Can An Insurance Company Cancel My Policy In Texas?
Reader question:
Are Texas car insurance companies allowed to cancel my auto insurance policy if I get ticketed for speeding?
Bruce
They are, yes.
Car insurance companies accept their customers based on a certain criteria, and you can’t expect a car insurance company that did not give policies to high risk drivers to begin with to continue to let you have a policy with them if you move into the high risk driver group while you are there. While it is not true that these companies will always, without fail, find out about any of your car traffic infractions, for the most part they check your driving record regularly, so if it comes up they can cancel or refuse to renew tour car insurance policy.
For the most part, this only happens if you get the ticket within two months of having gotten the policy to begin with. For example, if you get a ticket later on in your policy cycle, they might let it slide. The only reason that most companies will cancel during that time is if you don’t pay your premium as scheduled.
Also, if it is your first speeding ticket, for the most part your car insurance company won’t cancel or not renew your policy for just the one. While Texas is not among the states that have laws making it to where they cannot cancel you for one ticket, most car insurance companies still see letting the first ticket go as good business practice. If you get more than one speeding ticket during your premium period, though, you’re pretty much guaranteed a non renewal.
If you want to avoid getting high rates or policy cancellation, Texas offers defensive driving classes that you can take in order to get these offenses wiped off of your record.
Cheers,
Fashun Guadarrama.
Texas High Risk Car Insurance Policy – No One Wants Me?
Reader question:
I’ve been looking and looking, but since I got my last car insurance policy canceled, nobody wants to give me a car insurance policy in Texas. What do I do?
Greg
Excellent question.
I understand your dilemma. There must have been a reason for the cancellation for your car insurance policy, and that is probably one of the big reasons why car insurance companies around the area won’t admit you. Whether they were showing you the door for a conviction for driving while intoxicated, or if they just didn’t want you because you had missed a car insurance premium payment, recent inconsistencies in the records of your previous car insurance company can have an affect on your insurability as well as your rates.
The first thing you want to do is step up your game and continue to shop around for good car insurance deals. It is still possible that you just haven’t looked hard enough, so if you give it a try you might do better. Get some free online car insurance quotes and see if anybody has a good deal
If all else fails, you might want to consider getting involved in the Texas car insurance risk pool. Going by the name of the Texas Auto Insurance Plan Association, this pool helps people who are generally refused by car insurance companies a chance to get covered as required by Texas state insurance law. The standard premium for TAIPA costs more than that for a company outside of it, but it is better than not getting insured at all.
Unfortunately, you might not be able to get TAIPA if you are in the process of buying a vehicle, because it does not offer coverages that are often required by financiers, such as comprehensive and collision. Instead, it can give you the state liability requirements, and you also have options of uninsured motorist coverage and PIP.
Cheers,
Fashun Guadarrama.
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