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English » FAQ » General FAQs » Q: What is the difference between cancellation and nonrenewal?

There is a difference between an insurance company canceling a policy and policy that has been in force for more then 60 days except when:
* YOU FAIL TO PAY THE PREMIUM
* YOU HAVE COMMITTED FRAUD OR MADE SERIOUS MISREPRESENTATIONS ON YOUR APPLICATION.


Nonrenewalable is different. Either you or your insurance company can decide not to renew the policy when it expires. Your insurance company must give you a certain number of days' notice and explain the reason for not renewing before it drops your policy, all that depends on the state you live in.

If your insurance company didn't renew your policy, you will not necessarily be charged a higher premium at another insurance company, selecting not to renew it. An insurance company cannot cancel a



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