Auto Insurance Cancellation Edison New Jersey NJ
Reader’s Question:
Is there a grace period after an insurance policy has been cancelled by the insurance carrier in Edison, New Jersey? I also want to ask if an insurance carrier have to send a letter through mail to let the policyholder know about the cancellation?
Terrence
Edison, NJ
The Consumer Guide for Auto Insurance published by the New Jersey Department of Banking and Insurance (DOBI) states that there is not grace period for car insurance policies that have cancelled or lapsed. Insurers must provide notice of payment due dates according to what kind of payment is due under current regulations.
If your insurance provider terminates your policy for non-payment you should receive a fifteen day warning notice. You should receive a twenty day warning notice for all other reasons. While insurance laws require an insurance company to provide proof that a notification was mailed, they are not required to mail any notice “return receipt” or “certified”.
If your insurance is non-renewed or cancelled, you can file an appeal with the New Jersey DOBI. This department cannot guarantee your reinstatement so they would suggest to shop for alternative insurance during this process.
Tags: auto insurance, automobile