With six-month car insurance policies, you pay an agreed amount to cover your car for a fixed period of six months. Once that period ends, the policy will be renewed and the insurance provider will be able to re-evaluate your car insurance rates. If you take out a policy with a total of six months, you will be covered by the limits you have chosen at the agreed rate for six months. After that period is over, the insurer will recalculate your rate and will change your rates accordingly.
Both types of policies work the same way. Your car is protected for the entire term of the policy, whether you choose six months or a full year. Most insurers offer payment plans, which means you can choose to pay your car insurance premium in monthly or one-time installments. Depending on your provider, you may be eligible for a discount on car insurance if you pay the full premium up front.
The length of the policies is specific to each company; some companies can only offer car insurance for six months, while others only offer 12-month terms (and some may give you the option to choose either one). If your GEICO car insurance premiums have increased recently and are still rising, it's likely due to a new vehicle or new drivers that you've added to your policy. Other factors that may influence the price of your premium include your credit rating, the type of car you drive, your personal driving history, the number of drivers listed in your account, and the number of vehicles you have insured. However, if you compare the price of your car insurance on a monthly basis, there might not be much difference between a six-month policy and a 12-month one.
A six-month auto insurance policy is renewed twice a year, while customers with annual car insurance can renew their policies every 12 months. The good thing about having a 12-month term is that your car insurance rate will remain fixed for an entire year, so you'll know what to expect from month to month. When you receive an auto insurance quote, you can choose between a six-month policy or a 12-month policy. All insurance products are governed by the terms of the applicable insurance policy, and all related decisions (such as coverage approval, premiums, fees and charges) and policy obligations are the sole responsibility of the insurance insurer.
A six-month auto insurance policy simply means that your policy is effective and is priced for a period of six months before it is renewed. However, you can usually buy a six- or 12-month policy and cancel it in the medium term if you no longer need coverage or if you've replaced your car insurance with another provider.