Switching States? How To Change Usaa Auto Insurance Policies

Changing auto insurance policies between states in the US can be a tricky process. It is important to note that car insurance requirements vary across different states, and most states require a minimum amount of liability insurance. When moving to a new state, it is essential to review the specific insurance requirements and update your policy accordingly. This may include adjusting your coverage limits or adding additional types of coverage mandated by the new state. It is recommended to contact your insurance provider to understand their coverage options in your new state of residence.

Additionally, it is crucial to maintain continuous auto insurance coverage during the transition. Most states provide a timeframe of 30 to 90 days to switch your car insurance after relocating to a new state. It is advisable not to cancel your current policy until you have secured a new one to avoid any lapse in coverage, which could result in legal and financial consequences.

Furthermore, when updating your auto insurance, don't forget to consider other related tasks, such as updating your driver's license, registering your vehicle in the new state, and completing any required emissions tests or inspections. By following these steps and staying informed about the specific requirements of your new state, you can ensure a smooth transition for your auto insurance policy.

Contact your current insurance provider

Contacting your current insurance provider is the first step in changing your auto insurance policy when moving between states. Here are some detailed instructions and considerations to keep in mind:

Contact Your Insurance Provider as Soon as Possible:

Don't delay in reaching out to your current insurance company. It is essential to initiate this process early, but remember not to cancel your current coverage until you have secured a new policy. A lapse in coverage is usually illegal and could leave you financially liable if you are involved in an accident.

Inquire About Coverage in Your New State:

Ask your insurance agent or company if they offer coverage in the state you are moving to. This is crucial, as insurance companies may only be licensed to operate in specific states. If they do provide coverage in your new state, you can explore continuing your policy with them.

Understand the Impact on Your Premium:

Even if your current insurance provider operates in your new state, the cost of your policy may change. The premium can be affected by various factors, including the claims history, area-specific regulations, and insurance requirements of your new location. Discuss these potential changes with your agent to get an accurate understanding of any premium adjustments.

Take Advantage of Loyalty Discounts:

If your current insurance provider services your new state, staying with them can have its benefits. You may be able to preserve any loyalty or longevity discounts you have accrued, avoiding the hassle of starting over with a new company during a busy moving process.

Referrals and Smooth Transition:

If your current insurance agent cannot provide coverage in your new state, don't hesitate to ask them for a referral to another agent or company that does. A good agent will be able to refer you to a trusted colleague in the industry, making your transition smoother.

No Need to Switch for In-State Moves:

It's important to note that if you are moving within the same state, you typically won't need to change your insurance provider or policy. Simply notify your insurer of your new address, and they will update your policy accordingly.

Learn your state's insurance minimums

When moving states, it's important to understand that each state has different insurance requirements. These differences may cause your insurance premiums to change. Here are some of the essential insurance standards to know:

No-Fault Insurance

Twelve states and Puerto Rico have no-fault insurance laws. In these states, insurance companies are required to compensate their policyholders for the cost of injuries, regardless of who was at fault. No-fault insurance policies typically include personal injury protection (PIP), with each state setting different minimums and benefits, including compensation for medical expenses, lost wages, or other out-of-pocket expenses.

Bodily Injury Liability

This covers the costs of injuries or deaths related to an accident. The minimum limits are set by each state and are typically presented as two numbers, representing the maximum coverage for one person and the maximum coverage for all persons injured in an accident. For example, 25/50 means there's a limit of $25,000 in coverage for an individual and $50,000 for everyone involved in an accident.

Property Damage Liability

This coverage reimburses others for the damage you cause in an accident, including damage to another vehicle or structures like buildings or fences. State minimums range from $5,000 to $25,000.

Uninsured Motorist Coverage

Twenty states require additional coverage for uninsured motorists. This coverage will reimburse you when an accident is caused by an uninsured motorist or in a hit-and-run accident. You can also opt for underinsured motorist coverage, which covers expenses if another driver does not have enough insurance to pay for the entire cost of an accident.

Shop around for quotes

When moving to a new state, it is important to shop around for quotes to ensure you are getting the best deal on your car insurance. You can do this by obtaining quotes from multiple insurance companies and comparing them. This is because the insurance market varies from state to state, and your current insurance may no longer be the best option for you in your new state.

There are several ways to obtain quotes from insurance companies. One way is to use an online tool or app that will provide you with multiple quotes from different insurance providers. Another way is to contact insurance companies directly and ask for a quote. You can also work with an insurance agent or broker, who can help you navigate the process and find the best coverage for your needs.

When shopping for quotes, it is important to compare apples to apples in terms of coverages and limits. Be sure to also ask about any discounts that may be available, such as loyalty discounts or discounts for bundling multiple policies with the same company.

In addition to comparing prices, you will also want to consider the quality of the insurance company. You can do this by reading reviews and comparing ratings from independent sources. It is also a good idea to ask for recommendations from friends or family members who have experience with the insurance company.

By shopping around for quotes and doing your research, you can be confident that you are getting the best coverage for your needs at a competitive price.

Purchase a new car insurance policy

Purchasing a new car insurance policy is a relatively straightforward process, but it's important to do your research and understand the requirements of your state. Here are the steps you need to take:

Step 1: Understand State Requirements

Each state has different automotive insurance requirements. You need to be aware of these requirements to know if your insurance premiums could change. Some essential insurance standards to consider are:

• No-fault insurance: Twelve states and Puerto Rico have no-fault insurance laws, where insurance companies compensate policyholders for injury costs, regardless of who is at fault.
• Bodily injury liability: This covers costs from injuries or deaths related to an accident and has coverage limits set by each state.
• Property damage liability: This reimburses others for damage you cause to their property in an accident, with state minimums ranging from $5,000 to $25,000.
• Uninsured motorist coverage: Twenty states require additional coverage for accidents caused by uninsured motorists or hit-and-run drivers.

Step 2: Shop Around for Quotes

Once you know the minimum insurance requirements in your state, you can start getting quotes. It's important to compare quotes from multiple insurance companies, such as USAA, to ensure you're getting the best deal. You can use online tools and comparison websites to get personalized quotes and find the coverage that best fits your needs.

Step 3: Purchase Your New Car Insurance Policy

After you've found the right insurance coverage, it's time to purchase your new policy. Make sure to have new proof-of-insurance cards to carry in your car and provide to your local DMV. Remember, you should only cancel your previous insurance policy after you have purchased the new one to avoid a lapse in coverage, which is illegal in most cases.

Step 4: Complete an Emissions Test (If Required)

Depending on your state and the model year of your vehicle, you may need to pass an emissions test, also known as a smog check. Check with your state's DMV to see if this is required and to find out where to get the test done.

Step 5: Update Your Registration and Driver's License

After purchasing your new insurance policy, you'll need to update your vehicle registration and apply for a new driver's license that matches your new state. Bring the necessary documents, such as proof of identity, residency, and insurance, to your local DMV to complete these updates.

Step 6: Return Your Previous License Plates (If Required)

In some states, you'll also need to return your previous license plates when you register your vehicle in the new state. Check with your previous state's DMV to see if this is required and to find out if you're eligible for a refund on any unused registration fees.

Cancel your old policy

When you're ready to cancel your old USAA auto insurance policy, you'll need to call their customer service team. USAA doesn't allow members to cancel their policies online, by mail, or through their mobile app.

Before you call, make sure you have your USAA policy number and any other necessary information to hand. You'll also need to have a new policy in place to avoid a lapse in coverage, which could result in fines and legal issues.

USAA members can cancel their auto policies at any time and for any reason. However, if you're cancelling due to financial hardship, USAA may try to discuss your situation and potentially offer assistance. If you're not ending your policy immediately, the best time to switch insurers is when your current policy is up for renewal.

USAA typically renews car insurance policies automatically, so it's important to know your renewal date and take the necessary steps to switch insurers if you want to cancel. You can find your renewal date by checking your USAA bills, contacting your agent, using the USAA mobile app, or reviewing your USAA renewal packet.

If you cancel your USAA policy before the term is up, you may be owed a refund. Contact USAA or check your policy documents to see if you're due a refund and how the money will be sent.

Frequently asked questions