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Do I need to turn in my license plates if I cancel my insurance?

I'm planning on selling my car, but I’d like to keep the plates in case I buy a new vehicle in the future. Can you cancel your insurance without turning in your license plates?

avatar
Emily Maracle · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
Check with your state DMV to see if you need to turn in your license plates when you
cancel your insurance policy
  • About 20 states require to you to surrender your plates when you
    sell your car
    , and some charge stiff fines if you don’t. For example, New York charges drivers $8 per day until they receive the plates.
  • A
    minimum amount of car insurance
    is required to register a vehicle in every state except New Hampshire and Virginia. Your DMV may require you to keep an insurance policy active until you surrender your plates or at least turn them in right after canceling your policy.
  • You’ll face a license suspension if you have a
    lapse in insurance
    on the plates.
The bottom line: The DMV may require you to keep an active
car insurance
policy as long as you still have your plates—and definitely if you haven’t sold your car yet. Never cancel car insurance until the sale has been finalized and you are certain of your state’s license plate requirements.
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