Auto Insurance (Vehicle) Regulation
If I have insured my car in a small town, yet have lived in a much larger town for about a year, and fail to report this change to my insurance company, can I face any penalizations?
Also, what if the car is not insured under the person who the car is registered to and driven by, but his stepmother? The small town insurance companies’ representative is aware of this, as he has overseen the payments, but I am not aware of it being officially recognized in any way. Are there any potential consequences?
Answer:
It’s more likely that if there is a difference in premium cost in the 2 locations, you will be back-charged for the difference from the date you moved. It’s not likely they would be able to deny a claim based on an unreported address change UNLESS it was to a different state where your company does not do business.
It’s just not worth it. No insurance company wants to insure someone who easily and knowingly commits fraud.