Is There a Grace Period for Car Insurance Payment in North Dakota?
Reader’s Question:
I just recently purchased car insurance in Bismarck, North Dakota. I am just wondering on how the payment works. If let’s say I failed to pay the premium on the date it’s supposed to be paid like on its due date, will I be given a grace period? Like some number of days before it is terminated? Or will my auto insurance policy be terminated right away?
Thaddeus
Bismarck, ND
Auto insurance policies are not like cable bills that gave you the chance to pay after the due date. It does not give you a certain period of time before it gets terminated. So with this, the answer to your question is that unfortunately there is no grace period given to policyholders.
According to the North Dakota Insurance Department, if the payment for the car insurance premium is not received by the insurer on the due date or the date included on the car insurance bill, the car insurance policy is terminated automatically. However, the good news is that there are some auto insurance companies that give a policyholder the so called “grace period”. However, if I were in your position, I would not rely on that “chance”. Getting a car insurance policy terminated because of non-payment is never a good thing to have on your credit history.
For more information about auto insurance termination consult with your car insurance agent in Bismarck, North Dakota or ask the ND Insurance Department.
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