Switching car insurance companies may seem daunting, but there are several factors that could make it a wise decision. As a car owner, you want to ensure that you’re getting the best coverage and rates possible. So, it’s perfectly fine to consider changing your car insurance company to one that meets your specific needs.
But what happens after you make the switch? Are there any potential pitfalls you should be aware of, such as problems if you decide to go back to your original insurer? Let’s explore these questions together.
Can you change the insurance company?
Yes, you can. Avoid auto-renewal or sticking with the same insurer because you might miss out on a better deal. Insurance companies regularly update their premiums and benefits, so it’s always worth doing some research and comparing prices.
By taking a little bit of time to shop around, you can find an insurance plan that not only meets your needs but also fits your budget.
Reasons to change car insurance company
There are several reasons why most people consider switching their car insurance company, such as:
- They desire additional benefits that are not offered by their current car insurance company (which is a perfect reason to switch as soon as their current insurance policy expires).
- They accidentally chose the wrong type of car insurance. For example, they intended to purchase 1st party coverage but ended up with 3rd party coverage from a different insurance company. (This is common for those who have recently renewed their car policy).
Switching car insurance companies can be a smart decision, especially if you’re looking for better coverage and lower premiums. Don’t let these common mistakes hold you back from getting the best deal possible.
Conditions for changing car insurance company
Each insurance company might have their own terms and conditions but as a consumer, you have complete freedom to switch to a new car insurance company. The key is to take matters into your own hands and follow the right steps to ensure a seamless transition.
How to change the car insurance company
Changing your car insurance doesn’t have to be a hassle. If you’re looking to switch to a new insurance company, it’s actually quite easy! If you want to switch your car insurance when the current policy expires, it’s very easy. Simply find a new insurance company that meets your needs and sign up!
You also can use insurance comparison sites such as Bjak to compare and choose from the insurance company that suits your requirement.
However, if you need to cancel your existing insurance that has not yet expired, here’s what you need to do:
- Cancel the road tax of your car at JPJ.
- Visit the insurance branch you’re currently using.
- Each state has its own insurance company branch, so find the one nearest to you.
- You can get a refund for the remaining insurance period. If you have 10 months left, your money will be returned according to the terms and conditions of the insurance company.
- Bring important documents like your road tax cancellation letter, ID card, and insurance policy to the insurance branch.
- It may take up to 3 weeks or more for your refund to be processed.
That’s it! With these steps, you can switch to a new car insurance company.
Effects of frequently switching car insurance companies
You won’t have to worry about any negative outcomes when it comes to your car insurance. If you let your policy expire or change companies following the steps we provided earlier, there won’t be any consequences.
However, if you frequently switch between insurance companies, you may face higher insurance costs in the future. For instance, if you go from Etiqa Takaful to Zurich Takaful and then back to Etiqa Takaful again, you could end up paying more for your car insurance.
With the right steps, changing your insurance company can be a stress-free process. Remember, always take matters into your own hands to ensure a seamless transition.
Bjak is one of Malaysia’s biggest insurance comparison websites, offering policies from over 10 brands. Get your free insurance quote from Bjak today!
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