How to cancel your insurance fast

Now that you’ve shopped around and found an amazing deal on a new insurance policy, what’s next? Cancelling your insurance for good. To help you avoid any hassles, here's how to get it done quickly.

For many consumers, cancelling insurance policies can make good, practical sense for many reasons. If you’ve had auto or marine insurance and are selling your car or boat, cancelling your policy is only logical. Perhaps you've changed jobs and no longer need supplemental health insurance. Maybe you’ve found a cheaper policy that offers better coverage.

Luck is on your side! Cancelling any of your insurance policies is actually pretty simple, provided you take precautions to ensure you, your family, your home or your vehicle receive uninterrupted coverage.

No matter what type of insurance policy you’re planning to cancel, the best way forward is to contact your insurance agent directly. Sometimes a phone call and verbal confirmation is all it takes to have your insurance policy cancelled. In other cases, you may need to visit the office in person to provide a signature.

If you’re only switching insurance policies to get a lower price (and who could blame you?) let your insurance agent know this. In many situations, insurance agents can review your policy and provide alternative plans that may fit your budget without sacrificing coverage.

If you’d rather inform your agent in writing, be sure to write a clear, concise letter that contains the following information:

• Names of the insured
• The policy number
• The name of your insurance company
• The date by which you want the policy cancelled
• The signature of everyone covered under the policy

Send your letter well ahead of time and by registered mail just to be sure.

Before officially cancelling your insurance coverage, be sure to review your plan to learn its end date. Plan your new insurance policy to begin the day immediately after that. It ensures that you, your vehicle, your home and family receive continuous coverage. Accidents happen without warning, don’t be unprepared!

One of the surest ways of cancelling your insurance is to simply stop paying your premiums, but that’s definitely not the best course of action. Not paying your premiums can have lasting effects on your subsequent insurance policies and your credit score. Insurance companies note the reasons for cancellation, and non-payment is a giant red flag to future insurers. Cancelling insurance policies is a common occurrence at every single insurance agency, don’t feel nervous about doing it!

So shop around. Do your research and find the best insurance policy for you and your family. When you’re ready to cancel, follow the steps above and enjoy all the time and money you’ll save!