Do You Really Need to Shop for New Car Insurance If You’re Moving?

Moving to another state is a major process that includes a long list of to-dos. While you may not want to add anything else to your plate during this time, it is important to evaluate your current car insurance and determine whether you need new car insurance. Your coverage may not meet the minimum requirements in your new state, or you may be able to get a better deal from a local insurance carrier.

Evaluating your car insurance and even switching to a new policy or insurer does not have to take a lot of your time. In fact, you can search for car insurance online, compare policies, ask questions, and receive a quote from your phone or computer. Taking the time to make the change can save you a lot of money after your move.

Is my car insurance valid in other states?

Coverage requirements for car insurance vary by state. There are a variety of coverage types when it comes to car insurance that may or may not be required, including:

  • Bodily injury liability
  • Property damage liability
  • Personal injury protection
  • Uninsured or underinsured motorist
  • Comprehensive
  • Collision

Each state has minimum requirements for the various types of car insurance. While some types of car insurance may be optional in your state, others are required by law. The minimum required coverage varies greatly by state, so it is crucial that you determine whether or not your current policy meets the standards of your new state. In some cases, you may be able to save money due to lower insurance requirements.

Risks of Car Insurance for Another State

It is important to purchase car insurance in your state of residency to avoid gaps in coverage or legal repercussions. The process of switching car insurance should be handled as quickly after your move as possible to prevent fines or out of pocket expenses.

If you are involved in an accident in your new state, your current car insurance policy may not cover all of the damages. You could be left paying a significant amount on your own and facing legal fees for a lack of proper car insurance coverage. In some cases, your current insurance company may not even honor your existing policy if you move out of state. You could fail to comply with your original insurance agreement and be left without any car insurance coverage.

Best Car Insurers in My State

If you move states, you will almost certainly have to update or change car insurance policies. While this may seem like a hassle, it can actually save you money. In many cases, insurance agents are not licensed in other states, so your policy could be invalid. Getting a new car insurance policy quickly can protect your assets in the event of an accident.

You can also benefit from significant savings by purchasing car insurance from a local insurer. There could be better insurance carriers in your new state, offering better policies or lower premiums. Regardless, it is important for your insurance to match the state you currently live in and make updates accordingly.