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Increase in insurance policy

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Senior Member
I accidentally let my policy lapse so now they want to jack up the premium $200. Is this legal?
Yes, it's legal, no matter what state you are in.

You are treated as a new customer and have lost any persistency discounts that you previously. In addition, people who allow their insurance to lapse are higher risks than people who don't and are charged accordingly.


Senior Member, Non-Attorney
It's most definitely not "unfair". I already responded once and it looks like somebody didn't like that (perfectly honest) answer, so I'll just leave it at that.
So here is an article to talks about what happens when you let your insurance lapse:

The important takeaway is:

Your homeowners insurance premiums go up
Insurance companies consider financial health to be a big indicator of insured risk. The lower your credit score, the likelier you are to file an insurance claim. Similarly, if your homeowners insurance lapses because you failed to pay your premiums, that could be an indicator to your next insurer that you lack financial stability and you’ll likely be charged higher premiums.

As a note, the same thing can happen if you let your auto insurance lapse.
Thank you 'Almost there'. It's nice to get a comment from a decent member of this forum.
......even if it's not what I wanted to hear
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