A service contract often renews on its own unless the holder acts. The renewal notice may look like a bill, but it can also carry a new set of terms. The renewed paper controls the next term, so read it as a contract rather than as a reminder.
Compare the new terms against the old
Place the original contract beside the renewal notice. Look at the covered equipment list, the exclusions, the claim steps, the cancellation line, and the party that carries the obligation. A change in any of these is a change in what you are buying. Do not assume the terms are the same because the name on the notice looks familiar.
Find the renewal clause
Look for words such as automatic renewal, continuation, or renewal unless canceled. Check whether the contract renews without your action, how much notice it requires, and whether that notice must be in writing. Some states set their own rules for renewal notices and automatic renewal. The state pages on this site print the regulating statute or program for each state, which helps you find the rules that apply to your contract. Where this edition has not read a state, the state page says so, and you should check that state's rules directly.
Check who carries the paper
A renewal can move the obligation to a different company or a different administrator. Ask in writing whether the renewed term is backed by the same party as the original. A listing on a state roster is not a quality rating and does not show whether a provider is strong or weak. Compare the paper itself.
Decide before the notice window closes
Mark the deadline for renewal or cancellation on the calendar you use, and decide before it passes. If you plan to cancel, ask how any refund is calculated and get the answer in writing. Do not rely on a summary given over the phone. Keep the renewal notice, the original contract, and your decision together in a single file.