Cancelling insurance query

mondeo

Well I'm cancelling my car insurance as I'm heading away to Asia for a year. I have 4 months left to run on my policy and want to know if there will be any penalty for me cancelling a policy? Will it have any effect when I'm looking for insurance again in the future ?

Thanks

djimi

There wont be a penalty as such. You may or may not get money refunded to you; it depends on the policy. It wont affect you getting insurance in future.

Henry Ford III

1/. Ask you Insurer. Nobody else can anwer this accurately.

2/. NCB will be a year less than not cancelling, and may eventually run out over time.

peteb2

Not if its in the first year of insurance. However some companies may calculate the amount per day and then apply an admin fee for cancelling. It'll be in your policy wording. Not the same for all companies.

Only affect it would have would be if you didn't have a maximum no claims bonus. So if you were 3 and half years insured, because you cancel it now you would only have a 3 year NCB.

mondeo

I have a full no claims bonus for years. Its just my first time ever having to cancel a policy. I was just concerned as insurance companies always ask 'have you ever had a policy cancelled before' when looking for quotes. I would assume it would have an effect on you if you answered 'yes'.

Henry Ford III

mondeo wrote: »

I have a full no claims bonus for years. Its just my first time ever having to cancel a policy. I was just concerned as insurance companies always ask 'have you ever had a policy cancelled before' when looking for quotes. I would assume it would have an effect on you if you answered 'yes'.

That'd make no difference.

Had the insurer cancelled it however......

peteb2

But you haven't had a policy cancelled, you are cancelling a policy. Completely different. What they mean is has an insurance company ever cancelled your policy (because you mis-informed them etc).

djimi

mondeo wrote: »

I have a full no claims bonus for years. Its just my first time ever having to cancel a policy. I was just concerned as insurance companies always ask 'have you ever had a policy cancelled before' when looking for quotes. I would assume it would have an effect on you if you answered 'yes'.

Just be aware that a NCB only last two years, so if you are going away for a year and you cancel this policy mid way through then you might end up losing the NCB when you get back.

Im not sure if the two years start from when you cancel or from the end of your last full year; you may need to check that out.

mondeo

OK I understand it now, gives me abit more confidence cancelling the policy :-).

Thanks for all the help

oldyouth

djimi wrote: »

J
Im not sure if the two years start from when you cancel or from the end of your last full year; you may need to check that out.

From when you cancel it