Does it count against you if you cancel mid policy to switch companies?

Gryph

Gryph

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Hey guys,

I've been lazy and haven't shopped around for a few years, was getting a great deal with TD Meloche Monnex on my old Ninja 650 previously, but now on my Bonneville it's creeped up to $1300 full coverage and I've added a '99 KLR 650 and I'm up to $1800+ for both (liability only on the KLR).

I'm 31yo, married, Full M, 9 years experience with no claims or tickets... I do live downtown so I know that works against me.

Questions are -

1) If I do find a better deal and I cancel my TD mid policy (renewal is in Feb), is that frowned upon by companies - like do I have to answer "I've cancelled a policy" or something or affects my continual insured status etc.
2) With my profile do you think I can do better?

Thanks guys
 
1) If I do find a better deal and I cancel my TD mid policy (renewal is in Feb), is that frowned upon by companies - like do I have to answer "I've cancelled a policy" or something or affects my continual insured status etc.


Cancelling your policy to switch companies does not impact you since it was self initiated and you're switching to another company so there won't be any interruption of coverage.

2) With my profile do you think I can do better?

You may be able to get better if you go to a brokerage like Cornerstone Insurance brokerage as they are the lowest I've seen for someone with over 6 years riding experience. Talk to Carlos and see what he quotes you and tell him Mike with the S1000RR referred you.
 
If you find a better deal go with it. I always overlap the policies by 24 hours just to make sure that there is continuous coverage however – some insurers still like to see that.

With your renewal being in February however you may want to make this decision soon – the way motorcycle insurance works (with your winter premiums offsetting the summer riding season premiums), cancelling during the summer months (with a February renewal) may leave you with a premium due upon cancellation of the policy. The longer into the summer you go the bigger that bill will get. This assumes you're paying monthly.
 
It's not supposed to count against you. I've seen instances in the past where either the insured or the broker did not properly cancel the insurance, and then it does count against you because it ends up being marked as something like cancellation due to lack of payment. Exactly how this happens is a mystery, because there aren't many steps in the process...
 
PrivatePilot said:
If you find a better deal go with it. I always overlap the policies by 24 hours just to make sure that there is continuous coverage however – some insurers still like to see that.

With your renewal being in February however you may want to make this decision soon – the way motorcycle insurance works (with your winter premiums offsetting the summer riding season premiums), cancelling during the summer months (with a February renewal) may leave you with a premium due upon cancellation of the policy. The longer into the summer you go the bigger that bill will get. This assumes you're paying monthly.
Click to expand...

you can do this, or if you use a broker then your broker just takes care of that.
my broker has opened and closed all my policies, some mid term like my last 2. i closed my bike with SF (i think she actually emailed them with me copied on it...i cant remember...maybe that was my last one) and my truck with someone else to move both to the same policy at a much cheaper rate...then i got my refund on the truck and penalty fee on the bike but still ended up wayy ahead.
 
There is a penalty you have to pay (usually it's the annual premium divided by 12), besides that no impact for switching mid term.
 
You can only ask. Note that if you cancel in the summer you might need to pay a bit more because insurance premiums are weighted towards riding months. If you cancel in the winter you might get money back, depending on how your premiums are calculated.
 
When you cancel, it never counts against you! It only counts against you when an insurance company cancels you and they have to notify you by registered mail. Also, please keep in mind that you can cancel at any time, although there may be a cancellation fee depending on which company you are with. And it doesn't hurt to shop around, I think you are getting pretty decent rates, but I can do a quote for you to compare with what you are getting so far. You can give me a call at 866-471-1900 Ext 5011, or email me at vnarace@allstate.ca.

- Vinnie
 
TD MM has a pro-rated cancellation fee IIRC. I recently asked about this in case I were to move the car and condo to another company, and was told it was around $300 for the car and $40 for the house (policies are $2300/year for car and $400 for house...both which renewed in March).
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