It’s not uncommon for trucking companies to need to take a break and rebuild their business after being off the road for a bit. If you’re preparing for this, you need to ensure you’re cancelling your insurance the right way (yes, there is a wrong way).
Because of your insurance policy’s federal filings, if you just call in to cancel your policy, it will start a 35 day waiting period before your policy will actually cancel. You will continue to be billed for this and your policy will still be active.
If you fail to make payments and just let it cancel, this is the worst possible scenario for you. You will owe money to the insurance company and worse than that, it will show up as an involuntary revocation on your authority.
The best option is to voluntarily revoke your authority in FMCSA and then once it shows up in SAFER as “Not Authorized” you can cancel your insurance effective the revocation date. This also prevents you from paying longer than you intend to be hauling.
Having an involuntary revocation can cause future insurance rate increases and even outright denials by insurance companies. You absolutely want to make sure to cancel your policy the right way, with a voluntary revocation.