When selling a used car, the first things to check are the sale proceeds and the ownership transfer. It is easy to think the transaction is over once the keys are handed over and the money is received, but there remains one final item to review in the household ledger: the cancellation and premium settlement of the existing auto insurance policy.

If you sold the vehicle while the insurance period was still running, you need to check with your insurer whether the contract can be canceled due to the transfer and whether a refund is possible. If the car was scrapped, you can also look into the cancellation procedure based on the vehicle deregistration. Hyundai Marine & Fire Insurance and Hana Insurance, among others, provide guidance on their official websites for the auto insurance 'transfer/deregistration cancellation' service.

What matters is handling the vehicle sale and the insurance settlement separately. You should not assume that receiving the sale proceeds means the insurance refund has been fully processed. It is advisable to check the contract status and whether the cancellation has been processed through the insurer's website, app, or customer center.

■ Online cancellation: check lookup timing and documents in advance

When applying for cancellation online, the vehicle's transfer or deregistration may need to be verified. Hyundai Marine & Fire Direct states that website cancellation is possible when the transfer or deregistration is confirmed in the vehicle registration lookup. If the registration was changed on the same day, it may only appear in the lookup the following day, so the fact that it is not immediately reflected on screen right after the ownership transfer does not mean the process is impossible.

It is convenient to check the required documents in advance. KB Insurance lists the required documents for auto transfer cancellation as one of the following — the transferred vehicle registration certificate, the vehicle registration ledger (each copy), or the vehicle transfer certificate for the sale — along with the policyholder's ID and a copy of a bank account passbook. However, the required items may vary depending on system verification and the contract relationship, so when actually applying, you should follow the instructions of your insurer.

■ Mileage rider settlement: take photos before handing over the car

An item to check along with the auto insurance refund is the 'mileage rider.' If you are enrolled in a rider that settles premiums based on driving distance, you may need records of the odometer reading at the time of the vehicle sale. Hyundai Marine & Fire Direct instructs customers who need mileage rider settlement during the transfer/deregistration cancellation process to prepare one photo each of the license plate and the instrument panel. For connected mileage, it explains that the vehicle manufacturer's system lookup is available.

It helps with settlement to check the verification method of the rider you are enrolled in and secure the necessary photos before handing over the vehicle. However, not everyone receives the same refund amount simply because their driving distance was short. Results may vary depending on rider enrollment, how the driving distance is calculated, and contract terms. It is advisable to confirm the final details of how both the cancellation refund and the mileage rider settlement were each applied.

■ If buying another car right away, inquire about 'vehicle replacement'

If you plan to buy another car immediately after selling yours, it is worth inquiring about 'vehicle replacement' before canceling the existing contract. Hyundai Marine & Fire states that vehicle replacement is possible depending on conditions such as whether the vehicle is the same model as specified in the terms, the vehicle owner before and after the change, and whether the existing vehicle was transferred or deregistered. Whether to change the contract to a new car or terminate the existing contract should be confirmed according to the specific contract.

■ Refund amounts: rely on the insurer's calculation... beware of additional premium collection

Rather than arbitrarily calculating the refund based only on the remaining insurance period, it is more accurate to confirm it based on the figures calculated by the insurer. Hyundai Marine & Fire notes that if an accident that occurred before the cancellation but was not reported is reported after the cancellation, an additional premium collection may apply to part or all of the cancellation refund.

When wrapping up a vehicle sale, along with the deposit of the sale proceeds and the completion of the ownership transfer, check whether the insurance was canceled or changed, the refund details, and the mileage settlement. Even after the car is gone, there may still be insurance premiums left to settle.