You’ll probably panic if you learn that your truck insurance won’t be renewed a month or two before your policy’s expiration date. While a nonrenewal won’t negatively affect your credibility in the eyes of an insurer (in most cases), it’s still a major inconvenience. However, don’t fret as it’s still possible to acquire a new policy on short notice.
First things first, you must understand the reasons that your insurance carrier won’t renew your policy. Therefore, reach out to your agent who can help guide you on the next steps.
We’ll discuss the most frequent justifications insurance companies provide for not renewing truck insurance policies in this post, along with what you could do in response. Let’s get started!
Why Your Insurance Provider Won’t Renew Your Truck Insurance
A non-renewal is frequently confused with a cancellation. It’s important to note, they’re both two distinct actions with different outcomes.
In most circumstances, a non-renewal notice typically denotes an unanticipated change with the insurance carrier. For instance, that specific insurance company may no longer write policies in your area or state, or they may have completely left the industry.
If this was the reason for your non-renewal, you won’t have any trouble finding new insurance. If there was another cause for your non-renewal notification, on the other hand, you can run into some issues.
Following are some typical scenarios in which your insurance provider won’t renew your truck insurance:
- You paid late or not at all
- Poor inspection results (aka motor carrier snapshot)
- Increased frequency or severity of claims
What to Do When Your Insurance Provider Refuses to Renew Your Truck Insurance
Getting past a non-renewal can be challenging if you’re connected to the carrier directly. You can therefore choose to either look for a new provider on your own or enlist the help of an insurance agency. Your agent can comparison shop for you when you buy insurance through an agency rather than the insurer directly.
By choosing this option, any future non-renewal notices will be sent to your agent. As a result, you’ll have a leg up in seeing how the agency will successfully remarket you to the other carriers they’re affiliated with.
To get you an accurate quote, a trucking insurance agent will need to gather the following information from you:
- Driver information: This would include each of your truck drivers’ driver’s license numbers, hire dates, level of training and experience, and birthdates.
- Hauling radius: The distance you travel to haul goods affects your rates greatly. The farther you travel, the more expensive your rates will be. Furthermore, it’s crucial to give your agent precise information because certain insurance companies only operate in select states.
- Vehicle information: Let your agent know how many trucks you have and their year, make, and model. Higher premiums result from the fact that newer vehicles would be more expensive to repair in the event of an accident.
- Claims history: The frequency and severity of past and current claims can greatly influence your rates.
- Safety practices: Your agent will be interested to learn about any proactive safety measures your trucking company is taking. If you make your drivers attend regular training sessions, you might even qualify for a discount.
- Driver violations: Your premiums will increase if you receive any speeding citations, DUIs (clearinghouse CDL), or operate your truck while holding a suspended license.
- Cargo information: Additionally, an agent has to know what kinds of goods you typically transport. The top four or three commodities that you typically haul should be listed.
Bottom Line
You often become anxious about obtaining the coverage you require for your trucks when faced with a non-renewal. Even though it’s not as bad as a cancellation, you still need to contact your agent to help you find a new truck insurance provider.
View a few of our available commercial vehicle insurance choices. You can unwind knowing that your commercial trucks are adequately covered in this way. If you want truck insurance quotes, give us a call or fill out our online form.
