Switching car insurance can sometimes be a financially smart move. It is often possible for drivers to reduce the insurance price by regularly looking for a new insurer. Motorists may also want to switch insurers if they are not satisfied with their current company’s customer service or if they decide to bundle policies.
Regardless of the reasons for switching to a different car insurance policy, there are two steps that motorists should not forget when making this switch.
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1. Cancel old insurance
Cars don’t have to be insured twice. And when drivers buy new insurance, their old insurance is not automatically notified. Instead, motorists who have switched car insurance must contact their old insurance companies directly to cancel their policies.
While motorists should ensure their new coverage is in place before ending their existing protection, it is important to act quickly to avoid conflicting policies. Otherwise, they could be forced to pay for auto insurance that they didn’t actually use because they already had new insurance.
Cancellation of a policy can also sometimes result in a refund of unused premiums if a driver prepays coverage and switches to a new insurer while their policy is still valid. There is little reason to wait to get that money back from an insurer after a change in coverage, but motorists must cancel their policy in order for it to be refunded.
2. Change insurance cards in the car
Proof of insurance is expected from drivers. Most people keep insurance cards in the glove box to meet this requirement.
Of course, the insurance certificate must be up to date. Drivers should be sure to change their insurance card as soon as they get new insurance coverage. This allows them to show these cards to law enforcement when asked to show they have the minimum level of protection required.
Changing your insurance card can also be important in the event of an accident. Drivers involved in an accident must have their current insurance information available so that they can contact their insurer immediately after an accident.
The insurance company may have instructions on where to take the vehicle for repair to streamline the process, or may require the motorist to work with a specific rental company to get the full refund if they have rental car coverage. It could be a lot of trouble for motorists if they don’t have their up-to-date insurance information so they can find out those details after a collision.
Of course, drivers are also expected to exchange insurance information with other drivers in the event of an accident. Other drivers may not be happy if a driver doesn’t have accurate and up-to-date insurance information to share in the event of an accident.
By changing old insurance cards in the car and contacting their insurance companies, drivers who change their car insurance can ensure that the change goes smoothly.
source https://collegeeducationnewsllc.com/switching-insurance-dont-forget-these-2-important-steps/
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