Question: I am in the process of moving to Orlando, Fla. Is there a way to determine what part of town is cheaper than another for insurance? Also, when applying for my new policy, do I need to list an old accident and ticket? Can they find out about it since it was out of state?
Answer: In general, when moving to a city, you’ll find that outlying suburban areas will be less expensive for auto insurance than the metropolitan areas, such the heart of downtown. The difference between them can be several hundred dollars a year.
Car insurance providers use statistics about different areas or “territories” as a way to help determine rates. (See “How your ZIP code drives up your car insurance”)
If one area of Orlando has higher occurrences of hit-and-run accidents, fraudulent injury claims (Florida is a no-fault state), accidents, vandalism or theft, than car insurance rates will normally be more expensive since auto insurers will see insuring you, and your vehicle, in this area as a higher risk.
We’ve got the perfect way to help you see how rates differ across the Orlando area. Our Nosy Neighbor Car Insurance Tool allows you to put in a ZIP code for any state in the U.S. and see the average rate in that area. Then, by click on surrounding ZIP codes you can see how the rates vary in different parts of a city.
For instance, if you put the ZIP code of 32805 for Orlando you’d see that the average rate given is $1,550. If you go south toward Kissimmee near Disney World, rates drop but only to $1,411 because that is a congested tourist area. And if you head north of Orlando to the suburban area of Lake Mary, rates go down to $1,245.
Whether you are moving out of state, within the same state or just to a different area of town, our ZIP code tool can help you see how living in a different area can really have a huge effect on what you pay for auto insurance.
Viewing average rates in ZIP codes will help paint a picture of what areas of town may be the most affordable; however, auto insurance companies use much of their own information when calculating their risk factors. Thus, premiums can vary from one insurer to the next even within the same ZIP code, making it crucial to shop around with multiple car insurance companies when looking for your new policy.
When applying for a new car insurance policy, you will indeed need to list any accidents or tickets that are within the time frame that the insurance company is asking about (typically three to five years), even if the incident is from your former state, since for new residents insurers will usually check your driving record from your previous state.
An auto insurer will also check your claims history. It will show accidents and claims filed for the last seven years, no matter where the incidents took place since this is a nationwide record.
If you fail to list on an auto insurance application any accident or traffic violation conviction for the time period asked about, then your rate quote isn’t going to be accurate.
Your misrepresentation about your record may make a company not want to insure you or send you a notice for an additional premium for you to pay in order to keep your policy intact.