When should I cancel my insurance when moving?

Asked by: Dr. Katelyn Schaden Sr.  |  Last update: September 3, 2025
Score: 4.1/5 (47 votes)

Once you know your moving date and new address, notify your insurer immediately. If you need to move suddenly, that's OK — communicate that as soon as possible so you'll have the right coverage.

When to cancel insurance when moving?

Once you've secured a new policy in your new state, it's time to cancel your old insurance. Just make sure your new coverage kicks in before you cancel the previous policy to avoid any gaps in protection. Notify your old insurance provider of your move and request a cancellation.

How long do I have to switch my insurance after moving?

If you're moving in state, you'll want to tell your car insurance company as soon as possible about your new address. If you move to another state, you may only have 30 to 90 days to change your car insurance, and update your driver's license and vehicle registration.

When should I cancel my car insurance when switching?

Wait until your new insurance is in place, example effective on Nov 1. Then call and cancel the old policy effective same date. But you don't have to wait until your renewal date to cancel. You can cancel your current policy midterm, just be certain the new policy is issued and in place already before canceling.

What happens if I don't tell my car insurance that I moved?

Yes, you do. If you do not, you'd be committing insurance fraud. It's called rate evasion. It's intentionally listing an incorrect address in in order to avoid paying the rates you should be paying for your location. And if you don't update it, you're at risk of insurance denying your claim if you have an accident.

Should I Cancel My Auto Insurance if I Move Out of State? : Auto Insurance Basics

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Will my insurance go down when I move?

Demographic factors such as age, gender and location also may play a role in your car insurance rates, according to the NAIC. Moving to a new location, for example, can make your car insurance premiums go up or down.

What happens to insurance when you switch cars?

Most auto insurance policies have a built-in grace period that lets you drive your new car off the lot with the same level of coverage you had on your previous vehicle. Typical policy grace periods are between 1 week to 30-days1. After that, you'll need to add your new car to your policy to be covered.

Is there a penalty for cancelling car insurance?

At the same time, you might also be subject to a cancellation fee. Many companies don't charge such penalties, but with those that do, you can expect to pay a flat fee of under $100 or around 10% to 15% of the remaining policy premium.

Should I cancel my old car insurance before getting a new one?

If you cancel your old policy or not renew it before the new one begins, you could end up with a coverage lapse. Gaps in your insurance history can cause future car insurance premiums to be higher, and if you're involved in an accident, you won't have any coverage to protect you during this period.

When should I cancel my insurance on the car I'm selling?

Yes, you can cancel your car insurance after selling your car once you've signed over the title to the new owner, completed the bill of sale, and submitted a Notice of Release of Liability to your state's department of motor vehicles, if your state requires one.

Can you have car insurance in one state and live in another?

If you split your time between two states, you may be able to get auto insurance in either of the two states (but it will not technically be “out of state” since you will be living there). Most often, the rule of thumb is your car must be insured in the state where it is registered.

Does Progressive charge a cancellation fee?

In some states, Progressive will charge a $50 cancelation fee if you cancel within your first term; meaning your policy has not yet renewed. Once the policy has renewed there will no longer be a cancellation fee. To know for sure, check your policy or call us and we can help you determine if there is a fee.

How long can you keep a car registered in a different state?

You can drive a car registered in another state, but there's usually a limit to how long you're able to do so before changing your registration. Generally, you can drive out-of-state for up to 30 days without having to re-register the car.

What to do with insurance when moving?

How do I update insurance when moving out of state?
  1. Contact your current insurance agent or company. Verify whether your current company offers auto insurance in your new home state. ...
  2. Learn about the insurance requirements in your new state. ...
  3. Get a quote. ...
  4. Buy a new auto insurance policy. ...
  5. Cancel your old policy.

Does State Farm charge a cancellation fee?

State Farm's cancellation policy

State Farm doesn't charge a cancellation fee; you can cancel your coverage anytime. You can also receive a prorated refund if you have prepaid your insurance premiums.

When should you cancel services when moving?

One of the items on your moving checklist should be canceling your utilities. You'll want to call your utility companies a few weeks in advance to let them know you'll be closing your account. They may need to schedule a final meter reading and will likely give you instructions on how to pay any outstanding balances.

When to cancel insurance after switching?

Your new insurance company can provide proof of insurance to your old company if necessary, but they generally aren't authorized to cancel a policy with another insurer on your behalf. After you purchase a new policy, you should immediately contact your former insurer and cancel your old policy.

When should I change my car insurance on my new car?

How long do I have to insure my new car? When buying a new car, your insurance carrier will provide a grace period between 7 to 30 days to update your policy with your new ride.

When you cancel car insurance, is it immediate?

Cancellations by phone are typically effective immediately, or you can schedule it for a date in the future. Many states require you to inform the DMV when you cancel or change your auto insurance, but check your specific state's guidelines or ask your agent if this is necessary.

Does canceling car insurance hurt credit?

Does Canceling Car Insurance Affect Your Credit? As long as you don't have any unpaid premiums that could be sent to collections, canceling your auto insurance policy won't have any impact on your credit score.

Do I get charged if I cancel my car insurance?

If you cancel your insurance policy after the cooling-off period, you might have to pay a cancellation fee. There could also be other charges, like an extra admin fee.

Can I cancel my car insurance before renewal date?

If you call it quits before your policy renewal date, you'll likely receive a prorated refund for any unused premium. Just be aware that some companies charge a cancellation fee.

Do I need to change car insurance when I move?

Car insurance providers often operate in multiple states throughout the U.S. Your current one may provide coverage in your new home state. Check with your insurance agent before you make the move. If your current insurance company doesn't, you'll need to purchase new coverage when your move is complete.

Do I get a refund if I switch car insurance?

Switching insurance companies

If you switch car insurance companies and find better rates with a different insurer, you may want to cancel your existing policy before it expires. In this case, if you switch insurance companies you can get a refund. Depending on your insurer, you may have to pay a cancellation fee.

Does Geico charge a cancellation fee?

If you want to cancel your policy, GEICO makes it easy with no cancellation fee*.