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.

Cheap Houston Car Insurance For Your New Car

Reader’s Question:

We are getting a new vehicle. What should we do in order to save on our car insurance? Thank you.

Maricel

Houston, TX

Contact first your current Houston Texas car insurance provider and ask if they are giving you discounts if you renew your car insurance policy with them. Normally, it is cheaper to just get a new car insurance policy than renew your current insurance coverage. However certain Houston Texas car insurance companies offer discounts to entice their policy holders to renew their policies with them.

If there are no discounts in the offing, then shop for a new Houston Texas car insurance company that can provide you with cheaper rates. You can ask the insurance company holding your life and health insurance policies and ask if they can give you discounts once you get a vehicle insurance from them.

Shop around the Internet and compare rates and features of Houston car insurance companies. There are plenty of websites offering car insurance rates and the best part about it is that you can compare car insurance company rates within minutes. Once you picked the company offering the cheapest rate, call them up and inquire about the requirements you have to pass as well as the terms and conditions of the vehicle insurance policy you are interested in buying.