If your insurance policy can be cancelled will depend upon state laws. If state law does allow for mid-term cancellations then it would depend upon your insurance company's guidelines if your policy would be cancelled for having accidents resulting in the total loss of two cars in less than two months.

More than likely your policy will not necessarily be cancelled but instead non-renewed when your renewal period comes around. If your policy is renewed then it would be normal for your insurance carrier to raise your rates due to the accidents on your record and the amount of claims you made within such a short time period.

Nonrenewal is the termination of an insurance policy at its normal expiration date. In Florida an insurance company that decides not to renew your policy must notify you in writing at least 45 days before the expiration date. The following are examples of reasons for nonrenewal:

• Accidents — Even not-at-fault accidents can lead to non-renewal if you or another insured on your policy have three within a three-year period. The company may also decide not to renew if you have a series of claims, including towing or comprehensive claims.
• Traffic violations — An insurer may decide not to renew your policy if you receive a conviction for a major violation, such as driving under the influence (DUI) or leaving the scene of an accident. The company may also decide not to renew your coverage if you receive convictions for several minor violations.
• Company guidelines — The company may elect not to renew your policy if you no longer meet underwriting guidelines. For example, you may no longer qualify if you attempt to add coverage for a sports car to your policy.

State laws differ in the guidelines regarding reasons for cancellations and non-renewals. Above Florida was mentioned and for a second example, in Nevada their state's insurance regulator notes that Nevada laws restrict the mid-term cancellation of your policy. If the company cancels your policy, the premium will be pro-rated without any penalty to you, but the reason for cancellation must be in compliance with Nevada Revised Statute 687B.320, which requires notification be delivered or mailed to the policyholder at least 10 days before cancellation, for failure to pay a premium when due, or 30 days for all other reasons noted in the statute.

NVRS 687B.320 states that no insurance policy that has been in effect for at least 70 days or that has been renewed may be cancelled by the insurer before the expiration of the agreed term or 1 year from the effective date of the policy or renewal, whichever occurs first, except on any one of the following grounds:

(a) Failure to pay a premium when due;

(b) Conviction of the insured of a crime arising out of acts increasing the hazard insured against;

(c) Discovery of fraud or material misrepresentation in the obtaining of the policy or in the presentation of a claim there under;

(d) Discovery of:

(1) An act or omission; or

(2) A violation of any condition of the policy, which occurred after the first effective date of the current policy and substantially and materially increases the hazard insured against;

(e) A material change in the nature or extent of the risk, occurring after the first effective date of the current policy, which causes the risk of loss to be substantially and materially increased beyond that contemplated at the time the policy was issued or last renewed;

(f) A determination by the Commissioner that continuation of the insurer’s present volume of premiums would jeopardize the insurer’s solvency or be hazardous to the interests of policyholders of the insurer, its creditors or the public; or

(g) A determination by the Commissioner that the continuation of the policy would violate, or place the insurer in violation of, any provision of the Code.

To find out what reasons your state laws allow an auto insurance cancellation and when rates can be raised contact your state’s insurance regulator. As for how these accidents and claims will affect your rates, discuss your insurance provider's rating system with your insurance agent. If your rates do rise you can shop around for car insurance company with an auto insurance specialist here with us.