Match My Ride Auto Insurance Buyer’s Guide

Frequently Asked Questions

What if I don’t pay my premium?
If you don’t pay your insurance premium, the company will cancel your policy. Getting a policy from another insurer may be difficult or may cost more if you let your policy lapse and go without insurance. A lapse exceeding 30 days could place you in the assigned risk market.

I sent in my insurance payment on the due date, but the company said it was too late and still canceled my policy. Can they do that?
Whether or not a policy is terminated for a late payment depends on what type of payment is due. Most companies will allow policyholders to make installment payments on their premiums and may even accept these payments received after the initial due date. This is permissible because a policy is already in force and there may be equity (premiums already paid) available to continue coverage for a short time. However, if no payment is received, the company will issue a notice of cancellation
for nonpayment of premium. If this payment is not received before the due date, the policy will terminate. Until the initial payment for a policy renewal is paid, there is no policy in force. Therefore, when the renewal payment is not received by the due date, the previous policy expires and the offered policy does not become effective. Should the policyholder wish to continue coverage with that company, the company would then need to write a new policy for that customer.