by jdeastofeden » Fri May 08, 2009 02:59 pm
This motorcycle insurance policy is under my name but it is for my husband. As I mentioned before, we found another insurance company that has a cheaper monthly payment than the one I have now. The policy I have now is for a year. The insurance agent I have for my auto insurance is a representative for the insurance company that I got the motorcycle insurance from. (I have different insurance companies for my auto and for his motorcycle but through my insurance agent.) But I would like to cancel the motorcycle insurance and I have already received the policy but have not made a first payment, although it is due at the end of this month. I did have to put down a deposit.
Can I just send the cancellation letter to my insurance agent? And when is the right time to cancel the policy? Will I get any cancellation fees? Thank you for your time.
Can I just send the cancellation letter to my insurance agent? And when is the right time to cancel the policy? Will I get any cancellation fees? Thank you for your time.
Posted: Fri May 08, 2009 03:50 pm Post Subject:
Before taking any decision Explore the option of multi auto insurance. you can save a lot.
Posted: Fri May 08, 2009 05:01 pm Post Subject:
But I have my auto insurance with one insurance company and the motorcycle insurance with another insurance company but I used the same insurance agent for both. Hope that doesn't sound confusing. Will I still be saving money that way?
Posted: Sat May 09, 2009 02:40 am Post Subject:
First of all, let's get the "multi auto insurance" (should be called a "multi-car discount") thing out of the way. It's really rare for a carrier to give a multi-car discount if you have a car and a motorcycle. It's a multi-car discount, not a "multi-car and motorcycle discount."
I have a little concern that maybe you can address:
This motorcycle insurance policy is under my name but it is for my husband.
Is he named as a driver/insured in the policy? He absolutely MUST be in order to be covered.
As far as the different carriers- one on the car and one on the bike. This isn't unusual with a car/bike combo. Most good car insurers (not all) don't have great bike rates for some bizarre reason. Bike insurers usually specialize in motorcycle coverage or have a boatload of business and experience with bikes, and can offer better rates. I wouldn't worry too much about the different carriers on the vehicles.
As far as cancelling the old policy even though they have provided some coverage for a short period of time, one of two things is going to happen.
A carrier has the absolute right to charge an insured for any coverage period provided, and it doesn't matter if you had another policy somewhere else. This is because there's a possibility that if you got into a wreck, they would have been in on the claim with the new company. Depends on a lot of rules in your state concerning a situation involving having more than one active insurance policy that covers the same item.
The other option is that many companies will, upon proof of other coverage showing an effective date of coverage, cancel your coverage retroactively to the date of inception of the new policy. If they will do that, you won't be charged premium for that period. You'll probably have to sign a "No Loss Statement" or something along those lines that will state you haven't been in a wreck during this period of time. This gives the company protection in the event you later file a claim with them.
Talk to your agent. He's making money off you- make him work for it! :!: :!:
InsTeacher 8)
Posted: Sat May 09, 2009 11:47 am Post Subject:
Can I just send the cancellation letter to my insurance agent?
You may but make sure that you get the new policy before cancelling the existing one. As Teacher has mentioned some insurer may demand the proof of the new coverage before cancelling the existing one, or they would report it to the DMV.
Will I get any cancellation fees?
Most likely the insurer would impose certain cancellation charges if you terminate the coverage before time. But if you just wait till the renewal time you wouldn't have to pay any penalty upon cancellation.
Posted: Sun May 10, 2009 03:06 am Post Subject:
Thank you Teacher and Kelvin for your advice. It's must appreciated.
But if you just wait till the renewal time you wouldn't have to pay any penalty upon cancellation
Well, I actually didn't want to have to wait until the renewal time to cancel the policy. I just recently purchased it in April and the coverage is for a year. I think we are going to go with the insurance with the cheaper rate but I am not cancelling the existing one until the second one goes through and have put down the deposit.
And, I forgot to ask this in a previous post, but do some insurance companies give a certain time frame to cancel, such as between the first day of coverage to the time of the first payment? Or can the person who is insured cancel at any time?
Thanks.
Posted: Mon May 11, 2009 05:14 am Post Subject:
Thank you Teacher and Kelvin for your advice. It's must appreciated.
Welcome Jdeastofeden :) We are glad to be able to help you.
I just recently purchased it in April and the coverage is for a year.
Remember that you are also entitled to receive refund on the premiums you have paid in advance.
Or can the person who is insured cancel at any time?
Every company would handle this issue differently. The policy document, must describe it all, or you may out a call to the customer care department of the insurer.
However, just curious to know, why do you want to put the coverage on your name instead of your husband? Are you the title holder?
Posted: Mon May 18, 2009 01:39 pm Post Subject:
He found an insurance that has a cheaper monthly payment than the one I have now. I believe it's basically the same coverage but a cheaper premium. So we wanted to cancel the existing insurance policy and start with the new one. Both of our names wil be on it but he's going to be doing most of the riding on the motorcycle.
Thanks for everyone's help! This insurance stuff can get confusing, lol.
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