For many different reasons, riders may need or want to cancel their motorbike insurance policy. We tell you how.
From selling your bike to just falling out of love with riding, there are lots of reasons why riders will need to cancel theirmotorcycle insurancepolicy.
Unfortunately, cancelling an insurance policy can come with its own costs so it's important to be clear in your own mind that you do want to cancel your motorbike insurance policy.
Should I cancel my motorbike insurance policy or just update it?
In some cases, riders don't actually need to cancel an insurance policy, it just needs to be changed and updated.
For example, if you have bought a new motorbike and sold an old one, you don't need to cancel your policy, you can just change the details on it.
This may result in charges, representative of your new motorbike, but it may not be quite as expensive as cancelling your policy altogether.
What you need to also be aware of is that most insurers charge a fee for changing details and amending policies too. It's important that you're aware of your insurer's change and amendment charges when weighing up whether to cancel or update your policy.
The cooling off period
In the UK, insurance rules state that policyholders have a 14-day cooling off period during which you can cancel your policy and receive an almost full refund.
You will however have to pay an administration charge and the cost of how long you were covered for.
After the cooling-off period
After the cooling-off period of 14 days, your insurance policy is fully in effect and if you still wish to cancel your policy you will be charged a cancellation fee.
The cost of your cancellation fee depends on your insurer however it will be set out in your insurance policy. You should be refunded a set amount based on the amount you have paid and the unused premium remaining.
If you cancel your motorbike insurance close to your policy's start date, you should receive a decent refund. However if you're reaching the end of your contract and you are looking to cancel, you're unlikely to receive much of a refund.
Whatever the case, expect to lose some money when cancelling your insurance policy because cancellation fees are not cheap.
