You can always change insurance companies, there's nothing to stop you. However, you may want to stick with what you have during a claim. Legally, an insurance company has to settle claims according to their policy whether you're still insured with them or not. In practice, these are human beings working on your claim and they may not always give you consideration if you've cancelled your coverage with them.
Let's look at an example. Let's say you've gotten into an accident and you're car is in the body shop. You want OEM parts installed on your car, but the insurance company wants to use aftermarket parts because they cost less. They have more of an incentive to honor your request if you're still insured with them because they see an opportunity to offset your claim with future premiums.
Another factor to consider is the company you want to go to. They may not want to insure a car that has unrepaired damage. It's totally up to the company.
Now, in my experience, you would only ask the question if you don't like how your claim is being handled. If you were totally satisfied, you wouldn't think about switching.
My advice is to stay with your current company and negotiate with their claims department to get your claim settled to your satisfaction. Check your policy, all companies have an appeals process if you don't agree with how your claim is being settled. Take advantage of it. You may get some consideration and a better settlement. If you're still unsatisfied, you can always consider the courts, but this is a risky proposition unless you're sure you're in the right. After your claim is settled, you can explore new companies.
A good agent will help you with claims if you're not satisfied. They cannot always ensure you'll get what you want, but a good one will go to bat for you. In my opinion, finding the right advisor is the most important decision you make. In the long run, you'll come out ahead even if they're more expensive now. The cost of your coverage isn't just the premium, it's what it costs you in time, money, and aggravation at claim time.
I disagree with my colleague some this.The claims transaction should be handled on the merits of the claim, not whether you continue coverage or not. . Many states have Fair Claims Settlement statues that have to be complied with because they are the law.
Many states require that you are able to receive prorated cancellation. In the event you owe more to the company then you owe additional premium. Or, they have been paid in advance and owe you a return premium for the unused portion of your premium.
Many folks switch insurers because the service they expected has not happened as it should have. This is a very common event. After all the claim disposition of the claim is what you are paying your premiums for.
Lastly, many Insurance departments take an inventory of the number of complaints that each insurer has during some period usually the calendar year. Go to your insurance departments website and you should be able to discern whose reputation is great and those who are not.
That's a great question! You can, but unless you really need to, it might make more sense to wait until the claim is settled. As long as you are a client during the claim process, the company pushes things through for you in a timely fashion. It might make sense to wait. Thanks for asking!
Agency Owner, The Thomas G Sheehan Agency, 27 Glen Road Sandy Hook, CT 06482
You can change car insurance carriers at any time, regardless of whether or not you happen to have a claim in process. The insurance carrier that you have at the time of the covered claim will be the carrier who settles that claim with you. Now, as in most cases, just because one can do something, it doesn't mean that it's a good idea to do so.
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Let's look at an example. Let's say you've gotten into an accident and you're car is in the body shop. You want OEM parts installed on your car, but the insurance company wants to use aftermarket parts because they cost less. They have more of an incentive to honor your request if you're still insured with them because they see an opportunity to offset your claim with future premiums.
Another factor to consider is the company you want to go to. They may not want to insure a car that has unrepaired damage. It's totally up to the company.
Now, in my experience, you would only ask the question if you don't like how your claim is being handled. If you were totally satisfied, you wouldn't think about switching.
My advice is to stay with your current company and negotiate with their claims department to get your claim settled to your satisfaction. Check your policy, all companies have an appeals process if you don't agree with how your claim is being settled. Take advantage of it. You may get some consideration and a better settlement. If you're still unsatisfied, you can always consider the courts, but this is a risky proposition unless you're sure you're in the right. After your claim is settled, you can explore new companies.
A good agent will help you with claims if you're not satisfied. They cannot always ensure you'll get what you want, but a good one will go to bat for you. In my opinion, finding the right advisor is the most important decision you make. In the long run, you'll come out ahead even if they're more expensive now. The cost of your coverage isn't just the premium, it's what it costs you in time, money, and aggravation at claim time.
Many states require that you are able to receive prorated cancellation. In the event you owe more to the company then you owe additional premium. Or, they have been paid in advance and owe you a return premium for the unused portion of your premium.
Many folks switch insurers because the service they expected has not happened as it should have. This is a very common event. After all the claim disposition of the claim is what you are paying your premiums for.
Lastly, many Insurance departments take an inventory of the number of complaints that each insurer has during some period usually the calendar year. Go to your insurance departments website and you should be able to discern whose reputation is great and those who are not.
However, why not postpone changing for a few weeks (or a few months) until the claim is settled? It may be a wise short-term and long-term decision.