When Can A Virginia Auto Insurance Company Deny Me Coverage?


American flag shaped as VirginiaThere are numerous reasons why a driver would be denied auto insurance or have their policy canceled, but in Virginia, coverage providers still have certain restrictions when it comes to the reasons for these actions. The State Corporation Commission encourages any motorist to become familiar with these details to avoid being illegally denied an automobile policy. If a motorist is unable to find coverage because multiple insurers have legally denied them vehicle protection, generally the person still has options.

It is illegal for a coverage provider to deny a resident Virginia auto insurance for several reasons. Companies may not refuse to issue a policy based solely on:
  • A resident being refused coverage in the past
  • Having purchased coverage through the Assigned Risk Plan
  • Because of a person’s age, gender, residence, race, creed, national origin, ancestry, marital status or lawful occupation

Just as there are certain restrictions on being denied coverage, insurers in Virginia are also restricted on reasons to cancel an individual’s policy. After a motorist has maintained a policy for over 60 days, an insurer may choose to cancel a resident’s coverage if:
  • He or she fails to pay the premium
  • His or her license has been revoked or suspended
  • A motorist in the same household, or anyone who regularly operates the insured vehicle has had his or her driver’s license revoked or suspended
  • If the policyholder has relocated to another state, and the insured vehicle is garaged in another state as well

If a motorist has been denied auto protection for various other reasons, he or she may still have options. Vehicle owners can typically find coverage through the Virginia Automobile Insurance Plan. Through this program a resident is assigned an insurer to help him or her meet state financial responsibility requirements. Because a motorist is essentially assigned a company, he or she may not be able to sufficiently shop around and may end up paying more for coverage. For this reason a resident is encouraged to periodically gather car insurance quotes online to find affordable vehicle protection.

Virginia state flagWith this information in mind, a driver can begin searching for vehicle coverage to meet the Old Dominion State’s financial responsibility requirements. The state Department of Motor Vehicles requires any motorist to be able to pay for any losses that he or she may causes as the result of an automobile accident. A driver is likely to comply by purchasing a vehicle policy. Although an automobile owner may not be denied coverage for the previously listed reasons, a driver looking for an affordable policy is encouraged to make Virginia car insurance comparisons online.

Comparing quotes and companies over the Internet usually allows a resident to view dozens of sample rates at once, allowing for a more efficient shopping experience than calling insurers individually for pricing information. Viewing a variety of rate-quotes is important because insurers typically rate each motorist differently, and often there can be large price differences that a resident may be able to take advantage of.