Each state has its own rules concerning a driver's responsibilities when it comes to insuring their vehicles. These regulations vary between states regarding types and amounts of coverage but a there a few questions that need to be answered. Does your coverage protect you if you travel across state lines? Do the minimum insurance requirements change with each state? What happens if there is an accident that happens while you’re away from your home state?
Car Insurance When Traveling
There is good news. If you travel out of your home state, your personal policy will be all that is needed if anything happens. With nearly every insurer, coverage is extended to all states and, sometimes, even into Canada. When traveling, especially out of the country, it is essential to speak to your insurance agent regarding your policy and its protections.
While your car insurance company does provide coverage if you’re visiting another state, it does not provide the same coverages if you’re moving to that state. If you move, a new policy would need to be drafted. Depending on the new state, the change may be as simple as a change of address. In others cases, an entirely new policy will be required. further, as not all insurance companies offer coverage in every state, a driver may have to find another carrier.
Out of State Car Accidents
Trips out of state can be an exciting adventure to undertake, but you have to keep in mind that accidents do happen. Your risk for these accidents increases due to the fact that you’re driving on unfamiliar roads. In an accident should happen, there may be some confusion how to handle the process since you’re not in your home state.
Keep in mind, no matter where you are traveling, if you are determined to be at fault in an accident, you are financially responsible for any damages or injuries sustained by others. This is true no matter what the mandated insurance requirements are in the state where the accident occurs. With some policies, coverages will adjust to match required minimums for the state in which you're traveling.
Your coverage at home is the minimum limit of $25,000 in liability. If you’re involved in an accident in a state where the minimum is $30,000, your insurance company will raise your coverage to match. This will be done at no additional cost to you. Conversely, if the limits of the other state are lower, then the limits you currently have will not change.
If the other state requires additional coverages, such as personal injury protection, not included in your policy, your insurance company will generally temporarily extend you these extras as well. This allows you to rest assured knowing you’re easily covered, no matter where you plan on taking a vacation. Speak with your insurance agent to learn more about your coverages if you have further questions.