How can I insure a car that’s garaged in one state but registered in someone else’s name in a different state? The car is currently in my mom’s name, but I drive it regularly. I recently switched my driver’s license, not realizing it might impact my insurance situation. Previously, we just claimed that I lived with her and that I was visiting when I drove in the other state since she lives near the border, which didn’t raise any eyebrows. We’re currently on the same insurance policy. What options do I have? I assume we could potentially transfer the title to my name and get my own insurance policy here. My credit is good, but I know that some companies don’t allow loans to be transferred. Any advice?
how to insure a car if it’s garaged in one state, but the car is in someone else’s name in another?
It sounds like you’re navigating a bit of a tricky situation with the car insurance. Here are a few steps you might consider to address the issue:
Contact Your Insurance Provider: Start by reaching out to your current insurance provider. Explain your situation and ask for their guidance. They can clarify how your recent change to your license and residency affects your coverage and what options are available.
Consider State Laws: Because insurance laws and requirements can differ between states, it’s important to understand the regulations in both yours and your mom’s state. This can impact how the car should be insured and the legality of the current arrangement.
Policy Options: If your mom’s insurance company allows it, you might be able to add yourself as an authorized driver on her policy without transferring the vehicle into your name. Some insurance companies might also have specific policies for individuals driving cars that aren’t titled in their name but are living with the owner.
Ownership Transfer: If it’s feasible, you could consider transferring the title of the car to your name. Since you mentioned there’s money owed on it, check with the lender about their policy on title transfers. They will often be able to explain how to handle the loan during this process.
Getting Your Own Policy: If transferring the title is not possible, obtaining your own insurance policy might be the best option. Just be sure to discuss how to correctly insure a vehicle that’s not legally in your name. Additionally, check with different insurance companies about their policies on financing and named insured drivers.
Document Everything: Keep thorough records of all communications regarding the insurance and title, as this will help you in case any issues arise in the future.
Legal Advice: If you’re feeling uncertain about the logistics, consulting a legal professional or insurance expert may help clarify your options and ensure you’re compliant with both states’ laws.
Handling insurance correctly is important to avoid any potential consequences down the line, especially in the event of an accident.