Can you legally use a different address to get cheaper insurance?

Answer 1

Legally? "No", that would constitute Material Misrepresentation of the Risk (fraud). The company may not press criminal charges, but they won't pay any claims if they find out.

More information about insurance fraud:

• Insurance fraud doesn't always result in criminal liability, but under some jurisdictions in this country a claim DENIAL constitutes the same weight as being involved in an accident with no liability insurance, in which case you may have to appear in court plus you'd loose your Driver License for a very long time.

If I were you I would obtain a copy of the National Highway Traffic Safety Administration Manual and study it real carefully.

• In most areas large portions of your auto insurance bill is to pay for fraud. When you think about fraud most time you conjure up images of the guy staging an accident and wearing a neck brace to court. Often times insurance fraud is just lying to your insurance company about something simple, like the location your vehicle is primarily kept.

Insurance companies use this information to charge the right rate for the risk. If you get a lower rate by lying about a key fact in determining your rate, it does not change the risk. The claims pay out is the same. Therefore, the unassigned risk must be charge somewhere else.

• All the honest people are paying for it. Whether it's one guy defrauding $100,000 from the insurance company in a staged accident or 1,000 people defrauding $100 by lying about their address, it's $100,000 someone else has to pay for. I would encourage anyone that knows of any fraud to do everything in their power to report it.