The contractually agreed term of insurance specified in the policy applies. That is the date on which you can cancel your car insurance. If you do not cancel your contract on this date, in most cases the contract is renewed for a further year.
You can either give notice of cancellation at the end date given in the contract or, if an annual right to terminate policy was agreed, at the end of the contract year.
The notice period for car insurances is generally three months. Your contract may give a different notice period. So make sure to check the notice period specified in your insurance policy or in your insurer’s corresponding Standard Terms of Insurance (STI). Your notice of cancellation must reach your insurer no later than the last day before the notice period starts to run. The date of the postmark as the last possible day is not sufficient.
Cancellation notices are generally sent by registered mail. In any case, they have to be in writing. Ask the insurer to confirm your letter of cancellation to ensure it has been received and accepted.
Apart from regular expiration of the contract, you have other opportunities to cancel your car insurance.
Whenever you change your car, you can cancel your existing car insurance and get an insurance with a new provider. Any unused portion of the premium you paid in advance is refunded.
The liability insurance is transferred to a new owner. The new owner can cancel the contract within 14 days of the change of ownership.
Another opportunity is to cancel your car insurance when your car insurer announces an increase of premiums in the following year. The cancellation notice must reach your car insurer no later than the last day of the current insurance year.
After a claim has been made, the car owner may cancel the car insurance. But only if the insurer has made a payment for the claim. The notice of cancellation must be issued no later than the date of the payment. Any unused portion of the premium paid in advance is refunded, provided the contract has been in force for more than one year and the claim was not for a total loss.