When you cancel insurance on a vehicle, do they ask why?

Question

I'm in the process of selling my car and I never drive it. I'm wasting money on insurance for a car I never drive..do they want to know why and is this a legit answer?

Answer 1

Answer from a General Insurance Agent.

Yes they generally will ask why and yes your answer is legit if you truly do not drive the vehicle.

Bare in mind though that if your selling it, most people will want to  test drive the vehicle before buying. If they have an accident while just test driving before they agree to purchase the vehicle, you could be held financially liable for any damages or injuries they caused.

It's advisable to wait till it's sold before canceling your liability insurance.

Good Luck

Answer 2

They need information just in case State DMV ask them why you cancel.

becareful If you have tags on the car and it is valid then you need insurance.

Answer 3

Sometimes they ask why and it's because they want to know if you're switching to a different company.  They want to know if it's because you're getting a better rate, or if you were disatisfied for some reason.  

It's a legit answer, but you don't have to tell them, anything.

Answer 4

yes and yes

Answer 5

They usually ask why so they can note your policy.

Example, say you are cancelling bc you got insurance cheaper w/ another company, they may see if they could re-quote you and provide you w/ an even better rate.

Of if you cancel and someone calls to verify you have insurance if you are in an accident, then your agent can say "oh, he cancelled w/ us and is now w/ such and such company."

Or they just note the file that you sold your vehicle.

Its really no biggie telling them why.  Its not like they are going to say "no, you can't cancel." lol

Answer 6

well sometimes they ask and sometimes they dont but really if your selling it ... its all you have to say ... some states require that you turn in the plates or you lose your lic

Answer 7

They can't refuse to cancel your insurance - they may ask why to see if it is a customer service issue or something they did- if you make monthly payments they will tell you the coverage is effective until the period of coverage runs out (for example if you pay on the 5th to have coverage from 10th to the 9th of each month and you made the payment on the 5th they probably won't cancel until the 9th of next month). If you pay in 6 month blocks they can cancel and send you a check for the difference.

Answer 8

Keep in mind that most major insurance carriers do not like new clients with no current insurance.  IF you cancel your policy now, and buy a new car soon you will be looking for insurnace with no current coverage.  Most companies can't offer you their best rates.  

You can tell your agent whatever you want when you cancel, but it is best to be honest and your agent should advise you of the best course of action.