What Do You Do With Your Car Insurance When You Get Divorced?

During the middle of a divorce, something that is probably not at the top of your mind will be your car insurance. After all, car insurance may seem like a very minor issue.

But at the same time, do you really know what is going to happen to your car insurance following your divorce?  If the answer is no, then you need to read on:

YOU CANNOT REMOVE YOUR SPOUSE FROM THE CAR INSURANCE WITHOUT THEIR CONSENT 

There’s really no simpler way to put it. If you thought you could split up everything between you and your spouse evenly and just take them off the car insurance policy, you won’t be able to do that without their explicit consent.

The reason for this is because car insurance is vital to drive legally in the United States, so simply removing your ex-spouse or their car(s) from your insurance policy is not something you are able to do without consent.

And of course, that means that your ex-spouse can’t remove you or your vehicle(s) from the car insurance policy without your explicit consent either.

LIVE SEPARATELY BEFORE REMOVING YOUR CAR INSURANCE POLICIES

Hopefully you and your ex-spouse will be able to amicably work out when you want or need to separate your car insurance policies. In this case, the best time to do so would definitely be after you have obtained separate living arrangements and are officially living at two different addresses.

SEPARATE YOUR VEHICLE TITLES

Any co-owner who is not living in the same household will need to be listed as an additional person on the insurance policy.  In other words, each individual should have a car meant solely for them after the divorce. This means that you and your ex-spouse will most likely not be able to  share vehicles, at least legally, following the divorce. Choose who will get which cars.

Related: Top Five Money Mistakes To Avoid During Your Divorce

ONE OF YOU WILL NEED A NEW INSURANCE POLICY

Either both of you will need to get new insurance policies, or one of you can keep the old policy and the other one will need to obtain a new one.

There should be no legal difference in regards to who keeps the old policy and gets a new one, and furthermore, you can even obtain a new insurance policy from the same car insurance company.

OBTAIN THE NEW POLICY BEFORE BEING REMOVED FROM THE OLD ONE

Last but not least, regardless of who will be keeping the old policy, it’s important for the other spouse to be kept on that policy until they have obtained a new one. Only once have they have obtained a new policy should they be removed from the old one.

P.S. If you are in the beginning stages of your divorce and don’t know where to start, we have created a FREE Divorce Financial Documents Checklist for you to start this journey as an organized rockstar.

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