People who paid for their policy online, with a check, or by phone will receive a refund after 12 business days. If you decide to cancel your policy or your insurance company cancels it, you usually won't receive a refund from car insurance unless you've paid the premium in advance. For example, let's say the term of your policy is 12 months and you pay the premium for the entire year in advance. If you cancel your policy after just three months, your insurer will issue an insurance refund for the remaining nine months.
On average, you should prepare to wait 2 to 4 weeks for an insurance company to reimburse your premium. You'll receive a 20% credit to your account in both April and May. And Progressive says it could offer additional credits in the coming months, as the pandemic continues. Credits will be calculated automatically at the end of each month and will be refunded or applied to any outstanding balance in the middle of the following month.
Therefore, April refunds should arrive in mid-May. An expiration in insurance can end up costing you a lot of money and even result in the suspension of your license if you are caught driving without car insurance coverage. The mission of The Truth About Insurance is to provide unbiased and objective insurance advice and advice to consumers on a variety of topics, ranging from car insurance coverage to health care and more. If you're looking for cheap car or home insurance, the best thing to do is compare prices and get quotes from several providers.
This information is not an insurance policy, does not refer to any specific insurance policy, and does not modify any provision, limitation, or exclusion that is expressly stated in any insurance policy. For example, if you have a Progressive policy, Progressive Insurance has the ability to deliver a premium refund check within seven business days of cancellation, which is quite surprising as far as insurance companies are concerned. Progressive Insurance's refund policy may be different from the State Farm cancellation refund or the Allstate cancellation and refund policy. Because insurance premiums are determined in part by where you live, you can get a lower rate on your new policy if you move to an area where rates are cheaper, and your insurer can reimburse part of your insurance premium.
If you didn't make this change long before your policy was renewed, or even during the middle of the policy term, your old insurer will owe you the amount you overpaid for their “too expensive” insurance. If you change your car insurance company and find better rates with another insurance company, you may want to cancel your current policy before it expires. If you sell your car and no longer need coverage, your insurance company can send you a refund check if your policy is canceled before its term ends. If the insurance company cancels your policy, you'll normally get a refund from car insurance, unless they cancel the policy for non-payment.
If you sell your car and buy a new one, you'll still need coverage because most states require drivers to have car insurance. This information may be different from what you see when you visit the website of an insurance provider, insurance agency, or insurance company. Insurance refunds are usually issued through the same payment method that you use to pay for your insurance.