Question about State Residency and Car Insurance

I recently moved from California to New Mexico, but my son is still using my car in California until he gets his own. It’s an older car with only liability insurance. I’m not sure how to renew the insurance since I’m in a different state now. My driver’s license is from New Mexico, and I plan to bring the car here eventually, but not right away. Any advice on how to handle this? Thanks.

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This answer will largely depend on your state and insurance company. The best approach is to consult your agent to see how your company prefers to handle it, as not all companies will handle this situation the same way.

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You need to inform your insurance company that your son is now driving the car regularly and it’s being kept in California, while you’re in New Mexico, meaning you no longer have care, custody, or control of the vehicle. The company may or may not agree to continue insuring it, as many insurers do not allow this arrangement.

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This is the information I required.

If a vehicle is registered in California, it must carry California car insurance; otherwise, the DMV will suspend its registration.

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That’s incorrect. It can be insured under his New Mexico policy. If you take a look at many supercars and hypercars, they’re registered in Wyoming, even though they spend all their time in California.

It still has CA insurance, but I no longer have a CA license and haven’t updated the details. Could this be a problem?

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Where you have your driver’s license doesn’t necessarily matter; what’s important is the vehicle registration and where it’s garaged. Be sure to inform your insurance that it’s still in California, with California plates, and that your son is listed as at least a rated driver.

Is your son included in the policy?

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Yes, but not as the primary driver.

The car must be insured under a New Mexico policy, but you should list the California address as the garaging address. Assign your son as the driver. Everything will be fine as long as your auto insurance provider is licensed and authorized to operate in California.

It must be insured in the state where it’s registered. I lived in Arizona for three years but kept my vehicles registered in New Mexico, so I maintained my New Mexico insurance (using my in-laws’ address). I informed the insurance company of my mailing and garage address in Arizona.