If you plan to drive in the US with an international driver’s license, car insurance is an essential step. This not only ensures the safety of you and other passengers, but also helps comply with US laws.
In this blog, we will tell you how to buy car insurance with an international driving license, what challenges you may face, and what are the main factors affecting its cost.
Overview of Car Insurance for International Drivers
Car insurance for international drivers is an important part of driving safely and legally on US roads. For foreign drivers driving in the US, having the right insurance is not only a legal requirement, but it also provides protection against unexpected circumstances.
Whether you come to the US for work or just to visit, choosing the right car insurance should be your priority.
In this section, we will understand why car insurance is important for international drivers and how to overcome the major challenges that come with it.
Importance of Car Insurance for International Drivers
- Legal Compliance: Car insurance is mandatory in most states in the US. If you don’t have the right insurance, you may face legal action.
- Protection Guarantee: Insurance ensures your financial security during accidents or unexpected events.
- Insurance Companies Support: Insurance companies offer special plans to drivers working with an International Driving Permit (IDP) or a foreign license, making it easier for you to choose the right option.
- Confidence and Convenience: Having insurance allows you to drive on American roads without any worries.
Challenges Faced by International Drivers in the U.S.
1. Validity of License:
Recognition of an International Driver’s License (IDP) or foreign driver’s license varies across states in the United States.
- In some states, foreign licenses are recognized for a limited period of time.
- Having an IDP solidifies your identity and legal status.
2. Difficulty in finding insurance:
- US insurance companies usually rely on US driving records and licenses. Drivers holding foreign licenses may find it difficult to obtain insurance as they do not have a local driving record.
3. Cost:
- Higher premiums: Foreign drivers often have to pay higher premiums for insurance.
- Quotation Comparison: Choosing the most affordable insurance plan from multiple options requires time and research.
4. Language and cultural barriers:
- Insurance documents and terms are often complex. It may be challenging to understand if you are not fluent in English.
5. Short term insurance options:
- If you’re only staying in the US for a few months, the lack of short-term insurance options can be another problem.
Can You Purchase Car Insurance with an International Driver’s License?
Car insurance for international drivers is a vital requirement for driving on US roads. If you have an International Driver’s License and are planning to buy car insurance in the US, this guide will point you in the right direction.
In this section we will discuss the requirements for purchasing insurance and the validity of the International Driving Permit (IDP).
Requirements for Purchasing Insurance with a Foreign License
Buying insurance for international drivers can be easy if you keep these points in mind:
- International Driving License (IDP):
- IDP is a document recognizing your driving qualification, in addition to your mother tongue.
- It provides a translation of your domestic driver’s license and helps US insurance companies verify your identity and eligibility.
- Local Driving License:
- Foreign licenses are accepted in some states, but often have limited validity (30 to 90 days).
- For long-term stays you may need a US driver’s license.
- Insurance Provider:
- Select insurance companies that specifically provide services for international drivers.
- Have the correct documentation for your driving record and identification ready.
- Required Documents:
- Passport and Visa
- International or domestic driving license
- Vehicle details (if the vehicle is in your name)
- Proof of residence (e.g. hotel booking or apartment lease)
- Driving Record:
- If possible, provide driving records from your country.
- This may help reduce your premium.
Validity of International Driver’s Permits in the U.S.
- What is IDP?
- The International Driving Permit is a translated document that provides the information from your domestic driving license in 10 languages. This helps US authorities and insurance companies to recognize your driving qualifications.
- Limitations of IDP:
- The IDP is only valid with your domestic driving license.
- If your domestic license has expired, the IDP will also not be valid.
- This is not an independent license, but a support to your core license.
- Validity in US states:
- IDPs are granted temporary validity (usually 90 days) in most US states.
- In some states, an IDP may not be required if your domestic license is in English.
- Why is IDP important?
- It helps in buying insurance.
- This is required for identity verification.
- Simplifies communication with US officials.
- Tips for Driving in America:
- Confirm the validity of the IDP and the requirements in your insurance policy.
- Understand local state laws.
Steps to Get Car Insurance in the U.S.
If you’re an international driver and planning to buy car insurance in the US, the process may seem complicated. However, with the right information and strategies it can be simple and effective. The steps given below will help you choose and buy the right insurance option.
Understanding Insurance Options for Foreign License Holders
To obtain car insurance with an International Driver’s License, it is important that you understand your needs and the options available.
- Insurance Type:
- Liability Coverage: This helps in case of damage to other people’s vehicle and property.
- Comprehensive and Collision Coverage: This covers damage caused to your car, whether the accident is your fault or someone else’s.
- International Driving Records:
- If you have a good driving record in your country, some insurance companies may accept this and reduce your premium cost.
- Short-term and long-term options:
- If you’re in the US for a short period of time, purchasing short-term insurance may be a better option.
- Those staying for long periods of time should consider traditional insurance options.
Purchasing Insurance Through a Rental Car Company
If you’re renting a car in the US, the easiest way to purchase insurance may be through the rental car company.
- Benefits of Rental Car Insurance:
- Easy Process: The rental agency offers insurance options that are effective for the duration of your rental period.
- Instant Coverage: Insurance starts as soon as you pick up the car from the rental company.
- Customized Plan: You can choose liability, damage and other coverage options as per your requirement.
- Things to Keep in Mind:
- Rental car insurance can often be more expensive than traditional insurance.
- This is limited to your rental period only.
- Check the terms of your personal insurance policy or credit card coverage, which may cover the rental car.
Purchasing Insurance from Traditional Companies
Traditional insurance companies also provide coverage to holders of foreign licenses. However, this may require a little more documentation and research.
How to buy:
- Identify the insurance provider:
- Choose companies that cater to international drivers, like GEICO, Progressive, or State Farm.
- Prepare Documents:
- International Driving License (IDP)
- Passport and Visa
- Details of your vehicle
- Driving record (if available)
- Compare Premiums:
- Get quotes from different insurance companies and compare them based on their coverage and cost.
Benefit:
- long term coverage
- Affordable premium (if record is good)
- Comprehensive coverage options
Things to note:
- Purchasing insurance with a foreign license may take longer.
- Some companies may ask for local driving records.
Suggestion
- Take the time to understand your options.
- Keep documents ready and discuss your situation clearly with insurance providers.
- Evaluate your needs for short-term and long-term coverage.
Do Short-Term Visitors Need Car Insurance in the U.S.?
Insurance is required for visitors driving a car during a short-term visit to the US. Liability insurance is legally required for driving in most states. Whether you’re using a rental car or driving your own vehicle, not having insurance can lead to legal action and hefty fines.
Rental car companies also offer insurance coverage that may be appropriate for your travel period. Additionally, credit card insurance or temporary insurance plans are also options. Insurance ensures your safety and financial stability, making the journey seamless.
Circumstances Where Insurance is Mandatory
When driving in the US, car insurance becomes necessary in certain situations. Let’s take a look at these:
- Legal Mandatory:
- In most US states, liability insurance is mandatory for driving.
- This ensures that if an accident occurs due to your fault, the damage caused to other vehicles and property is compensated.
- Rental Car Companies Terms:
- If you are using a rental car, insurance may be a mandatory requirement.
- Some companies include insurance in the cost of your rental.
- While using own vehicle:
- If you are driving your car during a short-term trip, you may need to purchase insurance.
- Driving without insurance can result in heavy fines and legal action.
- Accidents and accidental risks:
- If you are involved in an accident, you may have to bear the entire burden of repairs and medical costs if you are not insured.
- Having insurance ensures that you are protected in such circumstances.
Insurance Options for Short-Term Visitors
If you are in the US for a few weeks or months, the following insurance options may be suitable for you:
- Rental Car Insurance:
- How it works:
- Rental companies offer liability and damage coverage.
- You can choose the policy as per your need.
- Benefit:
- Simple and convenient for short-term trips.
- Insurance is limited to the rental period.
- Keep in mind:
- This may be more expensive than traditional insurance.
- International Travel Insurance:
- Some international travel insurance plans may cover car accidents.
- Check the terms of your policy and make sure it is valid in the US.
- Traditional Insurance:
- If your trip is long, purchase a temporary insurance policy from American insurance companies.
- This option is more secure and provides comprehensive coverage.
- Credit Card Coverage:
- Some credit card companies offer rental car insurance.
- Read the terms of your credit card policy carefully.
Cost of Car Insurance for International Drivers
The cost of car insurance in the US for international drivers varies depending on the state and type of coverage. The table below shows the average cost per month, including “Liability Only” and “Full Coverage”.
| State | Liability Only (Monthly) | Full Coverage (Monthly) |
|---|---|---|
| North Carolina | $56 | $92 |
| Iowa | $56 | $125 |
| South Dakota | $58 | $135 |
| Alabama | $59 | $141 |
| Wyoming | $60 | $141 |
| New Hampshire | $61 | $122 |
| Wisconsin | $65 | $138 |
| Vermont | $66 | $153 |
| New Mexico | $68 | $164 |
| Idaho | $69 | $130 |
| Indiana | $72 | $141 |
| Tennessee | $72 | $154 |
| Ohio | $73 | $129 |
| Washington | $76 | $147 |
| Montana | $77 | $165 |
| West Virginia | $78 | $153 |
| Illinois | $80 | $171 |
| Kansas | $80 | $164 |
| North Dakota | $82 | $146 |
| Oklahoma | $84 | $175 |
| Rhode Island | $84 | $146 |
| Maine | $85 | $152 |
| Nebraska | $89 | $193 |
| Arizona | $91 | $176 |
| Mississippi | $92 | $209 |
| Pennsylvania | $94 | $174 |
| Oregon | $97 | $161 |
| Colorado | $97 | $219 |
| Missouri | $97 | $198 |
| Virginia | $104 | $185 |
| Minnesota | $104 | $196 |
| United States | $105 | $199 |
| Utah | $108 | $180 |
| Massachusetts | $115 | $205 |
| Texas | $120 | $237 |
| Arkansas | $122 | $261 |
| Louisiana | $126 | $235 |
| New Jersey | $130 | $195 |
| California | $139 | $272 |
| Kentucky | $146 | $249 |
| Georgia | $152 | $243 |
| Delaware | $154 | $211 |
| Florida | $154 | $241 |
| South Carolina | $167 | $271 |
| Washington D.C. | $170 | $253 |
| Michigan | $170 | $294 |
| Nevada | $183 | $298 |
| Maryland | $208 | $342 |
| Connecticut | $230 | $375 |
| New York | $335 | $434 |
Factors Affecting the Cost of Insurance
- Driving Record and Experience:
- Not having your driving record available in the US may cause insurance companies to consider you a high-risk driver.
- A clean driving record in your home country may reduce premiums.
- Type and validity of license:
- The validity of the International Driving Permit (IDP) or foreign driving license affects the premium.
- Having a US license may reduce the cost of insurance.
- Type of Insurance Coverage:
- Liability Coverage: This may be the cheapest due to the minimum requirements.
- Full Coverage: Includes comprehensive and collision, costs more.
- Vehicle Type:
- Insurance premiums for luxury and high-performance vehicles are higher than those for regular vehicles.
- The age of the vehicle and safety features also affect the cost.
- place:
- Insurance costs are higher in big cities because there is a higher risk of accidents and theft.
- It may be relatively cheaper in rural areas.
- Temporary vs Long Term Insurance:
- There are short-term insurance options available for short-term visitors, which can be expensive.
- Long-term insurance plans may be more affordable.
Average Monthly Premiums by Insurance Company and Coverage Level
The cost of car insurance in the US depends on the insurance company and type of coverage. The cost of the premium may vary if you choose minimum coverage or full coverage. The table below shows the average monthly premium offered by different companies:
| Company | Monthly Premium for Minimum Coverage | Monthly Premium for Full Coverage |
|---|---|---|
| Travelers | $45 | $122 |
| Infinity | $52 | $231 |
| Progressive | $57 | $180 |
| National General | $64 | $176 |
| Dairyland | $75 | $429 |
| Hallmark | $91 | $312 |
| Bristol West | $139 | $370 |
Conclusion
Car insurance is not only a legal requirement for international drivers in the US, but it is also a vital part of your safety and financial stability.
In this post we have discussed the process of buying insurance with an international driving license, its importance, challenges, and cost. Whether you are a short-term visitor or planning a long-term stay, choosing the right insurance plan can make your trip safe and stress-free.