How does an out-of-state speeding ticket affect insurance?

Your first speeding ticket in California will raise your insurance rates by $1,153, or about 37% on average. Because speeding is considered a minor violation in California, the ticket will only be visible on your record for 3 years.

Insurance companies will usually check your driving record for the past 3-5 years, but will only be able to see your speeding violation for 3 years due to California law. This means that your insurance rates will generally stay raised for the whole time the ticket remains on your driving record.… read full answer

Keep in mind however, that some insurance companies, such as Travelers have a violation forgiveness policy that drivers can qualify for. Contact your insurance company to see if you qualify for a similar program.

Disclaimer: Average rates and increases calculated using quadrant premium data for a 45-year old male driver.

Your car insurance will cover you in another state when traveling. In the event that you get into a car accident while driving out of state, most insurance companies will typically provide coverage to meet the minimum required by that state. Insurance companies refer to this as the broadening clause, which allows them to broaden your coverage if you get into an accident in a state that requires more coverage than your home state.… read full answer

For example, if your insurance policy provides $10,000 in bodily injury liability coverage, and you get into an accident in a state where the minimum bodily injury requirement is $15,000, most insurance companies will cover the $5,000 difference. Similarly, if you get into an accident in a state that requires personal injury protection (PIP) when your home state does not, most insurance providers will broaden your coverage to provide PIP for that particular accident.

Your car insurance policy probably won’t cover you if you move to another state:

While your auto insurance policy will cover you when you travel between states, your coverage is unlikely to carry over once you move to another state. If you move to another state, you will be required to obtain that state’s minimum coverage requirements.

Even if your insurance company offers coverage in your new state, you will have to work out a new policy to ensure you are meeting minimum requirements. It’s a good idea to consult with several insurance companies to find the best quotes in your new state.

Your car insurance company may give coverage for driving in Canada or Mexico:

Many U.S. car insurance companies will automatically extend coverage to you if you travel to Canada, but not if you travel to Mexico. Mexican law requires drivers to be insured through a Mexican insurance company, so if you decide to travel there, you will likely need to purchase special coverage. Many larger U.S. insurance companies have partnerships in place, which allow them to provide coverage for drivers heading to Mexico, so you should check with your company for such an add-on before travelling.

You can only buy car insurance across state lines (i.e. in a state other than where you live) if your car is also registered in that other state. Most states want your car to be registered where you have your permanent home address. But you may be eligible to register and insure a car in a different state than the one you currently live in if you are a part-time resident. For example, this could apply to college students, military families, and people with homes in more than one state. In addition, some states—including Nebraska, Georgia and Missouri—require you to register your car if you're in the state for at least 30 days.… read full answer

College students who attend school in a different state from their parents’ residence (which is generally considered a student’s permanent residence) may or may not need to buy a new policy. It depends on the laws of the state in which their school is located. For example, people going to college in Nevada are specifically allowed to maintain out-of-state registration and insurance, while Connecticut students are not. Some states, like Massachusetts, allow out-of-state students to maintain their primary home-state registration and insurance, but require them to register the vehicle with local police.

Most states allow members of the military to keep their car registration and insurance in the state in which they maintain legal residence. However, states’ residency laws vary, and you should verify your particular situation with your insurance company whenever you are re-deployed.

People who split their time between two homes generally should register and insure their vehicles in whichever place they spend the most time. For example, if you live in New York for eight months of the year but spend four winter months in Florida, you would buy insurance in New York. That policy would cover you even while you're at your Florida home. Be aware, however, that if Florida is your secondary state, your insurance policy—no matter where you buy it—must include Florida’s mandatory minimum insurance coverage.

Also keep in mind that if you own a vehicle that stays at your secondary home year-round, you are required to insure it in that state.