What You Should Know About Canceling Your Car Insurance and Future Rates

How to Prevent Car Insurance Rates Rising When You Cancel Coverage

There are many good reasons why you need to cancel your auto insurance in Millerton, NY. Whether you’re selling your car, passing the vehicle to your family member, or taking it off the road, you may consider canceling your coverage. While this is suitable for many situations, if you plan on getting car insurance again down the line, you may want to consider keeping coverage. Here’s why.

You may think that if you’re not going to be using a vehicle, you can save some money by canceling your auto insurance policy. However, you may need coverage later on down the line. Insurers will look at your insurance history when deciding on your premium, among other factors. If they see that you have had a sizeable lapse of coverage, it could send them red flags. As a result, you’ll be labeled a high-risk driver and your car insurance premiums will rise.

If you are only going to be without a car for a couple of months, consider keeping your coverage so that you can lock in those low rates. Call your insurer and let them know the situation, and they will likely cut your coverage down to a minimum while you do not have a vehicle. Another great way to save is to ask a friend or family member if you can be added to their insurance policy as a named driver. This way, you still have coverage to your name, and you get to enjoy continued cover.

Here’s to sustaining more affordable coverage! For the auto insurance you need, talk to the team at Kneller Agency. Serving Hudson, Valatie, Millerton, Red Hook, Millbrook, and neighboring cities, we can help you find reliable car coverage.

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