Switching home insurance in Kentucky takes about 30 minutes of your time and can be done any time during the policy term. Follow these 5 steps to avoid a coverage gap and make sure your mortgage company gets the new binder correctly.
Written by Blake Boswell, licensed Kentucky property & casualty producer. Updated July 2026.
Step 1: Get a quote from a new carrier or agent
Bring your current declarations page — the summary sheet showing coverage limits, deductibles, and premium. Have it quoted apples-to-apples at the same coverage. If you use an independent agent, they can shop 5+ carriers simultaneously.
Step 2: Bind the new policy with an EFFECTIVE DATE — don’t just apply
The new policy needs to have an effective start date on or before the old policy’s cancellation date. Never let the two overlap by less than one day. Best practice: new policy effective at 12:01 AM on the date the old policy cancels.
Step 3: Get the binder document
The new carrier issues a “binder” or “evidence of insurance” — a one-page document proving coverage is in place. Your new agent sends this to your mortgage company (mortgagee) and to your escrow servicer. Make sure the mortgage clause matches your mortgage company’s exact language.
Step 4: Cancel the old policy in writing
Call or email the old carrier and request cancellation effective the same date the new policy starts. Get a cancellation confirmation number or email. Kentucky policies cancel with pro-rated refund of unearned premium.
Step 5: Confirm escrow refund and new premium billing
Your mortgage company holds escrow for insurance. When you cancel the old policy, they refund the unused escrow portion. When the new policy starts, they may re-analyze escrow at the new premium.
Common mistake to avoid
Do NOT let the old policy cancel before the new binder is in your mortgage company’s hands. If the mortgage company shows no active insurance for even one day, they can force-place expensive lender-provided coverage on your account. Get the new binder documented FIRST.
Boswell handles this for you
If you switch to Boswell, we handle steps 3, 4, and 5 for you. Call (270) 925-1524.
