Jeffrey Wade
Moving to a new location can affect your insurance rates, so it's important to understand how your coverage might change when you move. Whether you're relocating within your current state or moving out of state, you'll need to update your car insurance policy with your new address. This is because car insurance rates are based on risk, and the risk of insuring your vehicle can change when you move to a new location.
If you're moving out of state, you may also need to change insurance companies if your current provider doesn't offer coverage in your new state. Even if they do, you'll still need a new policy since every state has different coverage requirements and regulations.
| Characteristics | Values |
|---|---|
| Do I need to change my insurance if I move? | If you're moving within the same state, you won't need to change insurers, but you will need to update your address with your insurance provider. If you're moving to a different state, you may need to change insurance companies if your current provider doesn't offer coverage in that state. |
| How does moving impact my insurance rate? | Rates are based on an area's claims history, so a higher number of thefts, break-ins, and accidents in your new area can result in higher rates, and vice versa. Your insurance rate may also be impacted by changes to your annual mileage and commuting distance. |
| When should I change my insurance when moving? | It's important to update your insurance as soon as possible after moving. Many states require you to switch over your license and registration within one to three months of establishing residency, and you may face fines if you don't make the switch within the deadline. |
| What other things should I consider after moving? | In addition to updating your insurance, you'll need to transfer your driver's license, update your vehicle registration, and get new license plates. |
What You'll Learn
Car insurance rates may change
Location-specific factors that can impact the cost of car insurance
- Weather patterns in the area
- Cost of medical bills and car repairs
- Frequency and cost of lawsuits due to each state's tort vs. no-fault laws
- Auto insurance fraud
- Number of vehicles stolen
- Claims for property theft out of a car
- Reports of vandalism
- Frequency of accidents
- Crime rates
- Vehicle theft frequency
How to update your car insurance when moving
- Contact your current insurance provider to see if they offer coverage in your new state.
- Learn about the insurance requirements in your new state.
- Buy a new auto insurance policy from a different company if your current provider doesn't offer coverage in your new state.
- Cancel your old policy once your new policy is in place.
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Notify your insurance company
Even if you are moving within the same state, you must contact your insurance provider and update your address. Failure to do so may result in an incorrect rating or cancellation of your policy. If you are moving to a new state, updating your auto insurance is critical. Car insurance requirements vary by state, so you will need to comply with your new state's insurance laws.
Your current car insurance company might sell policies in your new state, but you will still need a new policy. Ask your insurance company about its specific guidelines for updating your address.
If your current insurer is not licensed to write policies in your new state, you will need to switch to a new insurance company licensed to operate in your new area. Check with your insurance agent before you make the move to see if your current insurance company will provide coverage in your new home state. If they do, ask your agent if any changes will be made to your coverage. Some states have different insurance requirements that may cause your premiums to rise.
If your current insurance company doesn't offer coverage in your new state, you'll need to contact a few other companies and get quotes for a new policy. You can use an online calculator to see how much your car insurance premium will change by inputting your old and new ZIP codes, along with the cost of your current car insurance premium. You can also get quotes from several insurance companies to compare policies side-by-side.
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Update your address
Whether you're moving within your state or out of state, you'll need to update your address with your insurance company. This is because your insurance premium can change alongside your address. Your insurance provider could deem certain areas a higher or lower risk, and your insurance costs will then reflect this.
If you're moving out of state, you may need to change insurance companies if your current provider doesn't sell insurance in the state where you're moving. Check with your car insurance provider to ensure they offer coverage in your new state. If they don't, you'll need to purchase a new policy.
If you're staying in the same state, you won't have to get a new policy. However, you'll still need to notify your car insurer of your new address. You can usually update your address online or over the phone.
Even if you don't have to change your insurance company when you move, it's a good idea to compare the companies in your new area to ensure you're getting the best rate.
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New state, new policy?
If you're moving to a new state, you'll need to check whether your current car insurance provider operates there. If they do, you'll still need to update your address details and get a new policy, as every state has different coverage requirements and regulations. Your insurance company will cancel your old policy. If your current provider doesn't operate in the state you're moving to, you'll need to switch insurance carriers to one that does.
- Contact your current insurance provider to let them know you're moving and ask if they operate in your new state.
- If they do, ask for a quote for your new address.
- If they don't, ask friends in your new state for recommendations and get quotes from a few different companies.
- Once you've chosen a new provider, purchase your new policy.
- Cancel your old policy, ensuring its end date aligns with the start date of your new policy.
Even if you're staying in the same state, you'll need to update your address details with your insurance provider. Moving can affect your insurance rate, even if you're staying in the same state or moving to a new zip code in the same city. This is because insurers set rates based on risk, and the risk of insuring your vehicle can change when you move to a new location.
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Compare quotes
Comparing quotes from different insurance companies is the best way to ensure you are getting the most for your money. While most insurers consider similar factors, they weigh them differently, so you will get different quotes from each.
- Decide on the type and amount of coverage you need: Most states require drivers to have a minimum amount of car insurance coverage. However, a full-coverage policy is recommended for most drivers. You can start by looking at the coverage you currently have, which you can find online or on your policy declaration page.
- Gather your personal information: Online quote tools and insurance agents can provide estimates, but these will only be as accurate as the information you provide. To compare quotes online, have some basic personal information ready, such as your address, date of birth, occupation, driver's license, marital status, vehicle information, driving history, and current insurance company.
- Collect and compare quotes: Visit insurance company websites and use their online quote tools to compare quotes from different companies. Start by getting quotes from the cheapest car insurance companies or the best companies in your area. Remember to save the reference number so you can go back to the quote later. Quotes may also expire after a few weeks, so buy coverage as soon as you find a good price.
- Look for discounts: Ask about discounts for which you may qualify. You might be able to lower your car insurance cost by bundling your policy with other policies like homeowners or renters insurance, getting a policy for multiple cars under one roof, having a clean driving record, or enrolling in autopay.
- Read company reviews: If you are considering going with a new insurance company, see which companies are ranked the best by editors. Check the National Association of Insurance Commissioners (NAIC) website for consumer complaints and AM Best for its financial stability rating. You can also get the scoop on a company's track record by reading insurance company reviews on sites like J.D. Power.
- Compare quotes regularly: It is recommended that you shop around and compare car insurance rates about once a year to ensure you are getting the cheapest rate. At the very least, shop for quotes any time something in your life changes that could affect your rates, such as buying a new car, moving, changing drivers on your policy, getting a ticket, or being involved in an accident.
By following these steps, you can make sure you are getting the best rate for the insurance you want.
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Frequently asked questions
If you're moving within the same state, you won't need to change insurers, but you will need to update your address with your insurance provider. If you're moving out of state, you may need to change insurance companies if your current provider doesn't offer coverage in your new state.
Your insurance rate may increase or decrease depending on various factors, including the claims history of your new area, population density, accident frequency, crime rates, vehicle theft frequency, and your new commuting distance.
It's best to contact your insurance provider as soon as you know your new address and moving date. You may have a grace period to adjust your insurance after moving, but this varies by state and insurance provider.
In addition to updating your insurance, you'll need to transfer your driver's license, update your vehicle registration, and get new license plates.
