Moving to a new area is often exciting and stressful at the same time. In all the excitement of moving, auto insurance is likely to be the last thing that comes to mind during the transition. Whether moving to a new state, new city or even to a new area within the same town, it is necessary to obtain a new auto insurance quote for the current policy. Moving to a new area could lower or raise an auto insurance premium for several reasons. Obtaining new quotes is important to ensure the vehicle is properly covered.
Car insurance quotes are based on several factors including where a driver lives, how far a driver must drive to and from work each day, the location of the drivers work, and risk factors of the different neighborhoods. In general, rural areas tend to have a lower risk factor and therefore often have lower auto insurance rates then can be found in larger populated areas. Areas with a higher rate of car thefts, vandalism, and auto accidents often have higher car insurance rates due to the increased risk factors. These factors are considered in both the areas in which a driver lives, as well as where the driver is employed.
Another factor to consider is the commute to and from work each day. Auto insurance premiums are partially based on the primary use of the vehicle and the number of miles driven each day. In general, the farther away from home a driver has to commute to work, the higher the risk of being involved in an automobile accident. With the higher risk, especially in areas with a lot of traffic, insurance premiums are likely to go up. However, moving closer to the place of employment is likely to result in a lower premium as a result of the decreased risk factor.
Depending on the area, a driver may also want to reconsider the current policy to ensure the vehicle has full coverage without adding any unnecessary options. A driver moving to a higher risk area may want to add additional coverage or lower deductibles to ensure the vehicle is properly covered. At the same time, when moving to a lower risk neighborhood, paying a higher deductible and eliminating unnecessary coverage may lower the premium while ensuring the vehicle remains properly insured. It is essential to research car insurance quotes whenever moving to a new area, even when the move may seem minor. Home and work neighborhoods, miles driven daily to and from work and risk factors all play an important role in ensuring a driver and vehicle is properly insured with the best possible policy based on individual circumstances.