When we decide to take out insurance, we do so to protect our life, health or property against any loss or accident that may occur unexpectedly. However, some people get overconfident and believe that if they get one and stop paying their premium on time, they will still be protected. But this is not true! On the contrary, they could be putting at risk what they love most. You know why, don’t you? Don’t worry, we’ll explain it to you below.
What happens if I don’t pay my insurance on time?
As a starting point, it is important that you know that the insurer will always notify you of the failure to pay your premium and, later, will indicate the term you have to cancel the amount, in order to avoid losing coverage.
In case you do not pay, you will unfortunately lose the right to insurance coverage. Insurance coverage will be suspended once 30 days have elapsed from the payment due date, unless an additional term for payment has been agreed with the insurer.
If the premium is not paid, the insurance contract will be terminated by the insurer, not being responsible for the claims that occur during the period in which the coverage is suspended.
During the suspension of the insurance contract, can the policy be reinstated?
If the total amount of the overdue premium is canceled before the termination of the contract by the insurer, the coverage can be reinstated and it takes effect again from zero (0:00) hours on the day after the one in which it is paid.
Let us remember that, if the insurer does not claim payment of the premium within 90 days following the expiration of the term, the contract is automatically terminated.
What can you do to not forget to pay your premium?
The first thing you should keep in mind are the amounts, frequency and payment method of your insurance, which are established in your policy or contract. Once you know this information, you will be able to organize yourself so as not to be late on any payment date.
A practical alternative to avoid missing payments is to set the automatic discount from your bank account as the payment method. That way, you won’t even have to worry about making your payments on time, because your bank will do it for you on the due date!
What happens if I lose my coverage?
In some products (generally life, health or vehicle insurance) you can access the reinstatement of your insurance. However, you will only be able to reinstate your policy one time and to do so you must pay all overdue premiums. But keep in mind that it will always be much better to fulfill your responsibilities on time and be sure that you will have the support of your insurer in the most difficult moments.
If you’re like most people, your family or a friend has been injured, or even killed in an auto accident, and you believe your insurance company is responsible, you may be faced with filing a complaint. When filing a complaint, you have the option to find out if your insurance provider is responsible for the claim. By doing this, you’ll be able to get to the bottom of your insurance claim, and you’ll save yourself time and money in the process.
Insurance claims are a common occurrence in the life insurance industry. Once your policy is in force, it must be maintained properly and covered at all times. However, if a claim is made and not taken care of properly, then you may end up in a situation where your policy is invalid. In order to deal with an invalid policy, you must deal with the insurance company.
If you’re looking to file a complaint, you may be interest in the steps involved with filing a complaint. Depending on your case, it may include things such as witness statements, documents, or even a hearing. You will want to choose exactly which course of action you’d like to take, so you can be prepare for all possible outcomes.
If you have a family member or friend hurt and injured, there is a good chance that you will need to file a personal injury charge with the court. Before you file a complain you want to fully understand the legal process being follow. In fact, you need to understand the basics of how the justice system works both in Canada and the United States.