When contracting an insurance policy, several doubts may arise about the duration, renewal or cancellation of the contract. These and other doubts are common when hiring insurance. The Insurance Contract Law, in its article 22, resolves and clarifies most of these issues.
How long can I take out insurance for?
When contracting a policy, both parties (the policy holder and the insurer) will agree on the duration of the contract that they are going to celebrate. The law establishes that they cannot determine a duration of the contract that exceeds 10 years. Insurance can also be contracted for periods of less than a year, for temporary risks (travel, events, etc.). The usual thing in the market are annual renewable policies.
Can you take out insurance for a few days for a vehicle in the Canary Islands?
Until very recently, the answer would be negative, but as the market continues to evolve, the current answer is that yes you can hire. You can check it at the following link:
Can an insurance contract be renewed?
In the same way, the law establishes that the contract may be extended again and again for periods not exceeding one year.
What happens if the policyholder or insurer decides not to renew the insurance?
In the event that one of the parties does not want to continue with the policy, any of them can oppose the extension. This opposition must be notified to the other party in writing and must be done within two months before the end of the contract.