Nothing lasts forever, your auto policy inclusive. A time stamp gets attached to your auto policy whenever you get it. When this period elapses, you have to get a renewal as soon as possible. It’s a two-sided situation when your auto policy runs out. You’d have an option to stick with your current provider or look elsewhere for something better.
If you feel overcharged by your current carrier, searching out anonymous car insurance quotes is a perfect place to start.
Most insurance companies fix their policies to last around 180 days to a full year. There’s a lot you have to know about when and how your car insurance policy can get renewed. So pay close attention and get all the answers you need.
What’s a Car Insurance Renewal?
If you’re a car owner in the US and need to use public roads, you’ve got to have auto insurance cover. This cover package is provided by companies across US states for a fee.
A timeline for the expiration of policies is added to every plan you purchase. When this time is up, your policy is deemed expired and due for renewal.
Most companies provide 6 month – 1 year cover for its customers. A lot of policy providers will begin the process for renewal automatically when your previous plan expires.
But just before the policy is drawn up, a lot of providers will look towards your driving history before drawing up your next plan. Surcharges could be in the mix if you’ve been a not-so-great road user. So be ready for some surprises when your next policy renewal comes up.
When it’s time for renewal, you’re going to receive a mail that contains your new premium rate for the given cover period. Also, you’d receive other essential identification that serves as proof of insurance.
When does your Auto Insurance Policy Renew?
Your car insurance gets set for renewal on the date you subscribed to your auto policy provider’s services. So if you subscribed to a policy on May 18, 2020, expect a renewal on the same day at a later date.
In many states, auto policies renew every six months or 1 year. Based on your policy duration, you’d have different renewal windows per year.
If you’ve bought a six-month policy, your renewal period will come twice every calendar year. If you’re subscribed to an annual plan, expect your policy cover to be due for renewal once a year.
How are you Notified when it’s Time to Renew your Car Insurance?
Your policy provider is responsible for notifying you when your policy is scheduled to end. Before renewal elapses, your auto policy provider will notify you of the date when your new policy is slated to begin.
Most companies still stick to sending traditional mails to clients, and a good number of subscribers prefer conventional mail.
But it’s not odd to see an email with essential billing info from a provider sent to a customer. If you’re getting your policy for the first time, it’s better to request how you want your renewal info sent.
What happens when the Insurance Company Assesses a Policy for Renewal?
Policy assessments are also the responsibility of your policy provider. When your policy receives an assessment and is issued to you, your rates can’t be increased until your current cover expires. Even if you’re engaged in an accident or traffic violation, your rates will remain the same.
However, when your policy gets due for a renewal, your car insurance provider has to underwrite the cover you’re currently getting. When your policy needs to be underwritten, the following is considered by most companies;
Good driver discounts, good grade discounts, etc. make your rates drop drastically. But sadly, some of these policies don’t last. Your provider will check out whether you’re still within the age or fulfill the requirements for a discount. If you don’t anymore, expect your premiums to rise.
- Credit info (in states where it applies)
- Vehicle reports
- At-fault losses
With the right information, you can get your insurance renewed with no hassles attached. Also, don’t forget that anonymous car insurance quotes will be the best place if you feel overcharged by your current provider.
Get your act together, and make the most of a thrifty choice for an auto policy renewal today!