Tips On How To Reinstate A Canceled Insurance Policy

If your insurance policy has lapsed or been canceled, that’s not only a stark reminder on why you need to remember your policy dates, it’s also a gigantic risk to yourself. Riding around with no car insurance, for instance, isn’t tenable. The risk for getting into an accident and being liable for huge payments is too great to fool around with. You’ll have to get your policy back, and that means you’ll need to learn a bit more about policy reinstatement and what makes it a tricky ordeal.

What Reinstatement Is All About

In our hypothetical scenario, let’s say that your insurance coverage lapsed because you didn’t make your payment on time. You could go look for a new policy, but that would be with a whole new insurance carrier. Instead, reinstatement would be getting your exact same policy with your same carrier back, either with a new effective date or as if nothing ever happened to make it lapse. In both of these potential scenarios, you’d keep your same level of coverage and policy number, and there are several additional benefits that make this a worthwhile option.

You won’t have to go shopping around for new (and likely more expensive) car insurance quotes, for starters. What’s more, you’ll get to stay with a carrier that you already have some (hopefully positive) history with, as a switch would be more stressful. Then there’s the fact that you won’t be seen by some potentially new insurer as a high risk, which should help you keep your rates down. There are variables to your success here, though, so be prepared to navigate them.

Maximizing Your Chances At Reinstatement

First, you’ll need to know what factors your insurance company is likely to look at when it comes to making a decision on reinstating your policy. They’ll be taking any prior lapses in your policy into consideration, for instance, along with how long it has been since you missed your payment. Then there are individual policy reinstatement eligibility requirements that might vary from carrier to carrier. This is why the first tip for getting your policy reinstated is thoroughly examining those requirements so you can be sure you fit the bill.

Beyond that, though, you’ll want to gain a bit of good will by reaching out to your insurance company and explaining your circumstances. A bit of communication goes a long way to getting things done, and this is no exception. Be polite, be honest about your circumstances, and be ready to pay up in full, and you’ll greatly increase the chances that your carrier will be willing to give you a second chance with the same policy.