An insurance renewal is defined as the standard length of time that a policy is good for without the insurance company adjusting the rates.
Naturally, there may be a change in rate after purchase is made, though the likelihood of that happening is minimal.
How often does my insurance renew?
Insurance policies often renew after six months or one year, depending upon the policy you are currently locked in to.
Generally, the date is exactly that of when your coverage began. More often than not, renewal information is sent 30-45 days prior to the renewal date.
What should I do upon receiving my renewal?
The most important thing to do above all is pay your premium. It sounds silly to mention, but in order to make sure you are covered, this is the absolute most important part.
Besides that, review your policy and make sure that all the necessary coverage you require is still place. This is your opportunity to add or remove aspects of coverage as well.
Why am I paying more upon renewal?
There are few reasons why your rate has increased. The most common of which is that the rate simply went up. Insurance companies themselves are not necessarily controlling the rates as local and state law regulate this aspect of insurance. It could also be that the company is losing money and the loss must be rectified.
You rate could also change based on your level of risk. If you experience an accident between purchase and renewal, it is likely your rates will increase.
The best line of defense when dealing with insurance policies is knowledge. The more you know about your policy and rates, the better prepared you can be when renewal approaches.
For more information on renewals, contact the team at Burkhart Insurance Agency.