Cancellation service N°1 in Canada
Contract number:
To the attention of:
Cancellation Department – Economical Insurance
111 Westmount Road South, P.O. Box 2000
N2J 4S4 Waterloo
Subject: Contract Cancellation – Certified Email Notification
Dear Sir or Madam,
I hereby notify you of my decision to terminate contract number relating to the Economical Insurance service. This notification constitutes a firm, clear and unequivocal intention to cancel the contract, effective at the earliest possible date or in accordance with the applicable contractual notice period.
I kindly request that you take all necessary measures to:
– cease all billing from the effective date of cancellation;
– confirm in writing the proper receipt of this request;
– and, where applicable, send me the final statement or balance confirmation.
This cancellation is sent to you by certified email. The sending, timestamping and integrity of the content are established, making it equivalent proof meeting the requirements of electronic evidence. You therefore have all the necessary elements to process this cancellation properly, in accordance with the applicable principles regarding written notification and contractual freedom.
In accordance with the Consumer Rights Act 2015 and data protection regulations, I also request that you:
– delete all my personal data not necessary for your legal or accounting obligations;
– close any associated personal account;
– and confirm to me the effective deletion of data in accordance with applicable rights regarding privacy protection.
I retain a complete copy of this notification as well as proof of sending.
Yours sincerely,
15/01/2026
Cancellation Economical Insurance: Easy Method
What is Economical Insurance
Overview
Economical Insurance (operating as Definity in some markets) is a Canadian property and casualty insurer that provides auto, home and business insurance through licensed brokers across provinces. The company underwrites policies, processes claims and publishes customer service channels and complaint procedures for Canadian customers.
How to cancel Economical Insurance
- Contact your licensed insurance broker first to request cancellation; provide your policy number, the effective cancellation date and the reason (sale of vehicle, moving, total loss, etc.). If you do not use a broker or prefer to deal directly, call Definity/Economical at 1-800-265-8665 and give the same details. Tell the representative which short-rate penalty tier may apply to a mid-term cancellation (see refund section below) and request a written confirmation that includes the cancellation date and the refund amount. If you prefer paper delivery or need proof of receipt, send a signed cancellation instruction by registered mail to the insurer or to escalation addresses (see “Address” section) and keep the delivery receipt.
What happens when you cancel
When a cancellation is processed your policy coverage ends on the cancellation date you provide or the date agreed with the broker/insurer. The insurer will calculate any refund or outstanding premium using their cancellation/short-rate rules unless a pro-rata (no-penalty) exception applies. Cancelling midterm typically ends automatic renewals; if you cancel close to a renewal the insurer or broker may still contact you about replacement coverage. The insurer will retain records of the policy and cancellation per regulatory and company retention rules, and you may remain subject to any outstanding premium payments or fees noted on your final statement.
Will I get a refund?
Refunds depend on timing and reason. In Ontario (and many provinces), new auto policies generally have a statutory 14-day “cooling-off” period during which you may cancel and receive a full refund with no short-rate penalty. Outside that period, Economical uses a tiered short-rate penalty schedule for midterm cancellations: 7% penalty if cancelled within days 1 - 180, 4% for days 181 - 270, and 2% for days 271 - 366. Exceptions that typically qualify for a pro-rata (no-penalty) refund include sale of the insured vehicle, total loss/claim that replaces coverage, or moving to a jurisdiction where the policy is not valid. Refund processing is commonly completed within 10 - 14 business days; direct deposit refunds may take about 1 - 2 weeks, and mailed cheques may take 3 - 4 weeks.
Economical Insurance plans and pricing
| Plan | Price | Period | Features |
|---|---|---|---|
| Economical Car Insurance - Overall average | C$265.00 | Monthly | Ontario, all drivers, typical annual cost C$3,179 |
| Economical Car Insurance - Male profile | C$271.00 | Monthly | Male drivers profile |
| Economical Car Insurance - Female profile | C$254.00 | Monthly | Female drivers profile |
| Economical Car Insurance - Age 50 - 64 | C$191.00 | Monthly | Drivers aged 50 - 64 |
| Economical Car Insurance - Toronto | C$276.00 | Monthly | Location: Toronto |
| Economical Car Insurance - Ottawa | C$217.00 | Monthly | Location: Ottawa |
Your consumer rights in Canada
Your rights depend on provincial law. In Ontario you generally have a 14-day cooling-off right for new auto policies to cancel and receive a full refund without penalty. If you cannot resolve an issue through your broker or company representative, Economical provides a Customer Dispute Resolution Office that aims to respond in writing within specified timelines; unresolved disputes may be escalated to federal or provincial bodies such as the Financial Consumer Agency of Canada (FCAC) or the General Insurance OmbudService (GIO). Provincial regulators set rules for insurer-initiated cancellations and refund obligations (for example, Quebec requires reimbursement of overpaid premiums when the insurer cancels coverage). For Economical’s complaint and dispute pages see Economical Customer Dispute Resolution Office and for Ontario cooling-off information see Ontario cancellation guidance. For Quebec rules see L'Autorité des marchés financiers.
Customer experiences
Customer experiences with Economical/Definity are mixed. Some policyholders report positive claim interactions and helpful adjusters, citing timely service and effective broker support. Other reviewers describe issues such as unexpected mid-year rate increases, slow claim handling, perceived undervaluation of total-loss settlements, poor follow-up or responsiveness, and challenges obtaining refunds. Many complaints involve communication breakdowns or dissatisfaction with settlement outcomes rather than coverage denial alone. Experiences often depend on the broker, claim complexity and local office handling.
Documentation checklist
- Policy number, insured name and contact details; broker contact information or insurer phone number (1-800-265-8665).
- Signed cancellation instruction or broker cancellation request with the desired effective date.
- Proof supporting a pro-rata exception (bill of sale for vehicle, proof of move, total-loss settlement documentation).
- Payment records (receipts, cancelled cheques, credit card statements) showing premiums paid.
- Request for written confirmation of cancellation and the calculated refund amount; keep any email or registered-mail delivery receipts.
Common mistakes
Avoid assuming online or app-based cancellation options exist - Economical cancellations must be handled through your broker or direct contact with the insurer. A frequent mistake is failing to request and keep written confirmation of the cancellation date and refund calculation, which complicates disputes. Another common issue is not providing or retaining documentation (sale paperwork, proof of move or total loss) when claiming a pro-rata refund; without that proof the insurer will usually apply the short-rate penalty. Also, customers sometimes expect instant refunds - allow the stated processing times (10 - 14 business days for processing; 1 - 2 weeks for direct deposit; 3 - 4 weeks for mailed cheques).
Comparative recap
| Method | Refund | Difficulty |
|---|---|---|
| Cancel within 14-day cooling-off (new policy) | Full refund, no penalty | Easy |
| Cancel midterm via broker or insurer call | Refund minus short-rate penalty (7% days 1 - 180; 4% days 181 - 270; 2% days 271 - 366), unless pro-rata exception applies | Moderate |
| Cancel due to sale, move or total loss (with proof) | Pro-rata refund (no penalty) when qualifying documents provided | Easy (requires documentation) |
| Send written cancellation by registered mail / escalate to Ombud | Refund depends on situation; provides stronger proof if dispute arises | Higher (formal process) |
After cancelling
After cancellation, keep the written confirmation and monitor your bank or mail for the refund within the timeframes noted. If you disagree with the refund calculation, contact your broker first and then Economical’s Customer Dispute Resolution Office. If you still cannot resolve the matter, consider filing a complaint with provincial regulators, FCAC or the General Insurance OmbudService. Useful pages: Economical’s cancellation/contact guidance at Economical cancelling a policy, a third-party summary of Economical’s short-rate schedule at CostExpert, and Ontario cancellation rules at Insurance-Cancellation.com.
Address
Economical Insurance Office of the Ombudsperson
111 Westmount Road South, P.O. Box 2000
Waterloo, Ontario N2J 4S4
Canada