California – 760-241-7375 | Utah – 801-840-9555 Facebook Twitter LinkedIn Google+ Yelp



While it's good to get insurance coverage for your business, it is also prudent to stay on good terms with your insurance company. One of the ways to do this is by making sure that you renew your policy on time. Letting your renewals go past the due date will have negative impacts on you and your business.

Termination of the Policy

Every insurance company allows for a grace period. The company sets the deadline date within which the renewal of the insurance coverage should be done. The grace period is the additional time that your insurance company gives you if you still have not renewed your policy. In most cases, the period is 30 days. After this period, the insurance company has the right to terminate your policy. When your policy is terminated, it means that you cannot be compensated for losses, even if the cause of the loss is one of the risks you were insured against.

Premium Increases

You could see your premium increase by a significant amount. Your premiums greatly depend on your credit history. Your insurance company uses standard criteria to determine your credit performance. If, at one time, you delayed renewing your policy, this will negatively affect your credit performance. Your insurance company might raise your premiums if they consider you a high-risk member. Moreover, some insurance companies might also charge penalties and fees, in addition to the premiums, depending on how long you took to renew your policy.


This can happen when your policy is terminated by one insurance company and you apply for a new one with a different company. When this new insurance company looks into your history and discovers that your policy was terminated by the previous insurance company due to delayed renewal, they may reject your application. However, if they do accept your application, you might be required to pay high premiums. This is because they consider your credit history when determining your premiums, and you are now recognized as a high-risk customer.

How to Avoid Delayed Insurance Renewals

One of the best ways to avoid delayed insurance renewals is by settling the policy in full. If you pay your premiums all at once, you will not have to struggle with delayed renewals. If that strains your pocket, you can decide to pay in installments, but you'll need a good budget to ensure that you do not spend the renewal money on something else. You can also make arrangements with your insurance company and your bank, so that your policy is automatically renewed.

Do not hesitate to give Key City Insurance a call at 866-466-2109 for more information on Victorville business insurance policies that will guarantee your maximum security.

Share |

No Comments

Post a Comment
Required (Not Displayed)

All comments are moderated and stripped of HTML.
Submission Validation
Change the CAPTCHA codeSpeak the CAPTCHA code
Enter the Validation Code from above.
NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive

View Mobile Version

Mercury Excellence Award

Key CityInsurance BlogOur Blog
Home | About Us | Get A Quote | Customer Services | Contact Us
CALIFORNIA Key City Insurance Victorville Office
12370 Hesperia Road Suite 9
Victorville, CA 92395
(760) 241-7375

Rancho Cucamonga Office
10681 Foothill Blvd Suite 495
Rancho Cucamonga, CA 91730
(909) 980-0038
UTAH Salt Lake City Office
3540 S 4000 W Suite 220
Salt Lake City, UT 84120
(801) 840-9555

St George Office
393 E. Riverside Drive Suite 203
St George, UT 84790
(435) 656-8100
CONNECT WITH US Facebook Twitter LinkedIn Google+ Yelp