When switching car insurance companies, it's important to remember to cancel the old policy. When you cancel your current policy most insurance companies will bill you for the time you have been insured, as well as any late fees. If you are canceling your policy during your coverage period, you will be refunded for the remainder of that policy. The insurance company will bill you any fees that they are owed, even if you switch. It is important to keep in mind that failing to properly cancel your policy will lead to a larger bill. Some companies, such as Esurance, do charge a fee for early policy cancellation as well. Remember that failure to cancel the policies can affect your credit as well, and can put you at risk of being labeled as a high risk drive, which will cause future insurance rates to increase. It may be worth speaking to your current insurance company, often they will fight to keep your business when you mention leaving.