Auto Insurance Tips When Moving Out of State
Moving to a new state is tough. You’re changing many parts of your life. But do you also need to change your insurance company?
You can keep your same car insurance company when you move to a new state in most cases.
If you use a large insurance company like GEICO or State Farm, your insurer will cover all 50 states and easily switch your policy to your new state.
However, if you have a small or regional provider, you may need a new car insurance company after moving to a new state.
Keep reading to discover everything you need to know about keeping your car insurance after moving to a new state.
Most Large Insurers Cover All 50 States
Most Americans have car insurance with State Farm, GEICO, Allstate, Progressive, USAA, and other major insurance companies.
All of these insurance companies cover drivers in all 50 states.
If you have a GEICO insurance policy and are moving to a new state, then you can keep your GEICO insurance policy as you move.
However, you still need to notify GEICO about the move, and GEICO will adjust your policy to match your new state’s rules.
Small Insurers May Not Be Available in All 50 States
If you have a smaller or regional insurance company, then you may need a new insurer.
Some insurance companies only cover New England, for example, while others exclusively cover the Midwest.
Contact your insurer to see if they cover your new state. In some cases, your insurer has a partnership with another regional provider in your new state, which could make it easier to switch.
Car Insurance Rules Vary Between States
Each state has its own department of insurance. This department of insurance sets different car insurance rules and requirements. Some states have high minimum required levels of liability insurance. Others have low levels – or no liability insurance requirements whatsoever.
Because of these different requirements, states have different prices for car insurance.
The average driver in Michigan, for example, pays over $2,800 per year for full coverage car insurance. The average driver in Maine pays less than $915 per year for the same policy.
In most cases, your car insurance premiums will change when moving to a new state. You will pay higher or lower rates because your policy needs to match your new state’s requirements.
Contact Your Insurance Company Within 30 to 90 Days of the Move
Most states require you to switch car insurance within 30 to 90 days of your move.
Even if you plan on keeping your same insurance company, you need to notify your insurer of the move. Otherwise, your insurance could be invalid.
Call your insurance agent and tell them about your move. Your premiums could go up or down.
Compare Car Insurance Quotes After a Move
There’s never a better time to compare car insurance quotes than after a move. States have different insurance laws, leading to different insurance prices.
Insurance prices also vary widely when moving within a state. If you moved from a rural area to a big city, for example, then your car insurance premiums can double – even if you’re within the same state.
If you decide to switch, make sure you hold onto your old insurance until the switching date. Your new policy needs to start on the same date your old policy ends. If your new insurance policy starts on September 1, for example, then your old policy needs to expire on September 1. Otherwise, you have a lapse in coverage.
By following these rules, you can ensure you keep the best auto insurance coverage when moving to a new state.