Cancel Old Policy for Customer

[dnia]

Sometimes after I bind a policy for a customer they will ask me if I can cancel their old policy. I think they just don't want to have to call their old agent and 'break up' with him/her. Is there anyway to cancel the customers old policy or is it something they have to strictly do by themselves?

 

[HoosierLife]

I don't know how things work in the P&C world, but I have a handwritten not that says:

I, _________, would like to cancel/stop the bank draft on policy #_________ Blah blah blah

Then I Fax that in to policy holder services. But that's for life insurance.

 

[nonstandard4me]

Sometimes after I bind a policy for a customer they will ask me if I can cancel their old policy. I think they just don't want to have to call their old agent and 'break up' with him/her. Is there anyway to cancel the customers old policy or is it something they have to strictly do by themselves?

You just need a signed form letter. You can also use an accord that exists for this purpose. Send direct to company. Done and done. Keep records of the FAX in case a little muscle is required. Not too big of deal.

 

[djs]

Exactly, they have to sign the letter. You cannot cancel it but you can (and should) make it part of your routine to have them sign your form letter (or accord form) and send it in yourself.

It is part of making things easy for the new client.

Dan

 

[indienoise]

Yep, I try to make this a regular practice. Acord 35 goes along with the app. Helps them mentally commit, as well as offering fewer chances for the old agent to win them back. I always fax it to the company's service center rather than the agent's office when possible.

 

[HCCIA]

What state are you in? We have a state form here for doing that. You can always just send a singed LPR.

 

[dnia]

I am in New York State. What is an LPR

 

[dnia]

Thank you very much everyone for the advise - One last thing then. When using Acord 35 is it necessary to put in the customers old producer, agency code, sub code, agency customer ID? Wouldn't Policy number be just fine? Do I really need to get their leinholder's signature? Or what are the parts that definitely need to be filled out?

Also would anyone be willing to share their own form or LPR that they use?

Thanks again

 

[HCCIA]

I typically will put the company, agent, policy number, effective date, cancel date. ALL first named insured should sign. Lienholder is not necessary. I always use the Acord LPR.

 

[indienoise]

I don't. Company name, policy number, effective date, requested cancel date is all I fill out. Then my info, insured's signature, and attach an Id card or binder with no premiums displayed. Just enough info to make it easy for the prior carrier to find and cancel, without giving them any ammo or need to make a follow up call.