ACORD 35 Cancellation Request Form | Policy Release Template
Cancellation Request / Policy Release
The ACORD 35 Cancellation Request / Policy Release is used to formally request the cancellation of an insurance policy and release the insurer from further coverage obligations.
Form Type: Cancellation / Release
Edition: 2017/05
Category: Policy Administration
Purpose: Cancel Policy
Download ACORD 35 Form
Free fillable PDF – Current edition
What is ACORD 35 Cancellation Form?
ACORD 35 is the standardized form used for two distinct but related purposes: requesting cancellation of an active insurance policy mid-term, OR releasing an insurance company from liability when a policy document is lost, destroyed, or being retained by the policyholder. The ACORD cancellation form serves as the official documentation for both policy cancellation requests and policy release procedures.
When using the ACORD cancellation request function, policyholders formally notify their insurance carrier that they want to terminate coverage before the policy’s natural expiration date. When using the policy release function of ACORD 35, policyholders release the insurance company from future claims and confirm they will not make claims after the cancellation date.
Over 5 million ACORD Cancellation Request / Policy Release forms are processed annually across the United States. The ACORD cancellation request is the industry-standard method for mid-term policy cancellations, used by virtually all commercial and personal lines insurance carriers.
Two Primary Functions of ACORD Cancellation Form
📝 Cancellation Request
Purpose: Formally request insurance carrier to cancel an active policy before its expiration date
Use When: Switching insurance carriers, selling business/vehicle, no longer need coverage, found better pricing elsewhere
Outcome: Policy cancelled on specified date, return premium calculated and refunded (if applicable)
Most Common: This is the primary use – over 95% of forms are cancellation requests
📄 Policy Release
Purpose: Release insurer from liability when physical policy document is lost, destroyed, or being kept by policyholder
Use When: Policy already cancelled but physical document missing, lender requires release before removing from their records
Outcome: Formal acknowledgment that policy is no longer in force and policyholder will not make future claims
Less Common: Used in specific situations, often involving financed property or vehicle sales
⚠️ Critical Understanding:
ACORD 35 = Cancellation REQUEST form (asks carrier to cancel policy)
ACORD 37 = Statement of No Loss (certifies no claims exist, required for return premium)
Important: You often need BOTH forms for mid-term cancellation. The form requests the cancellation, while ACORD 37 certifies no losses occurred so you can receive your return premium refund.
Key Features of the Cancellation Form
Specifies Cancellation Date
This form allows you to specify the exact date and time you want cancellation effective – can be immediate or future date.
Premium Calculation Method
Indicates whether return premium should be calculated pro-rata (full refund) or short-rate (penalty applied).
Reason Documentation
ACORD includes section for documenting reason for cancellation (switched carriers, sold property, etc.).
Multiple Signatures
Requires signatures from named insured and any lienholders, mortgagees, or loss payees with interest in the policy.
The Form’s Role in the Insurance Process
This form plays a critical role in the insurance policy lifecycle:
- Policy Purchase: ACORD application forms (125, 126, 130, etc.)
- Coverage Verification: ACORD 25 certificates issued
- Policy Active Period: Coverage in force
- Cancellation Decision: ACORD 35 submitted
- No Loss Certification: ACORD 37 completed (if mid-term cancellation)
- Refund Processing: Return premium calculated and paid
- New Coverage: New policy begins (if switching carriers)
When You Need ACORD Cancellation Request
Understanding when the ACORD policy cancellation form is required versus optional helps ensure proper policy cancellation procedures and prevents coverage gaps.
Common ACORD Cancellation Form Situations
🔄 Switching Insurance Carriers
Found better pricing, coverage, or service with different carrier. Submit ACORD cancel form to cancel existing policy and start new coverage with new carrier.
Critical: New policy MUST be effective before cancelling old policy to avoid coverage gaps.
🏢 Sold Business or Property
Sold your business, commercial building, or income property. New owner obtains their own insurance. Submit ACORD cancellation request effective on sale closing date.
Note: Lender/mortgagee signatures required on the form if property was financed.
🚗 Sold or Traded Vehicle
Sold car, truck, or fleet vehicle. No longer own the insured property. Use the cancellation form to end auto policy coverage. Lienholder must sign if vehicle was financed.
Important: DMV in many states requires proof of sale before accepting cancellation to prevent insurance fraud.
🏠 Moved Out of State
Relocated to different state requiring new insurance policy under that state’s regulations. Submit the form to cancel old state’s policy when new state coverage begins.
Timing: Coordinate cancellation date with new policy effective date for seamless transition.
💼 Business Closed
Ceased business operations permanently. No longer need commercial insurance. File cancellation request effective on business closure date.
Consideration: May want tail coverage for claims-made policies (professional liability, D&O) even after cancellation.
📦 Specific Coverage Not Needed
Sold all company vehicles (cancel auto), laid off all employees (cancel workers comp), sold equipment (cancel inland marine). Submit the form for each unnecessary policy.
Verify: Ensure contractual obligations don’t require maintaining coverage even without current exposure.
💳 Premium Finance Payoff
Paid off premium finance loan early. Want to cancel financed policy mid-term. Both finance company AND insurance carrier require the cancellation form.
Process: Finance company must sign the policy release section before cancellation processes.
🔁 Duplicate Coverage Discovered
Realize you have two policies covering same risk. Cancel duplicate policy using ACORD 35 to avoid paying double premium.
Caution: Verify which policy provides better coverage before submitting cancellation request.
When ACORD 35 is NOT Required
- Policy Natural Expiration: Policy reaches end of term without renewal – no form needed, simply don’t renew
- Carrier-Initiated Cancellation: Insurance company cancels for non-payment or underwriting – carrier processes internally
- Automatic Renewal Declined: Notifying carrier you won’t renew auto-renewing policy – cancellation notice sufficient, form optional
- Flat Cancellation on Effective Date: Policy cancelled immediately on effective date with zero coverage period – may not require formal documentation (carrier dependent)
State-Specific Requirements
🗽 New York Special Requirements
New York state has unique auto insurance cancellation requirements for ACORD 35. The form includes special New York-only language:
“If you do not keep your auto insurance in force during the entire registration period, your motor vehicle registration will be suspended. If your vehicle is still uninsured after 90 days, your driver’s license will be suspended. To avoid these penalties, you must surrender your registration certificate and plates before your insurance expires.”
Action Required: Must surrender license plates to DMV before or concurrent with auto cancellation request.
🏔️ New Hampshire Specific Language
The form includes notation: “Not applicable in NH per RSA 412:5 I” on certain signature requirements. New Hampshire law (RSA 412:5 I) has specific provisions regarding policy cancellations that modify standard procedures.
When Policy Release Function is Used
The Policy Release checkbox on the form is used in these specific situations:
- Lost Policy Documents: Physical policy lost but carrier records show cancelled – release confirms you won’t make future claims
- Destroyed Policies: Policy documents destroyed in fire/disaster – release formalizes that you acknowledge cancellation
- Lender Requirements: Mortgage/lien paid off but lender needs formal release – policy release section completed
- Title Transfer Issues: Vehicle sold but title transfer requires proof policy released – provides documentation
How to Complete ACORD 35 PDF Form
Follow these detailed steps to properly complete your cancellation request or policy release form.
Step 1: Gather Required Information (10 minutes)
📋 Completion Checklist
- Current insurance policy declarations page
- Exact policy number to enter on form
- Desired cancellation effective date
- Agent/broker contact information
- Lender contact information (if applicable for signatures)
- New insurance policy information (if switching carriers)
- Reason for cancellation request
Step 2: Download and Print ACORD 35 Form (2 minutes)
- Download current edition (2017/05) from this page
- Print clearly on white paper
- Print additional copies if lender signatures needed
Step 3: Complete Header Section (5 minutes)
- Enter today’s date at top (MM/DD/YYYY)
- Producer information – your agent’s name, address, phone
- Company name and address – insurance carrier from policy
- policyNAIC Code – from policy declarations page
- Policy Type – Auto, Home, Commercial, etc.
Step 4: Enter Insured and Policy Information
- Insured Name – EXACTLY as shown on policy
- Insured Address – complete current address
- Policy Number – CRITICAL – copy directly from declarations
- Effective Date and Hour of Cancellation – when you want coverage to end
- Policy Term dates – from declarations page
Step 5: Choose Cancellation Request or Policy Release
Check appropriate box on acord cancellation form:
- ☑ Cancellation Request – for active policy cancellation (95% of cases)
- ☑ Policy Release – for release when policy lost/destroyed
Step 6: Complete Signatures Section
- Sign “Signature of Named Insured” line
- Date your signature
- If joint ownership, both owners sign
- Witness signs if required by state
Step 7: Submit
- Scan completed form and email to agent (fastest)
- Fax to agent
- Mail original form (delays processing 5-10 days)
- Hand deliver to agent’s office
Step 8: Verify Cancellation Processed
Confirm your cancellation was successful:
- Request cancellation confirmation letter
- Verify no additional premium bills received
- Check return premium amount matches expectations
- Confirm new coverage in force (if switching carriers)
Ready to Cancel Your Policy?
Download ACORD Cancellation form and consult with your insurance agent
Frequently Asked Questions
Do I need both ACORD 35 and ACORD 37?
Usually YES for mid-term cancellations. ACORD 37 (Statement of No Loss) certifies no claims exist so you receive return premium. Some carriers require both forms, others only the cancellation request.
How long does processing take?
Typical timeline is 7-30 days from submission to refund receipt. Electronic submission faster than mail. Delays occur if the form is missing signatures or has errors.
Can I cancel my request after submitting?
Maybe – contact agent immediately. If not yet processed by carrier, cancellation request can often be withdrawn. After processing, reinstating requires new application.
What if I lose my policy before submitting the form?
Check “Policy Release” box and indicate policy lost/destroyed. Most carriers don’t require physical policy documents to process cancellation.
Does this work for all insurance types?
The cancellation form is universal and used for auto, home, commercial, workers comp, liability – virtually all property/casualty policies. Life/health insurance uses different cancellation procedures.