Can I Cancel an Unsigned Insurance Policy?
I want to share my situation and see if anyone can offer some guidance. I acted a bit too quickly and put down a deposit for an insurance policy without fully understanding the implications. Recently, my Geico rates increased to $350 a month, which prompted me to contact a broker for better options, especially since I had just added a new vehicle to my policy.
In my rush to secure insurance and avoid that hefty payment for both my car and SUV, I opted for the lowest rate the broker offered. Unfortunately, I ended up putting down a deposit on a policy with National General. However, after reading various reviews and receiving a quote from USAA, I’ve decided I would prefer to go with USAA instead.
Now, I’m unsure if I can cancel the National General policy, so I’m reaching out here until I can speak with my broker in the morning. I haven’t signed any documents yet, and the down payment is currently pending in my account. The policy is dated from 02/27/2025 to 02/27/2026, but I’m not clear if that means it’s officially active since I haven’t signed anything. I’m in Virginia, if that helps clarify much. Any advice would be appreciated!
It’s understandable to feel anxious in this situation, especially when it comes to insurance and financial commitments. Since you haven’t signed any documents and the down payment is still pending, you typically should have the ability to cancel the policy before it officially takes effect. The policy date indicates when coverage begins, but without a signature, the contract may not yet be binding.
Here are a few steps you can take:
Contact the Broker: Try to reach out to your broker as soon as possible, even if it’s outside of business hours. You might be able to leave a message or send an email indicating your intention to cancel.
Written Confirmation: If you are able to cancel, it’s a good idea to get written confirmation that the policy has been canceled and that you won’t be charged.
Document Everything: Keep all correspondence related to this issue, just in case you need to refer back to it later.
Review the Broker’s Policies: Some brokers have specific policies regarding cancellations, so it’s worth reviewing anything you may have received.
Consider Your Rights: In Virginia, as in many states, you generally have a cooling-off period during which you can cancel an insurance policy. Since you haven’t signed anything yet, you’re likely in a good position to do so.
Once you have clarity from the broker, you can make an informed decision about moving forward with USAA or any other insurance provider. Good luck!