Insurance Termination Request Letter Samples

Life can sometimes be full of uncertainties. Usually, when these uncertainties happen, some find us completely unaware. But when these uncertainties present, an insurance cover can help provide security and protection against the events.

Owing to various insurance benefits, an individual can get into a contract with a particular insurance company. But before long, they may get attracted to other better insurance policies. Or, the individual may decide they don’t want to continue paying the premiums to the concerned insurance company. When you ever find yourself in such a position, an Insurance Termination Letter will be of great help to you.

What is an Insurance Termination Request Letter?

An Insurance Termination Request Letter is a formal document that an individual writes to their insurer to request for the cancellation of an ongoing insurance policy. In many cases, people tend to wait until their current insurance policy gets expired for them to terminate it. However, that shouldn’t be the case! Experts will tell you that you can terminate an ongoing insurance policy, provided that you notify the insurer promptly in writing. After all, it’s within your right to cancel such contracts if you feel it isn’t fulfilling. In this article, we will provide you with a step by step guide for writing a well convincing Insurance Termination Request Letter. But first, let’s look at some tips you need when writing.

Thing to Keep in Mind

  • Keep Your Letter Short And Sweet

Always make sure your letter is short, preferably one page. However, if need be, don’t let it exceed two pages. In order to achieve this, make sure you get straight to the point. Avoid too much explanation or unnecessary stories.

  • Include All The Necessary Information

For your letter to sound legitimate, you need to include all the important information.

  • Be Polite But Firm

Insurance Termination Request Letters are formal letters. Therefore, it’s prudent that you use polite language backed up by a firm tone. This will help showcase your professionalism.

  • Proofread Your Letter

After writing the letter, be sure to reread it once again. This will help you correct some of the typing mistakes, grammatical errors, and spelling mistakes. The last thing you would want is to send your letter full of mistakes.

  • Sign The Letter

If you intend to send a hard copy letter, you need to append your signature. This will help in validating the source of the letter.

  • Confirm The Sender’s Address

Before you send the letter, it’s also vital that you confirm the address to which your letter will be delivered. This will ensure that the letter is delivered to the right hand.

  • Reason For Your Cancellation

You need to inform your insurer about the reasons why you are canceling your engagement with them. Whichever the reason you chose, make sure it’s legitimate enough to warrant the termination.

  • Mention Your Policy Number

You make it easier for the insurer to identify or track your previous payment records by mentioning your policy number.

Common Reasons of Insurance Termination

With today’s risky business environment, terminating an insurance policy isn’t an easy decision. Therefore, it’s important that you conduct thorough research beforehand to weigh your options. That being said, the following are some common reasons why you may want to pull out of an insurance policy.

  1. If, after comparison, you find out that you are paying too much for your insurance policy.
  2. If your business has changed and you no longer need the existing coverage.
  3. If you have translocated into a new country or state, and the existing insurer doesn’t cover your new area.
  4. When you are unsatisfied or unhappy with the services offered by your current insurance company.
  5. When you’ve decided to combine separate policies to come up with a bundled and cheaper policy.

How to Write an Insurance Termination Request Letter

Just like any other legal document, an insurance termination request letter should be written in an orderly and professional manner. Before you start writing one, it’s important that you first read the insurance cancellation policy to get the terms and conditions at your fingers. Keeping in mind that each insurance company has its own specific termination regulations, you need to do everything possible to abide by them. Otherwise, you risk facing other unplanned charges. That being said, your letter should contain the following parts:

  • Date And Letter Address: Once you have the terms and conditions regarding the insurance termination, you can then proceed and start writing your letter. Write down the dates and the address of the recipient
  • Salutation/Greeting: Here, you can either use a formal greeting such as ‘Hello,’ or ‘Dear.’ Alternatively, you can also choose to ‘To whom it may concern.’
  • Body Of The Letter: After the formal salutation, you need to embark on writing the body paragraphs. But first, start by stating the reason as to why you want to cancel the existing insurance policy. You can also mention the termination clause that permits you to terminate the insurance policy before its term. Remember to be as clear as possible to make your reader understand your message. Conclude your letter by reinstating your reasons for termination, your contacts, and closing phrase.
  • Append Your Signature: Once you are through with the letter contents, you need to affix your signature, your name, and return mail address.

Sample Termination Letter

[Date of writing]

Pristine Insurance Company

Relationship Manager

1001 Green Street

California, CA 1001

Dear Mr. Bradley,

Kindly receive this letter as an official request to terminate my insurance policy referenced LF500500. Note that the termination should take effect from 1st October 2020. Upon termination, I would like you to stop all the debits or charges for the premium payments.

Also, I kindly request you to return my unused premiums to my address. Alongside that, take note that I do not authorize your company to withdraw any future premiums from my account. Besides that, I am also requesting that you write a formal confirmation of this cancellation. Please treat this letter with the urgency it requires.

Yours sincerely,


Jamey Gomez

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