Even though you have the option to cancel your car insurance altogether in a bid to save money while you’re not using your car, we strongly advise against it. There are two major drawbacks to canceling your car insurance: If you have to drive your car in case of an emergency, and get into an accident, you will have no insurance coverage on either the car or the driver.  When you decide to buy car insurance again in the future, there will be a gap in your insurance history, which will lead to higher premiums.  While we’re all looking for ways to save some cash in these financially challenging times, make sure to take a close look at your policy and plan your car insurance coverage according to your needs.