What Happens If You Are Late On Car Insurance Payment?

May 24, 2021 | Daniel Dewitt

late car insurance payment

 

Being late on car insurance payment dates can end up very badly if you're not careful. So, while some people think that car insurance premiums are pointless, the government doesn't seem to agree. In fact, you could be in serious trouble if you get into an accident without adequate coverage.

Make sure to stay on top of your payments for car insurance. See ways you can below including auto title loans.

What Happens When You're Late On Car Insurance Payment?

Nothing too major happens within the first few days of being late on car insurance payment dates. However, when you get past the grace period – if there is one – your policy could get dropped by the underwriter immediately. You may not receive notice of that either. So, when you get into a wreck or need repairs, you wind up finding out the hard way.

Meanwhile, some states make it illegal for drivers to operate their motor vehicles without minimum coverage. That means you could lose your license or have your car towed by a wrecker - an unfortunate circumstance that can cost even more than your original insurance premium. Afterward, coverage providers charge more because you're considered high risk.

Moreover, if you are looking for motivation to be on time, some insurance companies give their policyholders discounts for maintaining the same coverage for six months or more. You might even save money because you consistently pay on time as well.

How To Never Be Late On Car Insurance Payment Dates Again

Do you want to reap the benefits of paying your insurance premiums on time every month? Perhaps you want to forget about paying the bill altogether. But since you can't let your policy lapse, how are either one of those things possible? Being short on cash makes it even harder, so here's what you should do to never be late on car insurance payment dates again.

1. Work The Premium Into Your Budget

Because you can't stop paying it and don't want to deal with legal trouble over lapsed premiums, you've got to make room for it in your monthly budget. If needed, get rid of some things you don't really need. Or begin cutting back in other ways to make sure you've always got enough for what's important.

2. Sign Up For Automatic Withdrawals

Forget about tracking every dollar you make or spend for 30 days straight. After putting together a budget that includes these costs, sign up for automatic payments if your insurance provider allows them. In some cases, doing so might even earn you some extra discounts from the underwriting team.

3. Drop Your Premium With A Safe Driving Record

It's much easier to afford your car insurance payments when it's not an outrageously high amount. However, the premiums won't go down until your driving record cleans up. Once it does, you'll be able to pay the bill on time each month without having to worry about how much it is.

 

auto title loan late car insurance payment

 

4. Get Auto Title Loans To Pay Lump Sum Premiums

You could always forget about paying insurance premiums altogether, but that would require a lump sum payment for an entire year. Depending on the terms of your policy, that could be very expensive. So, use Nevada car title loans to pay for it all, and then never worry about your due dates again – at least until next year.

An auto title loan uses your car’s lien-free title as collateral for a lump sum of cash. It is an option when you need help with emergency expenses – like a late car insurance payment. You must be at least 18 years old to qualify for an auto title loan in the state of Nevada. However, you can get as much as $15,000 if you do.

What To Do If You're Late On Car Insurance Payment

When all else fails, you may need to think outside the box for answers. If that happens, consider auto title loans as a viable option.

Not only do you get to keep possession of your vehicle as long as the loan remains in good standing, but you can also get your money on the same day you apply.

Here's how the process is done at Nevada Title and Payday Loans, Inc.:

  1. Start online with our online form. Go to our website and fill out our short online request form that only takes minutes to fill out. A few minutes later, a title loan representative from the nearest title loans location will contact you with further instructions and schedule a time for you to come complete the process in-office.
  2. Give your agent the required items. We have a few required items you must bring in to get through the process. We will need your vehicle for a quick inspection to determine how much you could qualify for, your driver’s license or government-issued photo ID to prove you are above 18, and the lien-free title to your car that is in your name.
  3. Once you have the items, come into the store to complete the process. We will take a look at your documents and inspect your vehicle quickly. Within 30 minutes you should know whether or not you’ve been approved and for how much. If you do get approved, we will then help you finish the paperwork and you can get your cash right there.

Auto title loans get used by people every year, and many times that's to prevent a late payment on essential insurance coverage. Whether you are late on a car insurance payment or are dealing with other emergencies like medical bills, a title loan could help. Fill out our online form when you feel ready to start our process.