Once a decision is made to change addresses, it’s probably a good time to review automobile insurance needs, including coverage amounts and deductibles.
Notify the insurer the car has moved and operated out of the new address. This is important as it may affect the cost of the insurance premium. Depending on the domicile car insurance costs vary. For example expect to pay more for car insurance in a major metropolitan area, and less in a suburb or rural area.
Insurance companies allow the policy to be tailored. When the vehicle was new, it probably had collision coverage attached to the policy. As the car has aged, review the book value of the vehicle, as depreciation throughout the car’s useful life will cause its value to commensurately drop. Whether the vehicle still needs this provision depends on how much depreciation has occurred on the vehicle. How old is the car and in what condition? How many miles has it been driven
While the collision premium might change, be sure to check coverage amounts for property damage as well. If the vehicle is involved in a chargeable accident which caused total damage to another vehicle, it is easy to find the policy insufficient for such an insured loss, particularly given how expensive new vehicles have become.
If moving to a residence equipped with a garage, notify your insurer of this. There may be some savings for car owners who can garage their cars while home. By contrast, a residence that has no parking other than curbside presents a bit higher risk to the insured. If a garage is actually used to store the car semi-permanently, ask your insurer for garage-kept insurance only. Once reported to the insurer the car is not being driven but is garage kept, they’ll ask you for an odometer reading. This will likely cause the premium attached to the car to plummet, saving the insured from unnecessary and sometimes costly insurance. Remember, if something should happen to the car requiring an insurance claim for damages, the insurer will ask you to update the odometer reading. Be careful here. If the odometer evidences the car has been driven, the claim will likely be denied. This constitutes an uninsured loss to the policyholder. It becomes necessary for the policyholder to remedy the unprotected damage. It’s best to notify the insurance company immediately of any changes in intended use of the vehicle to obtain the correct coverage amounts now needed.
Upon arrival at the new address, consider using public transportation where available for daily commuting. If taking a bus or train to work or school notify the carrier of this. Upon learning the vehicle is not being used for daily commutes, or very short commutes to a nearby train station, for example, might lead to additional savings on coverage costs.
After moving, communication with an insurance carrier is key. Inform them of the new address. They will then implement whatever coverage changes suit best at the new address
