Why a move changes your policy
Car insurance is priced and regulated state by state. Your premium depends partly on where the car is garaged: local traffic, theft, weather and repair costs all play a part. Required coverages differ too. Some states require personal injury protection or uninsured motorist coverage. Others don't.
Because of that, your carrier may be able to update your policy, or you may need a new policy written in your new state.
Steps to take, in order
- Call your insurer or agent before or right after the move with your new address
- Ask whether your carrier writes policies in your new state
- Review the new state's minimum coverage and adjust your limits
- Get your new driver's license within the state's deadline
- Register and title your car in the new state
- Cancel the old policy only after the new one is active
Licenses and registration
New residents usually have a set time to get a new license and register their car. Many states give somewhere around 30 to 90 days, but it varies, so check your new state's motor vehicle agency. Some states also require a vehicle inspection or emissions test before registration.
Most states will ask for proof of insurance that meets their rules when you register, which is one reason to update your policy first.
Will your rate go up or down?
It could go either way. Moving from a rural area to a city often raises premiums. Moving to a state with fewer required coverages may lower them. Your driving record, car and credit-based insurance score, where it's allowed, still matter too.
A move is a good time to compare quotes, since you're shopping anyway.
Avoid a gap in coverage
A lapse, even a short one, can lead to fines and higher rates later. Line up the start date of the new policy with the end of the old one. If you're financing or leasing the car, your lender will also expect continuous coverage.
Moving with a home, too?
If you're buying a home in your new state, you'll need homeowners insurance in place before closing. Shopping home and auto together can make the move simpler, and bundling usually earns a multi-policy discount.
