Everyone wants to make sure they’re getting the best value, and insurance is no exception. While you may have found a great policy a while back, it’s always smart to regularly review your coverage and rates to ensure you’re still getting the best deal. A good broker will do that for you. Switching insurance providers or brokers can be a wise  decision, but it’s important to weigh all factors before making a change.

In this article, we’ll explore the key things you should know about switching insurance providers, including when there’s an acquisition or merger involved, and how those changes can impact your policy.

Why Consider Switching Insurance Providers?

There are several reasons why you might consider switching insurance providers. You might have found a better deal, your coverage needs may have changed, or your insurer may not be offering the best customer service. In some cases, mergers or acquisitions can prompt you to review your policy as new ownership can bring changes to rates, coverage, and service.

Here are some common reasons to switch insurance:

• Looking for lower rates: With rates changing often, you might find a better deal by shopping around.
• Improved coverage: You may need more (or less) coverage than you currently have, or your insurer may no longer meet your needs.
• Customer service: If you’re experiencing poor customer service or claims handling, it may be time to find an insurer who better aligns with your expectations.
• Your broker or insurer is bought or sold: A change in ownership can result in shifts in how your policy is handled, including changes to premiums, coverage, and service.
• Your needs have changed: Whether you’re upgrading your vehicle, purchasing a new home, or making other life changes, adjustments to your coverage may be necessary to ensure you’re properly protected.

Switching Insurance Providers: What You Need to Know

1. Can You Switch Your Insurance?

Yes, you can absolutely switch insurance providers. The best time to do this is right before your policy is up for renewal. This allows you to avoid cancellation penalties and ensures a smooth transition into your new policy. To make sure you’re getting the best deal, you should:

• Call a local broker: A local broker can help you access more markets and options. Direct writers often only have one option to offer.
• Compare rates: Comparing rates from multiple providers helps you identify if you’re overpaying. Make sure the policies you compare offer similar coverage, limits, and deductibles.
• Check customer experiences: Research customer reviews to see how the provider handles claims and customer service.
• Ask your broker for help: A knowledgeable insurance broker can help you shop around and make sure you’re comparing apples to apples when it comes to coverage.
• Consider convenience: Check if the new provider offers things like online policy access or a mobile app for easy management.

2. Can You Switch Insurers Mid-Policy?

Yes, you can switch insurance companies during your policy term, but be aware that some insurers charge a cancellation fee for early termination. You’ll want to know the exact penalties or fees associated with cancelling early, as they can impact the overall cost-effectiveness of the switch.

Here’s how to assess the situation:

• Calculate your savings: Determine how much you’ll save on premiums over the remainder of the policy term and subtract any early cancellation fees.
• Avoid non-payment penalties: Don’t just stop paying premiums to your old insurer, as this could result in policy cancellation and negatively impact your credit.

3. How Do You Change Insurers?

Once you find a new insurance provider, make sure your new policy is active before cancelling your old one. You just don’t want to leave any gaps in coverage, as this could lead to higher premiums or difficulties in securing future coverage. Most brokers will help you through this process. It’s not hard. They can assist with the paperwork to ensure that your new policy is set up correctly and that your old insurer is notified of the cancellation.

4. Can You Switch Home and Auto Insurance Too?

Yes! If you have bundled home and auto insurance, switching both policies can often help you save even more. Many insurance providers offer discounts for bundling these policies, which could make the switch financially worthwhile. If you’re making a change, be sure to notify your mortgage lender (for home insurance) and your car loan provider (for auto insurance) to keep them informed, and send them the new policy’s declaration page.

Switching both policies at once can streamline the process and ensure you get the best rates and coverage across both areas. A knowledgeable broker can help you evaluate the best options for bundling or switching both your home and auto insurance.

Switching When Your Insurance Broker or Provider is Bought or Sold

Mergers and acquisitions (M&As) in the insurance industry can complicate things when you’re looking to switch providers. Here’s what you should know if your insurer or broker is sold or merged with another company:

• Changes to Rates and Coverage: When an insurer is acquired by a larger company, rates, coverage options, and policy terms can change. You may face increased premiums or find that your coverage doesn’t meet your needs as well as it did before. In some cases, the new provider may offer more competitive rates or improved coverage, but it’s essential to review your policy when the switch happens to ensure your needs are still covered.
• Changes to Customer Service and Claims Processing: The new insurer might handle claims and customer service differently, which could impact your experience. While some companies improve service after a merger, others may experience growing pains during the transition. Pay close attention to how the customer service experience changes, and be prepared for potential delays or disruptions in claims processing.

If you find yourself in the middle of a merger or acquisition, there are a few key steps you should take:

• Review your policy: Look over your new policy terms and conditions, and ensure your coverage hasn’t changed in a way that negatively impacts you.
• Shop around: Even if the transition seems smooth, take the time to compare your rates and coverage with other providers to ensure you’re still getting the best deal.

Tips for Switching Insurance Providers

Whether you’re considering switching due to a merger or acquisition or simply looking for better coverage or rates, here are some tips to help make the transition smooth:

• Start early: Begin shopping around a couple of months before your policy renewal to give yourself time to compare options.
• Get multiple quotes: Always compare quotes from at least three different companies to ensure you’re getting the best deal.
• Review coverage carefully: Make sure your new policy offers the same or better coverage than your old one.
• Check for discounts: Ask about available discounts like bundling home and auto insurance or discounts for safe driving or good credit. Ask if you qualify for any group discounts too—this could be up to 20% more savings.

Conclusion

Switching insurance providers can be a smart move if you’re looking for better rates, improved coverage, or if changes in your current broker or insurer’s ownership have left you wanting something different. No matter why you are switching, it’s important to carefully review your policy, understand the terms, and work with your broker to make a smooth transition. Don’t hesitate to shop around and find the coverage that best suits your needs!

Call Munn Insurance Today!

If you’re considering switching your insurance, or if you need guidance during a merger or acquisition, Munn Insurance is here to help. We review every policy at renewal time to ensure you’re always getting the best value for your coverage. Contact us today to get a quote or discuss your options with one of our experienced brokers.

Whether you’re adjusting your auto insurance, home insurance, or bundling both, we can help guide you through the process and make sure you’re protected at the best price.

Reach out to Munn Insurance today at 1-855-726-8627 or visit our website to learn more.