Before we talk about Car Insurance Renewal, let us understand what insurance renewal is all about. Insurance renewal is actually the period of time when an insurance policy is in effect, and the insurance company does not adjust the rate during that period. When the customer completes the insurance policy period, the rate of insurance remains the same for every policy renewal until the customer himself makes a change to it.

Car Insurance Renewal

Insurance Renewal in case of cars is automatic. This is to ensure that the drivers do not end up without an insurance cover accidentally or for any other reason. However, it is worth an argument if auto-renewal of the car insurance has more pros or cons, considering the rising renewal costs.

We discuss a few pros and cons of auto-renewal of car insurance!


  • The primary advantage of having an auto-renewal of your car is that you are in a safe bet even if you forget to renew your insurance policy.
  • Auto-renewal is what it is. The policy simply gets renewed automatically by the end of the insurance period, unless the customer directs the insurance provider against it.
  • The insurers have been ensuring that it is for the benefit of the customers completely since there are several Insurance Enforcement Legislation and they want to ensure that the drivers are not driving without a valid cover.


While there are several advantages of having an auto-renewal of car insurance policy, there are several cons to it as well. This becomes a significant problem for the drivers who are completely oblivious of the fact that their car insurance policy is subject to auto renewal.

  • It is estimated that of all the motor insurance complaints, five percent of them are related to auto-renewal of insurance policies.
  • The worst affected are the customers who buy a new policy with a new insurer and completely fail to realize that their existing one gets automatically renewed. By the time they realize, it is often too late.
  • The other problem is where the customer does not buy a new policy believing that his policy will get automatically renewed and is finally, left without any at all!

Whether you are looking for your smart car insurance, vintage car insurance or used car repair insurance, remember there is a huge and competitive market out there. There are several websites online that allow the customers to compare the different insurance policies and find the best price car insurance that promises them maximum returns with the minimum hassle!

Car Insurance Renewal is an important factor and must be considered of equal importance. It is also the responsibility of the motorists to keep a check on their insurance renewal time and its policies. The customers must ensure that they receive a renewal notice from the companies at least 21-30 days before their existing insurance cover expires. And then they are good to make a choice!