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How To Switch Home Insurance Companies

Author Icon By Brenda Woods Updated 02/23/2024

If at any time your home insurance policy no longer fits your needs, you can change it. Read our guide to learn how to switch home insurance companies, what the process looks like, and how to find the best homeowners policy for you.

To get home insurance quotes in your area, call 855-948-5219 or enter your zip code in our free quote tool:

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Why Should I Switch Home Insurance Companies?

Here are a few reasons why you may decide to switch insurance providers:

  1. Price—If you changed jobs and can no longer afford your current policy, or your insurance company has been increasing home insurance rates year over year, you’ll need a new policy to fit within your budget.
  2. Bundling—Another reason to switch insurance companies is so that you can purchase your home and auto insurance policies from the same company. This allows you to get a discount on your home insurance for bundling policies and lets you work with a company you already know and trust.
  3. Coverage needs—Companies have different coverage amounts and endorsement options. If your company’s maximum or minimum coverage is lower or higher than what you want, or if you want an endorsement that your current provider doesn’t offer, you may want to switch to a provider that better fits your insurance coverage needs.
  4. Customer service—If you filed a claim with your current provider and weren’t pleased with how the claim was handled, you may decide to switch to a new company that has a better track record of approving claims and handling them quickly.

Steps to follow

Follow the steps in the dropdown tabs below to find a new home insurance policy:

Look at your current policy and determine if your coverage amounts still apply to your home protection needs. If they don’t, adjust them accordingly.

Consider getting quotes from several insurance companies so that you can compare coverage options and pricing. While most companies will offer standard dwelling, other structures, personal property, loss of use, liability, and medical payments to others coverage, they may have different pricing structures and endorsements.

Coverage and price shouldn’t be the only factors you consider. Visit third-party review websites, like the Better Business Bureau and Trustpilot, to see what the customer service experience is like.

Once you find the right company, purchase a policy and set the start date for right before your current policy ends. This ensures that you won’t have a lapse in coverage between when your old policy ends and your new one begins. Note: having a lapse in coverage is a violation of your mortgage agreement.


How to Cancel Your Current Policy

After finding a new policy, here’s how you can cancel your current one:

  1. Check the declarations page—Check the declarations page of your policy, as this may tell you how to cancel your policy and whether the company charges a cancellation fee.
  2. Cancel the policy—If the declarations page doesn’t give you cancellation instructions, the fastest way to cancel your policy is to call your local insurance agent or the corporate customer service line. Depending on the company, you may also be able to cancel your policy in the customer portal or mobile app.
  3. Notify your lender—After cancelling your old policy, inform your mortgage lender of the change. Let them know that you have cancelled your current policy and send them a copy of your new insurance policy so that they have proof of insurance and know where to send insurance payments.

How to Notify Your Current Lender

If you want to switch insurance companies and your down payment is less than 20%, your lender will likely open an escrow account. An escrow account is where your lender stashes part of your monthly mortgage payments. Your lender uses this money to pay property taxes and homeowners insurance bills on your behalf, allowing you to set up an account and not have to worry about any bills besides your mortgage.

QUICK Tip

Our Conclusion

The process of switching insurance companies is fast and simple, only requiring a few hours of research and a few minutes to purchase a new policy and cancel the old one. To get started with your search, call 855-948-5219 or use the tool below to see what companies offer home insurance in your area:

Compare Homeowners Insurance Policies
Answer a few simple questions and we’ll take care of the rest.

Frequently Asked Questions

How often should you review your home insurance policy?

You should review your home insurance policy at least once every three years. This allows you to see if your situation has changed enough to warrant a change in your policy.

Can I switch home insurance at any time?

Yes. You can switch your homeowners insurance at the end of the year when your coverage is about to conclude or in the middle of the year.

Is there a cancellation fee for canceling home insurance?

Some insurance companies will charge a cancellation fee. If you pay your home insurance premiums monthly, your old provider will bill you for any cancellation fees. However, if you paid for the entire year upfront, your provider will send you a refund for the number of months you didn’t use with any fees deducted from that amount.

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