Updated on 3 Nov 2025
Relocating to a new city or state in India involves several responsibilities, and updating your car insurance is one of them. This step is often overlooked, but failing to make the necessary changes can lead to complications, especially when it comes to filing a claim. Here's everything you need to know about handling your car insurance during a move.
Impact of relocation on insurance premiums
Your car insurance premium can change when you move to a new place. This is because premiums are partly based on the area where you live.
The country is divided into two different zones for insurance purposes:
- Zone A: Big metro cities like Mumbai, Delhi, Bengaluru, Chennai, Pune, Kolkata, Hyderabad and Ahmedabad.
- Zones B: All other cities in the country.
If you are moving from a metro city to a smaller town, your premium may go down. On the other hand, if you are moving to a busier or more accident-prone area, your premium may increase.
Should you cancel or continue the existing policy?
If you already have an active car insurance policy, there’s no need to cancel it. Insurance companies allow you to transfer the existing policy to your new address.
To do this, you simply need to inform your insurer about the move, provide proof of your new address and update your vehicle registration. Some insurers may charge a small fee for these changes, and your premium might be revised based on the risk profile of your new location.
Only cancel your existing policy if you are unhappy with the current insurer, you find a better deal with another company or your current insurer does not operate in your new state.
Also, if you have earned a no claim bonus in car insurance, continuing the same policy helps you keep that discount when you renew.
Re-registration of vehicle in a new state: Step-by-step guide
When you move to a new state and plan to live there for more than 12 months, you must re-register your vehicle. Here's how:
- Step 1: Get a No Objection Certificate (NOC) from your current RTO (Regional Transport Office).
- Step 2: Transport your car to the new city. Carry important documents such as the NOC and original RC (Registration Certificate).
- Step 3: Apply for registration under the new state’s laws using Forms 29 and 30, along with documents like the NOC, RC, insurance certificate, PUC (Pollution Under Control) and vehicle chassis imprint.
- Step 4: Pay the road tax in the new state.
- Step 5: Authorities will verify the vehicle and documents to ensure everything is in order.
- Step 6: After approval, you will get a new registration number. Install new number plates and keep your updated RC with you.
- Step 7: Update insurance records with your new registration number.
Online tools for insurance address and policy update
Most insurance providers now offer digital services through their official websites or mobile apps, allowing policyholders to update personal details such as residential address, phone number or email ID without visiting a branch.
To make changes, you typically need to log in using your policy number or registered mobile number, navigate to the profile or service request section and upload valid proof of the new address, such as an Aadhaar card or utility bill. Once submitted, the update is usually processed within a few working days.
How relocation affects the claims process
If you shift to a new city and don’t update your insurance details, it can cause problems when filing a claim.
Possible issues include:
- Claim rejection: Wrong address or registration number may lead to claim denial.
- Delayed processing: Extra verification will be needed if your details are not up to date.
- Local tie-ups: Some insurers have better service networks in certain cities. If your insurer has fewer garages or agents in the new city, your experience might be affected.
Conclusion
When relocating, your car insurance policy should be one of the first things you update. Inform your insurer, update your address, and if needed, re-register your vehicle.
As you focus on settling into your new home, let us help you take care of your car insurance needs. Simply fill out the form on this page to receive personalised guidance and ensure your coverage stays updated.
FAQs
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Can I continue using my current car insurance after moving to another city?
Yes, you can continue using it, but you must update your address and vehicle registration if required.
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Will my premium change after moving?
It might. Your new area may have higher or lower insurance rates depending on the location.
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Is re-registration of the vehicle always needed?
Only if you move to a new state and plan to stay there for more than 12 months.
Disclaimer: The information provided in this blog is for educational and informational purposes only. It may contain outdated data and information regarding the topic featured in the article. It is advised to verify the currency and relevance of the data and information before taking any major steps. ICICI Lombard is not liable for any inaccuracies or consequences resulting from the use of this outdated information.