Is there a cancellation fee when switching from one insurer to another in the middle of a policy period?

Changing your home insurance plan in the middle of a policy period may or may not have a cancellation fee applied to the account in Burlington, North Carolina. Every insurer has a different method of handling cancellations, so the details of your current plan will help you determine if it is appropriate to cancel the plan or wait until the policy period is completed.

Insurer Details

Every insurer has a different method of handling the situations that arise. In some cases, it may be possible to cancel the current policy without paying extra fees or costs. Other insurers may have a cancellation fee applied to any account that is closed before the policy period is completed.

Read your policy to determine if you can cancel without any fees applied to the account. In many cases, you may face some charges if you decide to discontinue your current plan and switch to a new insurer.

When to Change Policies

If you discover that the insurer will charge for the cancellation, then it may be more appropriate to wait until the current contract is fulfilled before you change your insurance provider.

Determine how much you will spend on the fees. In general, it is best to wait if the fees will cost almost as much as maintaining the coverage. When the fees are significantly less and you will still save money by switching to a new plan, it is a good time to cancel.

Changing your insurance in the middle of the policy period can cause a variety of complications, including the addition of fees and charges. Contact Don Allred Insurance to talk to an independent agent about the options that are available and the best way to cancel a policy.