LETTING YOUR CAR INSURANCE LAPSE IS NOT A GOOD IDEA.
With today’s economy the way it is and people just trying to save anywhere they can it may seem easy to let your car insurance lapse. Some people see an easy savings if they let their car insurance lapse with the idea that they will simply reinstate it as soon as they have the money. The problem is that it will probably end up costing more in the long run.
When an insurance company sees that you have been driving without insurance even though it is required by state law they will assume that you are an irresponsible driver. The insurance company will often see this as an additional liability and they will make you pay for it. There are many other reasons why letting your insurance lapse isn’t such a good idea, such as loss of earned discounts and putting yourself at risk should you be involved in an accident. Next time you think of ways to save money think twice before you decide to let your insurance lapse.