The rates you pay for auto insurance, as well as the coverage you need, can vary depending on where you live. This is why it is so important to call your auto insurance company when you move. Moving can affect your rates and coverage needs in many ways, and here are some of the ways this occurs.
Different risks in different locations
While there are several reasons to update your auto insurance when you move, one of the most important ones is to make sure you are covered for all the new risks you may have. Different areas pose different risks, and this is why insurance companies need your address in order to give you a quote. For example, if you move from the city to the country, you might have a bigger risk of being involved in a deer collision. If you move from the country to the city, your risks of colliding with another car might increase.
Insurance companies also factor in crime rates and rates of claims by address when figuring out policy premiums, as there are different risks depending on where you live.
Different laws in different states
Are you moving out of state? If so, contacting your insurance company is even more important than if you were moving within the same state. You must do this to make sure your current provider offers insurance in the new state you are moving to, and you may need to adjust your coverage amounts simply because there are different laws in different states.
Personal changes may also cause changes and risks
Moving also changes your address, so you need to contact your insurance agent simply to make sure you receive your bills at your new address. Additionally, when you move, things in your personal life might also change. For example, are you moving due to a divorce or to get married? If so, this could affect your rates. When you move, will you be traveling a lot further or a lot less to go to work and back? If so, this too could affect your rates. In fact, any changes in your personal life could affect the risks you have, which in turn could affect the rates you pay.
If you are moving, it is important to contact your insurance company to let them know about this change. If you are interested in getting a new quote for coverage, call an agency that offers auto insurance policies.