Yes, you can typically get car insurance from an out-of-state provider. The U.S. auto insurance market is national, and most major carriers operate in multiple states. However, the policy you purchase must comply with the specific laws and minimum coverage requirements of the state where your vehicle is primarily garaged and registered. This is the most critical rule. The insurance company will base your premiums and policy terms on the risk factors associated with your primary location.
How It Works and Key Considerations
When you buy a policy from an out-of-state company, they will often issue it through a subsidiary or affiliate licensed to do business in your home state. Your declarations page will clearly show that the policy meets your state's legal requirements. The main challenges arise in two scenarios:
- Moving to a New State: You cannot maintain your old state's policy indefinitely after moving. Insurers require you to update your address, usually within 30 days. Your premium will be recalculated based on your new location's risk profile, which can include factors like traffic density, crime rates, and state-specific insurance regulations.
- College Students: A common situation involves a student living in another state for school. If the vehicle is primarily kept at the school address for most of the year, you must inform your insurer. They will adjust the policy based on the garaging location, which can sometimes be cheaper than the parent's home state.
State Requirements Vary Significantly
It is essential to understand that each state sets its own mandatory coverage levels. For example, some states are "no-fault," requiring Personal Injury Protection (PIP), while others are "tort" or "at-fault" states. The minimum liability limits also differ dramatically.
| State | Minimum Bodily Injury Liability (per person / per accident) | Minimum Property Damage Liability | Required Additional Coverage? |
|---|
| Florida | $10,000 / $20,000 | $10,000 | Personal Injury Protection (PIP) |
| California | $15,000 / $30,000 | $5,000 | None |
| New York | $25,000 / $50,000 | $10,000 | Personal Injury Protection (PIP) |
| Texas | $30,000 / $60,000 | $25,000 | None |
| Pennsylvania | $15,000 / $30,000 | $5,000 | Choice of No-Fault (PIP) or Tort |
The best practice is to shop around with large national insurers and regional providers licensed in your state to find the best combination of coverage and price for your specific situation.
