Car Insurance While Living Between Two Addresses

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Well, if you are one those people who happen to split your time between 2 places then what about your car insurance. Which address would your insurance company consider? There are lots of questions your insurer may ask you and many risks that are associated if you do not abide by your policy agreement. They will ask where you would park your car overnight. Or, if it will be parked in a garage or another residential address near to your location. As per your response to these questions, your insurer may gauge your risk and calculate your car insurance premiums as every insurer has their own logic.

Insurance companies always prefer to insure cars in low-risk addresses rather than a theft prone area. So, to get reasonable rates for your car insurance you may park your car in a secure location as well as install security features. However, to give a false address to lower your car insurance premiums is a fraud for rate evasion. The moment that your insurer finds this out, they may cancel your coverage altogether. When you intentionally give a different address at policy inception then you are committing an underwriting fraud. Regulations are getting tougher and insurance companies are more vigilant than ever to detect such frauds. If you are caught committing such a fraud then they may not only deny any claim but also cancel your coverage.

Multiple Addresses And Your Car Insurance

If you live in a particular location but park your car at a different area then you must surely notify your insurer. This will also affect how the insurer will calculate your premiums. Your insurer may consider your car’s permanent parking spot at night when they look at your rates. The safety of that parking spot or garage, whether it is a safe neighborhood or not will impact your premiums.

If you park your car in an area that is infamous for break-ins you may expect higher premiums. So, it is possible that your home address is different from the location that you always park your car. It is your responsibility to inform the insurer if you park your car elsewhere and not at your permanent residence.

Does My License Address Have To Match My Insurance

It is necessary to update the address on your license so that it reflects your current residential address. It is important that your home address matches with your vehicle registration address and insurance policy address.  This is a requirement as per MTO due to various reasons.

You need to update your new address on your driver license within 6 days of the change. When your insurer orders a driver record then it will be mailed to the address on the license so it has to be updated.

Can I Have Two Legal Permanent Addresses In Canada

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Yes, it is possible to have 2 permanent legal addresses in Canada due to business reasons. One of the main reasons is when you have your business at a particular address and when your home address is different. In such a case you may use your business address for any correspondence related to your work.

When you own two houses, you may use one of them on a rental purpose. Then, the house where you live permanently will be your legal residence address. If you own many properties, then it is necessary to choose one of the addresses as your permanent and primary residence.

Using Someone Else’s Address For Car Insurance

If you are thinking of using someone else’s address for car insurance then you may get caught for falsification.  Such as parking your cars overnight at a different location and you do not inform your insurer about the same. In case you are using a fake address for rate evasion then it is considered as fraud. You may face serious consequences. They may even deny your claim when they find out that you gave them the wrong address.

Quite often it is tempting to give the address of a low-risk area to get better rates when you live in a busy city with high rates. But in the long run, when you claim it may not help you and may backfire. When your mail is sent to another address and a resident there opens it then they are also committing a federal crime.

Can I Insure My Car At My Parents Address

In case you live with your parents then you may, by all means, insure your car at their address.  If you are a student and comes home only during vacation then you may use your parent’s address for car insurance. You must notify your insurer that you stay with your parents and drive when you are on a break from school. It really matters where you park your car overnight even when you may not drive it as your insurer may decline any claims if you hide any information.

Another option is to ask your parents to add you to their insurance as an occasional driver. If you carry a G1 license then it might not impact their insurance premiums. However, if you have G2 License or Full G license and is under the age of 25 years then their insurance rates may increase.


Resources:

http://www.mto.gov.on.ca/english/dandv/driver/handbook/section4.4.0.shtml


 

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