http://www.finance.alberta.ca/public...olicy_2007.pdf
Page 19 : Section on Termination. He is not fulfilling his one year contractual obligations so the insurance company is within their rights to offer a "short rate cancellation" and this means that there is a small penalty (likely $100 to $150?) and they don't have to offer the cancellation on a pro-rata basis. This is taken from the SPF #1 (Standard Auto Policy).
Based on the realized savings the cancellation fee, or short rate cancellation penalty, would be covered after two to three months so breaking the contract likely still makes sense.