How to Update Your Car Insurance After Divorce
Your insurance must reflect who owns and drives the car now
After a divorce, your car insurance policy needs to change to match your new situation. If you kept the car, you stay on the policy but remove your ex-spouse as a driver or policyholder. If your ex kept the car, you need to cancel your coverage on that vehicle. If you're buying a new car as part of the divorce settlement, you'll need a fresh policy before you drive it off the lot.
The timing matters because driving without the right coverage is illegal in South Carolina. Your insurance company needs to know who owns the car and who drives it regularly. Policies that don't match reality can be denied when you file a claim, leaving you personally liable for damages.
Key Takeaways
- Contact your insurance company within days of the divorce being final to remove your ex-spouse from the policy or cancel coverage on a car you no longer own.
- You cannot legally drive a car without insurance in South Carolina, and the policy must list the actual owner and regular drivers.
- If you're keeping the car, you'll likely pay less once your ex is removed, since the rate was based on two drivers.
- If you're buying a new car, purchase insurance before you take possession, or arrange temporary coverage through the dealership.
- Your divorce decree may specify who pays for insurance on a car one spouse keeps; verify this before canceling or changing policies.
If you kept the car in the divorce
Call your insurance company and ask to remove your ex-spouse as a driver and policyholder. You'll need the divorce decree or a certified copy showing the car is now yours. The company will update the policy to show only you as the owner and primary driver.
Your rate will likely drop once your ex is removed, since the premium was calculated based on two drivers. Ask the agent for a new quote before the change takes effect so you know what to expect. Some companies apply the rate change immediately; others wait until your next renewal date.
If your ex's name is on the title, you'll also need to visit the South Carolina Department of Motor Vehicles to remove them. Bring the divorce decree, your current title, and proof of insurance. The DMV will issue a new title in your name only. This step is separate from the insurance change and must happen at the DMV, not through your insurance company.
If your ex kept the car
You must cancel your insurance on that vehicle immediately after the divorce is final. Call your insurance company and provide the divorce decree. The company will remove the car from your policy and adjust your rate if you have other vehicles insured.
Do not drive the car after the divorce is final, even to move your belongings or say goodbye. Once your ex owns it, you have no legal right to drive it, and you won't be covered by insurance if something happens. If you need to retrieve personal items, ask your ex to drive or arrange a time when they can be present.
Your ex is responsible for getting their own insurance on the car. If they don't, they're driving illegally. This is not your problem after the divorce, but do not let them use your old policy as an excuse to delay getting their own coverage.
If you're buying a new car after divorce
You need insurance before you can legally drive the car off the lot. Contact an insurance company at least a day before you plan to pick up the vehicle. Provide the vehicle identification number (VIN), which the dealership can give you, and get a quote.
Once you've bought the policy, the insurance company will issue a proof of insurance document (sometimes called a declarations page or binder). Print it or save it to your phone and bring it to the dealership. You cannot take possession of the car without proof of insurance.
Some dealerships offer temporary coverage for a few days if you need to drive the car before your policy starts. Ask about this option when you're negotiating the purchase, but do not rely on it. It's safer to have your own policy in place first. If you're financing the car, the lender will require you to carry full coverage (collision and comprehensive insurance, not just liability), so factor that into your budget.
What your divorce decree says about insurance costs
Your divorce agreement may specify who pays for insurance on a car one spouse keeps. For example, the decree might say your ex keeps the car but you pay the insurance for two more years, or that each spouse pays their own insurance on their own vehicle.
Read your decree carefully before you contact the insurance company. If you're supposed to pay for your ex's insurance on their car, you'll need to set up a separate policy in their name (with their permission) or arrange to reimburse them monthly. If the decree says your ex pays for your insurance, make sure that arrangement is in writing and that you have a plan if they stop paying.
If your ex is supposed to pay but doesn't, your insurance will lapse and you'll be driving illegally. The divorce decree is a civil document; it doesn't force your insurance company to accept payment from someone other than the policyholder. You may need to pay the premium yourself and then take your ex to court to recover the money, or you may need to modify the decree. Consult a family law attorney if this becomes a problem.
Removing your ex from a joint policy
If you and your ex were on the same insurance policy before the divorce, the policy must be split. You cannot stay on a joint policy with an ex-spouse after the divorce is final. Call your insurance company and ask to separate the policies.
The company will create two new policies: one for you and one for your ex. Each of you will get your own account, your own billing, and your own rate. You'll each be responsible for paying your own premium. If one of you doesn't pay, the other's coverage won't be affected.
This process usually takes a few days. Make sure both policies are active before either of you drives. If there's a gap between when the old joint policy ends and the new individual policies begin, you'll be uninsured. Ask the company to coordinate the timing so there's no lapse.
Updating your address and contact information
After a divorce, you may have a new address, a new phone number, or a new name. Update all of this with your insurance company so they can reach you if there's a claim or a billing problem.
If you're moving out of state, tell your insurance company immediately. Your rate may change based on your new location, and your policy may need to comply with different state laws. Some insurance companies don't write policies in all states, so you may need to switch companies.
Keep your insurance company's contact information in an easy place. If you're in an accident, you'll need to call them quickly. Make sure your policy documents are stored somewhere you can find them, whether that's a folder at home or a photo on your phone.
Frequently Asked Questions
Can I stay on the same insurance policy as my ex after the divorce?
No. Once the divorce is final, you cannot remain on a joint policy with your ex-spouse. You must separate into two individual policies. Contact your insurance company within days of the divorce to start this process.
What happens if my ex doesn't get insurance on the car they kept?
That's their legal problem, not yours. Once the car is in their name and you've canceled your coverage, you have no responsibility. Driving without insurance is illegal in South Carolina, but you cannot force your ex to comply. Do not let them use your old policy.
Do I need to show the divorce decree to the insurance company?
Yes. The insurance company will want proof that the car ownership has changed. Bring a certified copy of the divorce decree or the final judgment. Some companies accept a photocopy; others require a certified copy from the court. Call ahead and ask what they need.
Will my insurance rate go down if my ex is removed?
Usually, yes. Your premium was calculated based on two drivers, so removing one driver typically lowers the rate. Ask your agent for a new quote before the change takes effect. The exact savings depend on your ex's age, driving record, and how often they drove.
What if I can't afford insurance on my own after the divorce?
Shop around. Different insurance companies charge different rates for the same coverage. Get quotes from at least three companies before you decide. You can also ask about discounts for bundling policies, paying in full, or taking a defensive driving course. If cost is a real barrier, look into South Carolina's assigned risk pool, which provides coverage to drivers who can't find insurance elsewhere, though premiums are higher.