How to cancel your car insurance with RAC

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Fees and refunds
Optional extras
How to cancel
Auto-renewals

To cancel your car insurance with RAC, you’ll need to call them.

You’ll also need to pay a cancellation fee of £55, or £125 if you have a black box installed.

Cancellation fees

  • If you cancel during the cooling-off period, you’ll have to pay a £25 cancellation fee
  • If you cancel after the cooling-off period has ended, you’ll have to pay a £55 cancellation fee

How refunds work

When you cancel a car insurance policy, you’ll usually have to pay a fee. The fee depends on the insurance company. It also depends on whether you’re still your cooling-off period.

You’ll get the rest of your policy refunded, if you paid for the whole year up front. But RAC will take away some of that refund to cover the insurance you’ve already had.

They’ll charge you a cancellation fee on top of this. It’s pretty standard across most car insurance companies.

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Black box cover

RAC also offers black box (or “telematics”) insurance.

The cancellation fees for RAC’s black box insurance are higher. Once you’re out of your cooling-off period, you’ll have to pay £125 to cancel.

Breakdown cover

RAC also offers breakdown cover. You can cancel your breakdown cover separately to your car insurance.

Outside your cooling-off period, you’ll have to pay a £25 fee to cancel your breakdown cover.

Cancelling after you make a claim

Like most car insurance companies, RAC won’t give you any refund on your car insurance if you’ve made a claim. But you’ll still have to pay a cancellation fee.

And if you pay monthly for your car insurance, you’ll need to pay up for the rest of the policy when you cancel. Again, this is standard in insurance.

This also applies to a lot of RAC’s car insurance add-ons, like breakdown cover. This is the same with most insurance companies.

How to cancel

To cancel your car insurance policy with RAC, you’ll need to give them a call. Their number is 0330 159 1031. Their opening times are:

Monday to Friday: 8am to 10pm

Saturday: 8am to 6pm

Sunday: 10am to 4pm

Bank Holidays: 9am to 5pm

The cooling-off period

By law, every car insurance policy comes with a cooling-off period. The cooling-off period is either 14 days from the day your policy starts, or 14 days from when you get your policy documents in the post.

Check your policy documents to find out when your cooling-off period starts and ends.

It’s usually cheaper to cancel during your cooling-off period. And most insurance companies have one cancellation fee within the first 14 days, and a different (higher) cancellation fee if you cancel after the 14-day cooling-off period.

Whether you’re in your cooling-off period or outside of it, your insurer will take away some money from your refund to cover the days of insurance you’ve already had.

How cooling-off periods work
A cooling-off period is a 14-day window you get to cancel your car insurance.

Auto-renewals

RAC will automatically renew your car insurance after a year - and often at a higher price. If you don’t want your car insurance to renew, you’ll need to let them know.

Letting your policy “lapse” (which means not renewing it) is not the same as cancelling your policy mid-way through.

RAC will contact you about a month before the policy renews to let you know:

  • That it’s going to renew, and
  • How much it will cost when it does renew

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Sources:

Welcome to RAC Black Box Car Insurance (PDF)

Car Insurance Help | Advice and Contact Details

How to Cancel Your Car Insurance with RAC

RAC Breakdown Policy Summary (PDF)

Updated on 4th November 2020

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