CANCELLING YOUR POLICY

Cancellation of insurance policies happens. However, it is of benefit to both the customer and the insurer if it is done the right way.

There are several reasons that people have given for cancelling policies and these reasons are.

 Inability to pay premium.

 They did not know/understand what they were signing up for.

 The insurance cover was no longer meeting their needs.

 They were unhappy with the customer service among others.

 They were convinced by a friends, family member or even an insurance agent or broker to cancel.

If you wish or want to cancel you insurance policy please give a honest feedback to your insurer when you cancel your policy, because this will help them make their processes better going forward.

Things to consider before cancelling your policy

 When you are not able to pay your premiums.

 When you did not understand what you signed up for.

 When someone convinces you to cancel your policy.

 When the insurance cover is no longer meeting your needs.

The process of cancelling your policy

If you have made the decision to cancel your policy. You need to follow these steps.

i. Communicate formally (e-mail or letter) to the insurance company, agent or broker and return the original or duplicate certificate (for car insurance) or policy for other types of insurance.

ii. Depending on when the cancellation happens and the type of cover, the insurance company may refund you the premium for the remaining period of insurance based on the applicable rates.