Suspending Your Car Insurance How Long Will it Be Until You Get Paid
Suspending car insurance is one of the most effective moves you can make. Your decision to suspend your policy will not only be in your best interest but that of the entire motor insurance company as well. Most people tend to think that if their policy is up, it automatically covers them. That is why they rarely ever, think about actually canceling their auto insurance policy. They do so too late and are literally thrown a curve.
The current economic situation has many people scrambling to find ways to save money. Some people have even taken matters into their own hands and decided to cancel their policies. However, this is usually a bad idea. The reason being is because many car insurance companies use a wide variety of criteria to determine a driver's risk. T here fore, simply cutting back on some of the criteria will not necessarily affect all rates. In other words, cutting back on your driving or skipping a few premium payments may result in a cheaper rate, but it won't necessarily be from your specific auto insurance company.
There are several factors used by auto insurance companies to determine your premiums. For instance, does your home provide coverage for flooding? Are you at fault in an accident? If so, your rates will go up and sometimes, dramatically. Another factor that is taken into consideration is whether or not you pay your bills on time. If you don't, your premium will be much higher than those who always pay bills on time.
Many people have gotten good at avoiding these two factors by researching the best prices they can find. If you want to go the extra mile, take advantage of the power of the internet. You can research multiple auto insurance companies in just a few short minutes and learn all the information you need to know in order to quickly and easily compare rates and coverage types from the comfort of your home.
Many people are under the impression that when they have had a claim on their policy that their rates were automatically suspended. Unfortunately, this isn't the case. Your policy suspension may only last a few days and you may be able to get a refund from your insurer. If you have questions about your suspension period, however, you should contact your insurer immediately. They can help you understand what is happening and what is required of you should you choose to suspend your policy.
As mentioned above, there are several different types of coverage available through most insurance companies. Therefore, you should get a complete overview of all the types of coverage you need in order to ensure you are insured to the fullest extent possible. For example, if you own a brand new vehicle, you may decide to purchase full coverage insurance. However, should you have a loan on your vehicle, your lender may require you to purchase liability coverage, collision coverage and comprehensive coverage.
It is important that you review your car insurance policy with a qualified representative before you decide to suspend your policy. If you have questions about the suspension of your policy, you should be able to speak with an experienced representative without having to wait for a telephone call. Your insurance agent will be able to explain the various types of coverage, how they will operate during your suspension and how you will be reimbursed should an accident occur. Additionally, an agent will also be able to give you advice about other coverage types you may need in order to protect yourself in the event of another car accident.
If you choose to suspend your policy, you should make sure that your car insurance policy continues until the suspension period ends. This is typically 30 days or so. Even if your insurance company does not have to pay out during this time, they may wish to continue to cover you for the period until the end of your suspension period. Should you decide to continue your coverage during this time, your premium will be higher.
