Getting New Jersey homeowners insurance quotes is just the first step to ensuring that you and your family are protected. Homeowners insurance will definitely be at the forefront of your mind as a responsible homeowner. Unfortunately the insurance system is complicated and sometimes dangerous. The quote is only part of the story and there are many things that you won’t understand from this information alone. One of these things in the rights that you have. You might think that taking the time to really understand what you’re getting into is just too much hassle, but ignoring the hard bits is not the right way to go about it. A New Jersey homeowners insurance policy is a legally binding contract and you should be going into it with your eyes completely open, including understanding your rights.
In general insurance policies will come with a 60 day cancellation period. The period allows both the insured and the insurer to immediately terminate the policy for any reason without any notice needing to be given. Once this 60 day period has lapsed there are far more regulations in place regarding cancellation. If you have faulted on your New Jersey homeowners insurance premium repayments, committed fraud, subjected your home to hazards or made excessive insurance claims then the insurer will be able to cancel your policy immediately and will not have to reimburse you for any payments you have already made. If the insurer cancels the policy after the 60 day period for any of the reasons above then it could have a negative effect on you purchasing a new policy in the future. On the other side, there are also certain situations in which you are able to cancel the policy. If your insurer has suffered a significant amount of financial certainty or the company on a whole has come under disrepute then you will be within your rights to cancel your policy immediately.
Renewals / Non-Renewals
If you make the decision not to renew your policy when your original contract reaches its end then you will have to give your insurer a minimum of 45 days’ notice. It is the responsibility of your insurer to give you the opportunity to provide this notice, e.g. they should contact you when your policy is coming to an end and ask you what you wish to do. If they fail to do this then you will be able to keep your existing policy in place with no changes to the terms and conditions.