Late car insurance payment?

Question

scenario: someone is late on their car insurance monthly payment. this person mails it to the car insurance company late and when person checks their checking account, the money is still there because the car insurance company hasnt taken the money out. what is happening here? is the person still covered with car insurance? will the car insurance company charge double with high interest on the next monthly payment?

Answer 1

Contact your car insurance company and explain exactly what occurred and they should be able to advise you about their policy for late payments and when your policy lapses for non payment.

Answer 2

They have to notify you before you policy cancels, even if it's for late payment.  States vary, but in missouri the insurance company has to notify you 10 days prior to your policy lapsing.  Insurance companies don't charge interest, and most don't charge late fees either, so your next bill shouldn't be adjusted.  Call your agent and make sure they received your payment

Answer 3

You probably don't have to worry if you were only a few days late.  They won't cancel/suspend your insurance policy without sending you a warning letter beforehand.  They may charge you a small fee for sending in your payment late.  Your check probably hasn't cleared yet because it may take 2-3 days to arrive at the payment center and then another 2-3 to clear.

Answer 4

If they give you any problems, try using http://My-InsuranceSearch.com to compare rates for all the auto insurance companies in your area.