Cancelled NC Auto Insurance BEFORE Turning In the License Plate (DMV, tax)

[ScarlettGG]

Hi all, I have a question about the NC license plate turn in policy.
I changed my insurance coverage from NC to CA at Feb 15. I was planning to get the CA license plate at the same date but failed to do that. Then I got my CA license plate at Feb 23, and mailed my NC license plate to NC-DMV at Feb 26.
I just saw that it said "Do not cancel your North Carolina liability insurance coverage before you turn in your plate or you will be fined" on NC-DMV website. It confused me. Before obtain the CA license plate, I have to keep my NC license plate. To get the CA license plate, I have to have CA insurance. So it will always have a time when you keep NC license plate (not in operation) but don't have NC insurance coverage unless you have two states insurance coverages at the same time.
Can anyone help me with this puzzle? Will I get the penalty from NC-DMV in my situation?

[rfburns]

Are you coming back to NC? If not, it's a non-issue. They may revoke any future NC registration for that particular vehicle until you pay a fine, but if you're staying registered in CA and not coming back here, there's nothing they can or will do.

[ScarlettGG]

I don't have a plan to come back. Hopefully it is ok. Thank you!

[BlessedLife]

I wouldn't be so sure that you won't be fined. It happened to me last year. I didn't turn in my plate that quickly though - it was a few weeks later that I got the nastygram from the NC DMV as well as a $50 fine. I called and talked to the DMV and the representative could not give me an explanation of how I could accomplish what they were asking for when moving out of state. I understand the need to keep liability insurance but think it's ridiculous to have a system set up that basically penalizes people who move out of state.

[ScarlettGG]

Thank you! I am going to see whether they will fine me, then I will try to argue.

[gsoboi78]

I had a situation with one of my vehicles and I did turn my plate in before I cancelled my insurance. In fact the agent even asked me if I turned my plate in.

[BlessedLife]

Originally Posted by gsoboi78

I had a situation with one of my vehicles and I did turn my plate in before I cancelled my insurance. In fact the agent even asked me if I turned my plate in.

Was your "situation" moving out of state? We had "situations" in which we turned in plates to the DMV while living in state (selling a vehivle or having one totalled) - that was no problem. The impossible situation occurs when you must drive that vehicle to a new state and get insurance and new plates there before turning in your NC plates.

And to the OP - I tried to argue/reason with the DMV. It was no use. In fact I was told if I didn't pay, I would incur additional fines. Keep in mind I had a slim window for any action because of course the nastygram from the DMV had been sent to my old address and was then forwarded to my new address, so the fine was due within a week of when I got the notice.

Still kind of burns me when I think about that.

[BC1960]

Originally Posted by BlessedLife

Was your "situation" moving out of state? We had "situations" in which we turned in plates to the DMV while living in state (selling a vehivle or having one totalled) - that was no problem. The impossible situation occurs when you must drive that vehicle to a new state and get insurance and new plates there before turning in your NC plates.

And to the OP - I tried to argue/reason with the DMV. It was no use. In fact I was told if I didn't pay, I would incur additional fines. Keep in mind I had a slim window for any action because of course the nastygram from the DMV had been sent to my old address and was then forwarded to my new address, so the fine was due within a week of when I got the notice.

Still kind of burns me when I think about that.

Why is that impossible? Once you get new insurance and new plates in your new state, mail the NC plate back to NC DMV and cancel NC insurance.

[gsoboi78]

Originally Posted by BlessedLife

Was your "situation" moving out of state? We had "situations" in which we turned in plates to the DMV while living in state (selling a vehivle or having one totalled) - that was no problem. The impossible situation occurs when you must drive that vehicle to a new state and get insurance and new plates there before turning in your NC plates.

And to the OP - I tried to argue/reason with the DMV. It was no use. In fact I was told if I didn't pay, I would incur additional fines. Keep in mind I had a slim window for any action because of course the nastygram from the DMV had been sent to my old address and was then forwarded to my new address, so the fine was due within a week of when I got the notice.

Still kind of burns me when I think about that.

Mine wasn't moving out of state. Fortunately my vehicle was already parked and did not have to drive it.

[BlessedLife]

Originally Posted by BC1960

Why is that impossible? Once you get new insurance and new plates in your new state, mail the NC plate back to NC DMV and cancel NC insurance.

As the OP stated, you would have to carry two insurance policies from two different states at the same time. I'm no insurance guru, but I've always been under the impression that if two different insurance companies cover you for the same thing, and something happens, they will each try to get the other to pay, leaving you in limbo. Also I couldn't stick with the same insurance company in both states because we had NC Farm Bureau. Also, frankly, I have plates from two other states - NC is the only one that seems to care so deeply about this. I knew I had to turn in the plate (and I'm not sure a lot of other people know of this requirement, because it's not very common), but I did think I had some sort of grace period, and I was always covered by liability insurance at all times (it just switched companies and states). I honestly thought at the time the main reason to turn in the plate was to obtain the refund on tax collected for it during the year.