Why Doesn’t My Insurance Company Want To Insure Me Anymore?
The insurance industry is a large, highly regulated and complex industry. Despite the efforts of organizations like the Insurance Bureau of Canada(IBC), the Insurance Brokers Association of Canada (IBAC), Risk & Insurance Management (RIMS) etc. many people and business owners have a lot of questions, false beliefs and misunderstandings about the property & casualty insurance industry and how it works. The goal of posts like this is to help educate and inform others and to objectively provide answers to some of the most frequently asked questions about our industry such as why doesn’t my insurance company want to insure me anymore?
So…Why Doesn’t My Insurance Company Want To Insure Me Anymore?
There are many reasons you might be asking why doesn’t my insurance company want to insure me anymore, but there is only really one answer to that question, which is….they don’t want to. Bluntly put…insurance companies operate like any business which is to make a profit and, rightly or wrongly, if they don’t want to insure you anymore…they don’t have to! However, insurers don’t typically make decisions to not insure a person or organization lightly and they have to manage their reputation with their clients and distribution chain, but ultimately the willingness of an insurer to offer insurance for a specific product, geography, industry etc. is entirely their call.
Reasons An Insurance Company May Not Want to Insure You Anymore
There can be single or multiple reasons why an insurance company might not want to ensure you or your business anymore and it is important to understand why as the differences between their reasons will impact how and where you can/should get another insurer to take you on. Some of the more common reasons include:
- Cancellation for non-payment
- Non-renewal for late or missed payments
- Tickets, Fines & Penalties
- Changes to your risk profile ex. increased US sales or new products being offered
- Changes in insurance company strategy
- Social, political, business and/or shareholder pressure
- Mergers & acquisitions by insurance companies
- Catastrophic events
- Lack of profitability by the insurer
- Extreme weather events
- Changes in legislation & law
- Shifts in litigation trends
What Should You Do If An Insurer Doesn’t Want To Insure Your Business or Organization Anymore?
If you’ve been advised that your insurance company doesn’t want to insure your business or organization anymore contact an ALIGNED Insurance broker today. ALIGNED is a commercial insurance brokerage that specializes in helping individuals and organizations get the best and right commercial insurance.
ALIGNED Across Canada
100% Canadian owned, ALIGNED is a premiere insurance brokerage that serves nearly 1,400 clients across the country. ALIGNED’s offices in Toronto, Calgary and Vancouver are supported by a national operations centre in Cambridge, Ontario. Uniquely within the industry, ALIGNED creates, negotiates and delivers the best business insurance and risk management strategies/solutions to organizations like yours. Uniquely within the industry, ALIGNED business insurance brokers create, negotiate and deliver the best business insurance and risk management strategies/solutions to organizations like yours. As one of Canada’s fastest-growing insurance brokerages, we invite you to learn more about us and connect @ALIGNEDonRisk, on Facebook or LinkedIn.