One of the reasons that forces policyholders cancel auto insurance is moving to a new state. Sometimes a short distance move can be out of state depending on proximity of states. Each state regulates basic car insurance requirements and rules individually. This makes it necessary to buy another policy to comply with the requirements of your new state.
Auto Insurance; Moving out of State
Number of auto insurers are licensed in all 50 states that it may be possible to stay with the current provider. Here are top 5 car insurance companies that sell policies in all 50 states. If you are happy with services of a company it makes sense to stick with them in your new location too. Still, you will need to rearrange or switch the policy to meet the minimum liability requirements of the new home state.
If you find that the rates are higher in your new zip code due to stricter laws the current policy may still be valid for a short period of time depending on where you moved. You could take advantage of lower rates within this period. Maybe the policy in place runs out by then anyway. So, you can buy a new one without having to cancel the other. It is something worth checking.
Car Insurance when Moving to a new State
The limitations and regulations can be considerably different between two states. For example, no fault states require every driver to have their own personal injury insurance rather than (and possibly in addition to) having a liability cover for third parties. Furthermore, some states may require increased level of coverage for bad drivers. Few other things can be different although it may appear to be similar on the outset. For example, some states require uninsured motorist cover as a minimum while it is optional in others.
Therefore, zip codes affect car insurance quotes. Depending on your location you may have to pay as much as twice more than the driver in the neighboring states or vice versa. Do you want to know how much does car insurance cost in your new home state? The average cost of auto insurance is $700 different between the cheapest and most expensive states. This is huge when you consider the average cost is $841 across the US. Unless you are living in a border town and it is not a bother to move to cheaper state, there is not much you can do about it.
If you are moving due to work, you should check with your employer if they have any group auto insurance schemes. These packages allow employees to get cheap car insurance through the employer. Every little savings counts for the bottom line. So, make sure that you receive all the discounts you qualify for. These reductions could be because you are a good driver, student or a senior motorist. Usually, it is up to the customers to highlight eligibility or at least check that they have been taken into account.
Lastly, make sure that you look at all the alternatives. Shop around by getting automobile insurance quotes from different companies and comparing rates. Play around with your deductibles to see if there is a point in increasing them. It is possible that you will save enough to justify increasing deductibles. In any case, go over your policy choices again. A lot changes in a year and it may be a while you looked at a policy coverage arranged a few years back.