Best Answer

Probably as a penalty for letting the old policy expire. Typically, the companies with the lowest initial rates end up costing more due to penalties, rate hikes and possibly dropping you form the policy altogether.

User Avatar

Wiki User

โˆ™ 2012-01-10 04:04:21
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: Why would your auto insurance rates double when you accidentally let your policy expire?
Write your answer...
Related questions

What is the grace period for home owners insurance policy?

Homeowners insurance is typically a 1 year term policy, It has a start and end date. At the expire date (end date) the policy is expired. There is no grace period after expire. Typically you are notified prior to the expire date of policy renewal. If you do not renew the policy, It just expires on the end date.

Does a flexible universal life insurance policy expire at a certain age?

A flexible UL policy CAN expire unless you add more premiums to keep it in force.

Does auto insurance expire at death?

Yes, if the policy was in the sole name of the diseased - because the contract/policy is with the person NOT the car.

Can someone be denied reinstatement if their car insurance policy expired?

Yes. Allowing a policy to expire hurts your chances of getting good insurance with any company. Most will allow you to get your policy renewed, but you will pay higher rates.

If pregnant can your health insurance expire?

I don't know about the term 'expire' if you do not pay your premiums you could certainly run the risk of your policy canceling for non payment.

Does Tennessee invalidate the insurance policy of an ex spouse?

A life insurance policy is a contract and therefor no state or other entity can invalidate it. If you are the owner or irrevocable beneficiary, no one can change that but you. However, if the individual decides to stop paying on the policy it may expire.

Which of these terms refers to an insurance policy that pays out double?

Double indemnity

What can be added to an insurance policy to allow the insured to receive a higher benefit-?

Double indemnity can be added to an insurance policy to allow the insured to receive a higher benefit.

Can an insurance company charge you after the expiration date?

Yes they can still charge you if there is unpaid premium due from before the expire date of your policy.

Where is a good place to find temporary car insurance?

Temporary car insurance is available from any insurance provider. Insurance is typically purchased in six month or one year increments. Purchase a regular policy and decide when you want it to expire.

What if the Life Insurance check has expire?

Expiry of the check will be treated as 'check dishonor', you are to pay premium plus bank charges in lieu of the dishonored check to the insurance company to revalidate the policy.

If the computer is accidentally dropped and ruined is it covered on home owners insurance?

depends on the policy. however your deductible will probably be $1000 so it is probably not worth it to replace it with insurance money.

What is the penalty of driving with expired insurance but my car is still insured and it was just the card that is expired?

It is same as driving without the insurance, need to renew the policy before it's expiry date.There shouldn't be lapse in the current policy,has to be renewed when it's about to expire to maintain its continued validity as current policy.

Does homeowner insurance cover a daughter renting a room that dies accidentally?

I don't really understand what you would expect the homeowners policy to pay for in this situation. Homeowners insurance is not life insurance and does not provide any type of such coverage.

What is meant by double accident benefit in life insurance policy?

Suppose Sum Assured (SA) on your insurance policy is Rs. 1 crore. Then if it has a Double Accident Benefit (DAB) rider then, in case of your accidental death, the nominee would get double the SA i.e. Rs. 2 crore.

Do term insurance policies have a double indemnity clause?

Some do, some do not, You just need to read your policy language or ask your insurance agent what kind of policy you bought.

What is composite insurance policy?

It is a composite insurance policy(:

What is the executor on a life insurance policy?

The Policy Holder of a life insurance policy is the executor of the said policy.

How can you check your insurance policy at Nippon insurance?

call them and ask them to fax your insurance policy.

Can your agent who is also the best friend of your ex remove you as an insured on your homeowners policy even though you co-own the property?

If you own the property you are an insured. The agent can't legally remove you from the policy. If he does he is subject to review by your states Insurance Licensing Bureau.

Can you drive a car which has no insurance policy but you have a insurance policy on another car?

Depends on the state and your insurance policy. call your local agent.

Is the cheapest insurance a guarantee of the best insurance policy?

You really need to find a balance of cheap prices while insurance policy, the better insurance policy you get, the more expensive it gets. But the cheaper price the policy, the effectiveness of the policy will suffer.

Insurance says they only will pay for Half Roof replacement?

If your insurance company says they will only pay half the costs of the roof repair, it is probably outlined that way in your policy. You should double check your policy.

Do you need to have insurance if your husband carry you on his insurance?

In the past it was common for people to be double covered for health insurance. However, now with the cost of medical insurance increasing so much in recent years and the decrease in the portion that is paid by employers, it is no longer reasonable to carry double coverage. In reality the second policy will only cover the 20% not paid by the primary policy and this is in exchange for the full premium.

It is not important to have a life insurance policy.?

It is not important to have a life insurance policy.