Does my insurance cover an out-of-state car accident?

You might already be planning your next visit to Delaware. Some of the most beautiful beaches in the country are in this state. If you live in a nearby state, you can simply drive across state lines to enjoy some fun in the sun along the Atlantic coast. Travel always carries an inherent risk, however, including the possibility of a car accident.

Before driving to another state, it’s best to carefully review your car insurance policy. While most policies cover accidents that occur out of state, it’s important to be aware of the “fine print” in your insurance package. It’s also important to remember that driving into a different state is much different than driving into a different country whose borders are contiguous to the United States, such as Canada or Mexico.

Be aware of car insurance rules if you drive into another country

Many people drive to Mexico and Canada during the summer months. If you plan to do so this year, keep in mind that the rules for international travel may be quite different from those that govern interstate driving. For example, Canada typically operates under reciprocity, meaning your U.S. auto insurance will cover you if you need to file a claim for a car accident while visiting the country. To drive into Mexico, however, you’d typically need to purchase a special type of auto insurance for visitors who enter the country from the United States.

Your insurance covers you in Delaware and other states

If you’re traveling through Delaware or another state and are involved in a car accident, your insurance policy will likely cover the claim. However, if you love Delaware so much that you decide to move here, you will need to update your car insurance plan. If you’re involved in a collision after permanently moving to another state and have failed to update your insurance, you might encounter legal problems.

What if minimum coverage is higher in the state where the accident occurred?

You might purchase minimum coverage for bodily liability. This is a policy that covers expenses if you cause a collision that results in another person’s injuries. The minimum amount necessary in your home state might be less than it is in the state where your accident occurred. What happens then? In most cases, your insurance agency will cover the difference to meet the increased amount. However, this is something you’ll want to discuss with your agent before you travel to another state.

If you’re involved in a car accident in Delaware, and this is not your state of residence, you’ll want to make sure you understand how various state laws and insurance policies may affect the ultimate outcome of your claim. If you’re concerned about a particular insurance issue, it’s always best to reach out for additional support rather than assume an answer or try to resolve a problem on your own.