Yes, a policy can get cancelled once it starts. If you wish to cancel the policy, the insurance company will deduct the premium for the number of days the policy was active and then refund the premium accordingly. The grid for refunding the premium is mentioned in the Policy Wordings. If there is a claim under the policy, there will not be any refund of the premium. The policy can also get cancelled if there is any fraud claim lodged or if there is an emergence of any material information that was not disclosed at the time of purchasing the policy. In such cases, there will not be any refund.