How come my insurance said if i drop them i have to pay double or triple to get my insurance back?

Question

i can go to another agent right? im dropping insurance beacuse the vehicle no longer runs...they are aware of that..and i dont think its fair to have to pay that much

Answer 1

It is the new way of life, unfortunately. If you let your insurance lapse for any reason, yes, even if the car doesn't run, they will then put you in a "high risk" group and charge you the same as they would a person with drunk driving offenses or multiple tickets. You must continue paying your rates unless you don't plan to own a car for a long time. Sorry, but that's the facts.

Answer 2

Have you considered insuring it for comprehensive damage while it is parked? Get a non-op from the state, then tell your agent it will be parked. The comp should be pretty low on a car that is not drivable -- $15.00/month or so. That way, after you get it fixed and want to drive it again, all you have to do is renew your registration and be sure to call your agent first, and your rates should stay where they are now, because you were insured the whole time.

Answer 3

Of course you can choose your insurance company and agent.  They are not telling you the truth. You can drop insurance on a vehicle that is dormant and if you tell the DMV that you are not driving it they can stop charging registeration fees for it too.  But you then must not drive or park it on the public streets but can only store it in your garage or driveway or private street that is your property. You don't have to insure a car that is not running.  If you want to drive the vehicle then you must keep at least third party or liability insurance on it as you state laws dictates, so check what is the law in your state.  If you go without insuring your car and your insurance lapses for no reason, then it is not a good idea and your premium next time around to insure that car could be higher.

Answer 4

Well, who knows about the double or triple.  

If you cancel your policy, and you have a lapse in coverage of more than 30 days, you're then considered a high risk insured.  Even if your car is inoperable those 30 days, even if you've cancelled the registration for the car.

So if you're not high risk now, and you want insurance later, it's highly possible that the company you're with won't take you back - and if they do, you'll be paying higher rates if it's longer than 30 days.

And don't forget - cancelling a policy when it's not the renewal date, will cost you - sometimes a policy cancellation fee, and almost always a "short rate penalty" which is about a month of insurance premium.

Answer 5

Insurance companies always charge a huge amount if a driver has been uninsured for any amount of time.  

Any company you go to is going to charge that much.  Just keep paying the premiums.