What happens if I don't tell my auto insurance company my new address?

Question

I moved to a new area and my premium is going to more than double. I live in California. What would happen if I don't change my address with the DMV and my auto insurance company?

I have $150 left to pay on my current policy which is set to expire October 2008. I'd like to keep my old address on my accounts until the policy expires, then shop around for a new policy.

I am supposed to renew my registration in September. I'm afraid the DMV will send the renewal information to my old address and I won' receive it. I believe the USPS is instructed by the DMV not to forward mail to a new address.

Answer 1

I think you can change your driver's license but you might not have to change the policy. Technically you should within 30

days. But if you "forgot" you will only get penalized if you have an accident. Also, you can anonymously ask about their policy on that without giving your name. All insurance companies have different rules. Some cover it but add more premium. Some will not pay the claim.

Answer 2

They will most likely never find out. But it is taking a chance, and prolly better to just suck it up and pay.

Answer 3

If you do not give your insurance company your correct address, to avoid paying the correct premium for the risk, you are actually committing fraud.  Number one, your insurance company could refuse to pay if you have an accident or claim.  Number two, the premiums you had paid are therefore wasted.  Number three, you have committed a criminal act by representing to the State that you are properly insured as required (a false statement).  Number four, you could be personally sued by anyone who is injured or suffers a loss caused by you.  

Check other companies for a lower premium, but pay the premium based on true declarations, for your own protection.

Answer 4

If you fail to notify them of the address change and you have an accident your policy will be invalid. You have failed to

notify them of a 'territory change' and this is considered to

be a 'material fact'.  They will not provide you with any coverage for your car or any damage or injury that you do another vehicle or person. DO NOT DO THIS!! I work in this

field and I have seen so many peoples' lives ruined because of something stupid like this. People try to save a few bucks and end up paying for the rest of their lives. Because the person whose car is damaged or who is injured is coming after you for their money. It will ruin your credit rating. You will never be able to get a mortgage or credit etc. If you tell them now your policy will be 'pro rated'. This means that you will only have to pay the increase in premium from the time you take up residence in California until the time your present policy expires. It will not be that much more expensive as it is only for a few months. Once you are in California you can look around for cheaper insurance also a payment plan.  Again I urge you don't take a chance on ruining your life for a few dollars. It is not worth it!!