Last updated on May 16, 2017 at 02:41 pm
If you plan to get married (or divorced) soon, it may have an impact your car insurance rate.
For example, the New Jersey Department of Banking and Insurance notes that statistics work in favor of married couples.
“Statistically, young married couples tend to have a lower incidence of accidents and claims; therefore, they generally pay lower premiums than single people.”
While auto insurance is likely not top of mind as you prepare for your upcoming nuptials or make the difficult decision to end a marriage, here are a few questions to consider about how marriage or divorce can affect your auto insurance.
- Will the number of cars you own change? Add a new car onto your policy and your rating factor may change in your favor. But if you separate and decide to each keep just one car insured under separate policies, you may no longer be eligible for certain savings.
- Will you be changing your address? Where you live can be a factor in your auto insurance rates, as well as how far you drive to work. Your rate could go up or down depending on where you live. Additionally, you may be able to receive a discount if you purchase your home insurance coverage through the same company that provides your auto coverage
- What does your driving record look like and how does it compare to your partner’s? Driving records can be an important pricing factor. If one of you has a better driving record, your rates will be different if you are on separate policies.
Regardless of your expectation of how a life change can affect your insurance rate, keep in mind that it is always in your best interest to keep your insurance provider updated. It’s important to let them know about things like changes to your address, marital status, and number of drivers in your household.
In addition to ensuring you will have proper coverage available when needed, alerting your car insurance company of life changes may help you save money!