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If you have an auto insurance policy, and you want to either switch companies or cancel your coverage because your vehicle is no longer in commission, you have the right to do so. While the process of cancelling a policy will vary amongst insurers, most insurers will request a letter of cancellation in writing with your policy number, requested date of cancellation, and your signature to cancel your policy. If your vehicle is non-operable, some states will require proof of the date you reported the vehicle as a non-op to the DMV. If you are switching companies, you may be requested to provide a copy of the declarations page from the new insurer showing the effective date of the policy to backdate the cancellation. While some companies do not charge a fee for cancellation, others will short rate your premium and charge a percentage of the unearned premium if you cancel your contract before renewal.

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