How to Switch Auto Insurance Companies Without Losing Coverage

Switching auto insurance companies can be a smart move to save money or get better coverage, but it’s important to do it correctly to avoid coverage gaps.

Before making any changes, closely examine your current auto insurance policy. Understand your coverage, the premiums you pay and any benefits or discounts you receive. This will help you compare new policies more effectively and ensure you don’t lose any essential coverage.

Shop Around for New Policies

Your agent can help you research and compare quotes from different insurance providers. Look for policies that offer the same or better coverage at a competitive price.

Some insurance companies charge a fee if you cancel your policy before the end of the term. Check your current policy for any cancellation fees or penalties. If there are fees, factor them into your decision to ensure that switching still makes financial sense.

Align Your Coverage Dates

To avoid any lapse in coverage, ensure your new policy starts before or on the same day your old policy ends. This overlap ensures you are continuously covered, protecting you from potential risks and legal issues.

Notify Your Current Insurer

Once you have chosen a new policy and confirmed the start date, notify your current insurer of your decision to cancel. Provide them with the exact date you want the coverage to end.

Before canceling your old policy, make sure you have received all the necessary documents for your new policy. Review the terms and conditions to ensure everything is as expected. Keep a copy of your new insurance card in your vehicle and store the policy documents in a safe place.

Inform Relevant Parties

Once your new policy is in place, inform any relevant parties of the change. This includes your state’s Department of Motor Vehicles (DMV), your lender if you have a car loan and any other entities that require proof of insurance.

Contact Us

Contact Select Insurance in Anderson, South Carolina, for help comparing auto insurance quotes.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.