Most finance/lease contracts allow the lender to either take the car back or purchase insurance and then charge the customer for it on their loan. The insurance the lender would buy is very expensive.
As far as I know, there is not a grace period.
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Insurance Grace PeriodNo, any grace period would have passed before the policy went to cancelled status. Once the policy is cancelled that means any grace period that may have been afforded will have expired. If you were still within any regulatory grace period then your policy will not be in cancelled status, it would be in cancellation pending status.They are not legally obligated, most carriers do give you a time to re-instate however
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