Auto Insurance FAQ
When you have questions about your insurance coverage, where can you turn to get quick answers? A great place to get information is in the auto insurance FAQ section of an insurance company's web site. We've list some of the most common to save you time. Go through the list of questions carefully to see if yours has already been addressed. If you can't find your auto insurance question in the FAQs, then by all means call or e-mail the insurance company to get the information you need. Or save even more time by using the simple quote tool above.
Can My Policy Be Cancelled If I Make A Claim?
If you make a single claim against your auto insurance policy, it's not likely that the company will cancel your policy altogether. You should be prepared for the possibility that your premiums will increase after you have made a claim, though.
Insurers know that if a person has been involved in one auto accident, the chances of that individual being involved in a subsequent accident increase. How much your premiums will rise will depend upon which insurance company you are dealing with. It may be calculated as a percentage of your current premium rate, or the company may use a rating formula to assign levels of risk to certain types of accidents.
Will The Company Cancel My Policy if I Miss A Payment?
Missing a payment for your auto insurance may result in your policy being cancelled. To find out what the cancellation provisions are for your policy, you will need to read Part F of your insurance policy. The insurer will need to give you a minimum of 10 days notice that they are canceling the policy and you will be notified in writing as to exactly when your coverage will cease.
Depending on what state you live in, your insurer may decide to cancel the policy even if you are one day late. Paying what you owe may not get you reinstated, either. The insurer does have the right to refuse to offer you coverage. You may be able to have your policy reinstated by paying the premium that is past due, along with an additional fee, though.
If I Lend My Car to Someone, Are They Covered Under My Policy?
As a general rule, car insurance is attached to the vehicle, as opposed to the person driving it. Coverage is not limited to the person or persons identified as the "Named Insured" on the policy. Check your policy to find out which other drivers will be covered under your policy before you agree to lend your car to anyone.
Get answers to other auto insurance FAQs by clicking on the insurance tool right at the top of this page. Increasing your knowledge about insurance will help you avoid difficulties in the future.