Keep Your Coverage on Track - Easy Reinstatement with GoAuto

Posted By: Greg T. | Date Posted: Oct 15, 2019

Missed a Payment? Policy Canceled? Don’t Sweat it! Here’s How To Get Your Coverage Back on Track

We’ve all had that “yikes!” moment when we realize a bill is long overdue. Fortunately, when that bill happens to be your car insurance, GoAuto makes it a priority to help drivers get reinstated with zero hassle. After all, you’re only human, and missing an insurance payment or even letting your policy lapse happens more often than you think.

Swap “Late” For a New Date

If tough times have come knocking and you can’t make your payment before your policy cancels, the first thing you should do is see if you’re eligible for a due date change.

Depending on your insurance company you may be able to request a payment due date that works better for your situation. For example, GoAuto grants drivers due date changes to accommodate difficult life situations, like employment changes, family trouble, etc. - even if your payment is already late. Due date adjustments are not unlimited; however, they can come in handy when you have a setback.

For drivers who can’t get a due date change, and are facing cancellation, it’s helpful to understand the options you have for reinstatement, i.e. getting your coverage back. Generally, the sooner you can get your payments current, the easier it will be to restore your policy if it’s already canceled.

My Policy Was Already Canceled – Now What?

After you’ve spoken to your insurance agent and verified that your coverage is canceled, you may be able to reinstate. Just keep in mind that a missed payment doesn’t automatically trigger a cancellation. GoAuto customers have a grace period of 10 days, which means as long as you make your payment within 10 days of the due date, you’ll avoid cancellation. If you’re unsure about when your payment was due or how much time is left in your grace period, one of our agents will gladly provide that information to you.

If your policy has indeed canceled, there’s no need to panic. Let’s discuss how reinstatement works.

How Does Reinstatement Work?

Ever wish you could go back in time? Think of reinstatement as kind of a modern DeLorean. It’s pretty simple: by making a payment online, over the phone, or in the store, you reactivate your coverage immediately. Customers can reinstate up to 19 days after cancellation.

While you won’t have coverage for the days during which your policy was canceled, your payments will remain the same. We make it easy - there’s no need to go shopping for a new policy or change carriers. Should you need help, an agent is always available to walk you through the process of getting your coverage back on track.

What To Do If You’re Not Eligible to Reinstate

If for some reason you can’t reinstate, perhaps because too much time has passed, you always have the option of quoting a new policy. For the reasons explained below, it’s better to do this as soon as possible.

Avoid Lapses, Save Cash

A lapse, or cancellation, has consequences on your pocketbook. Long-term lapses may increase your rate; on the other hand, continuous coverage helps you keep your premium low. In addition, in most states a lapse will require you to pay a fine to the local department of motor vehicles, even if you only go a few days without coverage. That’s because throughout the U.S. it’s illegal to drive without insurance. In fact, many states like Louisiana go so far as to block your driving and registration privileges until your fines are paid and you show proof of an up-to-date insurance policy.

One of the biggest and most crucial reasons to avoid a lapse is to make sure that in the event of an accident, you have the coverage you need. Causing an accident while you’re uninsured could be disastrous; the financial responsibility of fixing your vehicle and the other driver’s vehicle would fall solely on you. Should the driver and his passenger become injured, you may be legally obligated to pay for their medical expenses and lost wages, as well.

As you can see, policy cancellations have the potential to really cost you in the long run, so make every possible effort to pay your premium by the due date or at least within your grace period. If you haven’t already, consider a GoAuto payment plan to make your policy more affordable.

Easy Reinstatement = Saving More Money

The key takeaway: keeping up with your payments and reinstating as soon as possible after a coverage interruption will save you money and keep the stress away.

If you’re a GoAuto customer, chances are you’re already benefiting from low cost car insurance, but we don’t just care about saving our drivers money. We know life happens, and we work to make it easy to reinstate your policy so you can avoid the unnecessary expenses that result from driving without coverage.