By Nelson Hatchett | December 12, 2019

Can I Cancel Business Insurance?

Hey, it’s Kyle with Hatchett Insurance. The question is, can I cancel business insurance? The answer is yes. There’s a few different ways you can do that, and it’s going to depend on the conditions that are in your policy. The most common is prorate, which just makes the most sense. If you have a one-year policy and you cancel it halfway through the year, you’re going to get half your money back if your cancellation policy is prorate. Short rate means you get a little bit less than that, and the details of that will be on your policy. You don’t see that very often. Oftentimes, you will see, especially if it’s through an E&S broker, minimum earned premium, and it’s usually 25%. so even if you wanted to cancel the day after, you would still owe at least 25% of the premium. But, prorate is by far the most common. And yes, you can cancel business insurance.