you are required to do SR 22 filing applies whether or not you have a driver’s license. Theoretically, you could simply choose to take the bus for three years after your license was first suspended before reinstating it. If you did this, then you would never have to pay for expensive SR 22 auto insurance coverage.

The other factor that affects your SR 22 filing requirement is the number of times you have committed the offense in question. For example, if this is your second time getting thrown in jail for driving while intoxicated, then the amount of time you have to file an SR 22 form lengthens considerably. The normal amount for most first time cases is three years. For drunk driving, though, it is five years in most states. The second time you are caught drunk driving, that number of years doubles to ten years. The third time, it doubles again, to twenty years.

Cheers.

Fashun Guadarrama.