Cancelling a tenant insurance policy and understanding the refund process can be straightforward if you follow the outlined steps and guidelines.
Refund Eligibility and Scenarios
If you paid for your policy annually, you can cancel your tenant insurance policy at any time. Refund eligibility depends on the timing and circumstances of the cancellation:
Before the Policy’s Effective Date: A flat cancellation fee of up to $25 may apply. Refunds are calculated based on the selected cancellation date.
After the Policy’s Effective Date:
Refunds are issued for the unused portion of the policy period if payment is made annually.
If you have paid monthly for the policy, there may be an outstanding balance.
If you cancel mid-term, please note that cancellations are calculated on a short-rate basis, meaning a cancellation penalty is applied.
Unexpected Renewal Charges: If the renewal was charged unexpectedly and you no longer need the policy, you can cancel before the renewal date for a full refund.
Fees and Non-refundable Charges
Certain fees and charges are non-refundable:
Transaction Fees: Fully earned and non-refundable.
Taxes: Provincial Sales Tax (PST) and other taxes are retained.
Cancellation Fees: A flat fee or short-rate penalty may apply, depending on the timing and method of cancellation.
Refund Timelines and Processes
Refunds are typically issued to the card on file and may take 5 to 10 business days to appear.