Auto insurance for foreign drivers: A guide for visitors and residents

Overview: Navigating car insurance in the U.S. can be challenging for foreign drivers, Requirements vary by situation and state, with most states mandating liability insurance and often requiring a valid driver’s license, which may be your home country’s license, an International Driving Permit (IDP), or a U.S. license. Some insurance options include liability, personal injury protection, uninsured motorist coverage, and collision and comprehensive coverage. Foreign drivers may face additional documentation needs and could be considered new drivers, affecting rates. It is crucial to check state DMV rules, because driving without insurance risks fines and license suspension.

Navigating the car insurance world can be difficult, especially for foreign drivers in the United States. Whether you’re just visiting or planning a move to the U.S., there are specific requirements for driving that may differ from other countries. That’s why understanding when car insurance for foreign drivers is needed and what coverages to consider before you begin your travels.

When is car insurance for foreign drivers needed?

 

The table below may provide guidance for your situation.

Can I obtain car insurance with an international driver’s license?

It may be possible for the short term. However, there may be cases where some insurance companies don’t offer insurance to foreign drivers until they have a U.S. driver’s license. Depending on the country you’re from and the state you’ll be driving in, you may be able to use your home country’s driver’s license temporarily until you can obtain a U.S. license.

Additionally, you can obtain an International Driving Permit (IDP), sometimes called an international driver’s license, which allows you to legally drive in the U.S. and many other countries for up to one year (whereas your country’s license may only be valid for three months).

Consider checking with the local Department of Motor Vehicles (DMV) and a State Farm® insurance agent to see what rules may apply to your specific situation.

Insurance selection process for foreign drivers

When it comes to car insurance, various factors can influence cost, such as the coverage that you choose. Also, if you don’t have a driving history established in the U.S., you may be considered a “new driver.” Finding the right auto insurance may seem overwhelming, but the following key steps could help simplify your decision-making process:

1. Gather important documents, such as your driver’s license from your home country and international driver’s permit.
2. Understand the policies that provide you with the coverage for your needs.
3. Compare insurance quotes from companies that offer auto insurance for foreign drivers.
4. Confirm the minimum requirements needed in your state.

What type of car insurance does a non-citizen need?

To help determine what type of car insurance is required, contact the DMV in the state in which you’ll be driving. Below are the most common types of coverage you may encounter:

• Liability coverage — most states require at least liability car insurance, which generally pays for property damage and medical costs for injuries to others if you are considered at fault in an accident.
• Personal injury protection (PIP) or medical payments (MedPay) coverage — some states have minimum requirements for medical protection. PIP or MedPay may cover your medical expenses after an accident. In certain states, PIP or MedPay is mandatory in addition to liability coverage.
• Uninsured or underinsured motorist coverage — some states require uninsured or underinsured motorist coverage, which may help pay for expenses if you’re in an accident with a motorist who is at fault but doesn’t have insurance or doesn’t have enough insurance to cover the resulting costs or damages. In certain states, uninsured and underinsured are mandatory in addition to liability coverage.
• Collision and comprehensive coverage — these two types of coverage are not mandated in any state. However, collision coverage can help pay to repair damage to your vehicle resulting from an accident and comprehensive coverage can help pay to repair damage from non-collision events. Your lienholder or leasing company may require these coverages.

Additional answers to common questions

The following questions and answers address concerns beyond the basics of coverage type:

• Who does car insurance help protect? — It helps protect you. If you have an accident or non-accident event and no insurance, you might have to pay out-of-pocket. Not only for vehicle repairs, but also for medical expenses for both you and the other people involved.
• What if I’m traveling from Canada? — Before traveling to the U.S., consider checking with your auto insurance carrier to verify coverage for your trip. If you are moving to the U.S., you’ll need to get a license, register your car at the DMV in your new home state and obtain insurance.
• What happens if I drive without insurance and don’t get into an auto accident? — Driving without insurancecan result in penalties that may include fines or the risk of having your license and registration suspended or revoked and could also result in the car being towed or other legal penalties.

Connect with an agent to learn more

Driving in the U.S. as a visitor or immigrant requires understanding local insurance requirements and regulations. In short, there is a lot to learn, but you don’t have to learn it all on your own. You can connect with a State Farm agent today. If you need a bilingual agent, you can find one under “Advanced search options.”