We got auto insurance thru Mercury Insurance on July 26, 2010, for a total monthly premium of $217. On July 13, we were notified that there would be an increase of $50 monthly because our daughter did not fulfill the requirement as a full time student (she didn't have a full 12 units). We could get insurance cheaper, so we cancelled the policy on the 14th. We did not get back any unused policy amount, and they said we had to pay $35 for cancellation. We would agree if they gave us back the unused amount from the amount we paid for the month and didn't use (totaling $85). They refused and are going to turn the $35 over to collection if we don't pay. Why should we pay anything when the agent quoted us a price, and then it was increased? We cancelled before a month. There is a part of the policy that states we would have to pay a 10% charge if the policy is cancelled. Why $35? Was it really $350 a month we'd have to pay? OK, so take the $35 out of the $85 we should get back. Not one single customer service rep would even take the time to explain this without being sarcastic. Don't get this insurance unless you know it will not increase first.