Car Insurance Canceled for Non Payment

Unfortunately, Cancellations Happen: What to Do When Your Insurance Policy is Canceled or Revoked

Car insurance is straightforward. If you do not pay your bill on time your car insurance can be canceled for nonpayment.
oops bad insurance policyWhen you buy Springfield Auto Insurance you want to do all you can to not cancel for nonpayment or it can make your next price go up.

Typically, your bills are due 30 days apart. If the bill is not paid, the insurance company will usually send out a double bill for the next month or a legal notice telling you that if you do not pay a certain amount by a certain date they will cancel your policy.

Cancellation Notice

If you do not pay your bill on time the company can and will issue a “Cancellation Notice” – this must be paid within 21 days from the date of the notice – the insurance company will clearly state what date you must pay this by.

If this is not paid, then the insurance company will cancel your policy for “nonpayment”. You can immediately call your agent to see if they can get your policy reinstated with the insurance company – this usually must be done within a day or two after the cancellation date and involves paying enough to get the policy current and up to date.

If you cannot pay this then you must start a new policy, which involves a new down payment and in most cases will cost you more.

  • If your policy cancels for nonpayment you have 33 days to get new insurance before your license plates “Revoke” at the RMV.
  • From 1-23 days you can get insurance and not be required to go to the RMV.
  • From 23-33 days if you get the insurance you will be required to go to the RMV and pay them $25 to keep your plates from canceling.
  • If you get insurance after 33 days you will have to go to the RMV and pay them $100 to reactivate your plates.

Do Not Drive If Your Policy Cancels for Non Payment

It is not a good situation If you get stopped by the police while driving with canceled insurance and/or having a “Revoked” plate, the cops can take your car – then you are looking at towing fees, storage fees, and perhaps a ticket from the police – an overall expensive deal.

So, it pays to open all your mail from the insurance company – they will give you plenty of notice if you are in cancellation. Also, keep in touch with your agent. The more you work with your agent the better chance you will have for them to help you.

Be proactive if you are behind on your bill. Show your agent you care about it and seek their help before it cancels. If you only contact your agent after it has been canceled – there is not much they can do for you other than offer you a new policy with a new down payment.

I know it is tough out there right now, but simply do the best you can.
Here at Western Mass Auto Insurance, we have several low down payment options if your car insurance is canceled for nonpayment. We can offer one-year insurance of 6-month insurance in these situations. Give us a call and we will assist you the best we can.

Indian Orchard (413) 543-3800 – Forest Park (413) 781-3800