In the newest FAQ, the writers at Online Auto Insurance inform readers about when and how an Alabama insurer can legally cancel coverage.
Online PR News – 20-August-2010 – – Drivers pulling out onto the road do so with a certain amount of risk, but motorists getting behind the wheel without proper coverage do so at an even greater risk. Uninsured drivers carry the possibility of being fully financially responsible for any accident they cause as well as the possibility of being convicted for violation of state law. When motorists acquire auto insurance, it is important to know when and how an insurer can cancel a policy so that there will be no lapses in coverage. Alabama drivers would do good to read the newest FAQ from the writers at OnlineAutoInsurance.com, which outlines the circumstances under which an Ala. coverage provider can legally cancel coverage.
All residents of the Yellowhammer State should know that Alabama car insurance is required of all motorists within state borders. What drivers in the state may not know is that there is a long list of circumstances that can lead to the cancelation of a policy.
Under state law, an auto insurance policy cannot be terminated without prior notice; policyholders must be given at least 10 days’ notice in the event that coverage is severed for nonpayment of premiums, and there must be 20 days’ notice if it is canceled for any other reason.
Among the reasons an auto insurance policy may be terminated besides nonpayment are material misrepresentation in the obtaining of an insurance policy, failure to disclose previous accidents or violations, and involvement in certain criminal activities. Additional reasons for lawful cancelation involve use and condition of a policyholder’s auto.
To access the newest FAQ with a full list of possible reasons for cancelation, readers can go to http://www.onlineautoinsurance.com/alabama/, where visitors will also be able to start looking for the best car insurance rates with the use of the free online quote generator.