What Happens If You Let Your Auto Insurance Policy Lapse?

Experiencing a lapse in your auto insurance policy, even for a brief period, can lead to significant consequences. These can range from legal issues and financial risks to increased premiums. At Storey Insurance in Senatobia, MS, we make it easy for you to maintain the necessary coverage to protect yourself on the road.

What are the Immediate Consequences of a Policy Lapse?

Driving without insurance is illegal in many states, which can result in fines, license suspension, and complications with vehicle registration. In Senatobia, MS, all drivers are required to have liability insurance, and proof of coverage should be kept in the vehicle at all times. If you find yourself in an accident while uninsured, you could be personally liable for all damages, medical bills, and legal fees.

What are the Long-Term Consequences of a Policy Lapse?

A lapse in coverage doesn’t only affect you in the short term. It can also have long-lasting consequences. Insurance companies often perceive drivers with a lapse as higher risk, which could lead to increased premiums. Some insurers may even refuse to provide coverage. Depending on the situation, a lapse could also affect your credit score or appear on your driving record, making it more challenging to secure affordable insurance in the future.

Why Risking a Lapse in Your Auto Insurance Policy Isn’t Worth It

Allowing your auto insurance policy to lapse can have severe short-term and long-term consequences, ranging from legal penalties to higher insurance costs. Maintaining continuous coverage not only ensures you comply with the law but also safeguards your financial stability. If you’re at risk of a lapse or need assistance finding a policy that suits your budget, contact Storey Insurance at 662-560-7021.