Is there a window period to cancel insurance? like within 10 days of having a policy?

C

cool

Banned
Hi all

I wonder if there is a period that i can cancel the insurance policy without paying the remaining balance?

For example, if i bought a policy and decided to cancel without 10 days, i would only pay the first month?


Another question is, i was told motorcycle insurance dont have cancellation fee like car insurance. Basically if you cancel the policy at anytime, you're still paying the balance. Is this true? (then basically there is no cancellation at all ? ). What if i sell the bike during my policy ?
 
The policy premium is prorated (i.e. you pay more for summer months, than winter months). Depending on when you cancel and also why you cancel (sold the bike, etc) you may be entitled to a refund of part of what you paid, or you may owe a balance. SOME companies will charge an administration or cancellation fee.

I have not had a cancellation fee with Kingsway or StateFarm. Your broker would have this information.
 
A lot of companies also have a minimum retained policy. This keeps people from putting insurance on from october to april and paying approximately 10 percent of a yearly policy (due to the prorating of months as discussed by nfq). This may bite you if you only keep insurance on for a short period of time.

As this is a benign question, the best and most accurate way forward is to call your insurance agent/broker and inquire about their policy.
 
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