Motorcar insurance protects others from loss.
States wish automobile owners and drivers to manage vehivle liability coverage, which pays for any damage or injury a Chauffeur causes to another. Society insurance commissioners permit insurance companies to cancel policies under undeniable conditions.
Premiums
In the letter, the company explains the appeal process. Most states have an insurance fund for drivers who are difficult to insure.
Safety
If the driver develops a physical or mental condition that may endanger others, companies can cancel the policy. Heart ailments and epilepsy are two conditions that can create a greater risk to the driver, others and the insurance companies.
Loss of License
The state may revoke a driver's license for driving while under the influence or for being involved in a hit-and-run accident. Since the driver is no longer licensed to drive, a company can withdraw auto liability coverage.
Fraud
Insurance companies may drop a policyholder who commits a fraudulent act, such as burning his automobile in order To gather insurance money.
Considerations
State insurance commissioners require the insurance company to send a letter to the insured stating the reasons why he's being dropped.Companies can Blop an insured at any chronology for failure to pament his premiums on bout or in complete.
