Overhaulin'

Do you get your money back if you switch car insurance companies one month into a term?

I am buying a new car and found cheaper rates than Geico with Allstate. Problem is, I am one month into a six month term for my old car. I have already paid for the six month term. Will Geico have to refund my money if I were to switch?

Public Comments

1. They will have to refund you the remainder of your money after deducting for the one month you used.
2. Yes, cancel that policy and they will send you a check for the balance of your unused insurance....about 5 months worth. It would be worth a call to the agent to make sure that there are no penalties....but I know that I have canceled insurance before and received money back.
3. Yes, any unused insurance is refunded... not only will you receive a partial month, any DAY you haven't used you will get back... it's prorated based on days.
4. Most personal policies ( Auto and Home) do not charge a penalty for canceling early. They will only charge a pro-rata ( the actual time the coverage was in force) with no penalty.
5. You won't get five months back - Geico is allowed to charge a "short rate penalty", usually about a month's premium, AND a cancellation charge, usually about $50. You should call Geico, and ask if the new car would also be cheaper with them.
6. Contact Geico Customer service at 1-800-841-3000 24/7 and ask to quote your new vehicle, new vehicles are sometimes less expensive due to better safety equipment and other underwriting criteria.You also want to compare the policy coverages and benefits, what seems to be less expensive now can cost you in the longrun. if after that you still want to cancel Geico will refund any unused portion of your premium paid when you provide them with proof of insurance at Allstate, you have to purchase the Allstate policy first then Geico will reimburse you.