Car insurance for foreign drivers in USA

If you are a foreign national planning a trip to the United States, you may be wondering how to handle car insurance during your trip. After all, reliable transportation is essential in most U.S. metros, and you may need to rent a car or obtain access to a vehicle through other means to allow you to travel on your trip. The answer is that the requirement for car insurance for foreign drivers in the United States varies depending on a variety of factors, such as whether the visit is short-term or long-term, and the purpose of the trip.

The good news is that non-U.S. citizens can obtain car insurance in the United States, whether they are permanent residents or visiting temporarily as tourists, or are here on an F1 student visa or an H-1B specialty worker visa. Furthermore, nearly 45 million immigrants lived in the United States in 2019, accounting for 14% of the total population, indicating that this type of car insurance is in high demand. If you are a foreign-born driver in need of car insurance, the best car insurance companies in the United States will usually provide competitive options.

U.S. car insurance for short-term visitors

Short-term visitors are people who come to the country for a few days or weeks for business or pleasure. Short-term visitors who intend to drive typically rent a car during their stay. As a result, purchasing rental car insurance from the car rental company is likely to be the most prudent option for short-term visitors. If you're only visiting the United States for a short time, you won't be able to buy an insurance policy from a stand-alone car insurance provider.

Vehicle rental companies typically provide a base level of liability coverage, as well as collision coverage/loss-and-damage waiver, personal effects coverage, and personal accident coverage. Choosing from these rental car insurance options is probably the simplest way to obtain car insurance for a short-term stay in the United States.

While in the United States, Canadian drivers can usually use their existing auto insurance. Your Canadian auto insurance policy may also cover a rental car. Before traveling, you should check with your auto insurance company and/or the rental car company to confirm the limits of your car insurance.

U.S. car insurance for long-term visitors

Longer-stay Visitors on a visa, such as students or specialized workers, may have difficulty obtaining affordable insurance coverage if they do not have a driver's license in the United States. The good news is that it is possible to obtain car insurance as a non-resident of the United States.

Long-term visitors may want to apply for a driver's license in the United States, even if they already have a foreign license. Having an American driver's license and record may help foreign drivers save money on car insurance in the long run.

International drivers permits

If you intend to drive in the United States with a driver's license from your home country, be aware of the local rules regarding how long you can legally drive using a foreign license. You may only be able to drive for up to three months with an overseas driver's license.

If you plan to stay in the United States for more than a few weeks, some states recommend obtaining an international driver's license. Even if an IDP is not required, having one is a good idea. The document does not replace your foreign-held driver's license; rather, it is a translation of it. If you are stopped, the officer can check the translation of your foreign driver's license in the IDP booklet in the language of their choice to ensure that you are a valid driver.

Contact your home country's traffic or motor vehicles agency to apply for an international driver's permit before you leave. It takes about two weeks to receive your IDP, so apply as soon as possible. An IDP is typically valid for one year from the date of issue and includes the information that appears on your driver's license. You must provide a passport-style photo for the agency to attach to the IDP.

U.S. car insurance requirements

Car insurance for foreign drivers in the United States is also affected by where you intend to stay. Each state in the United States has its own set of rules and insurance requirements. To legally drive, most states only require liability insurance, which pays for the damages and losses you cause to others. A few states also require underinsured/uninsured motorist insurance, which pays your expenses if the party at fault does not have insurance.

Drivers in no-fault states carry personal injury protection (PIP) and/or medical payments coverage to cover their medical expenses regardless of fault. Drivers in these states must still carry liability insurance and are liable for any damages caused in a collision. PIP covers medical and burial expenses, lost wages, childcare costs, and other household services regardless of who is at fault in the accident. Medical payments insurance only covers medical expenses.

Car insurance rates vary by state due to local factors such as the cost of living, population density, and crash statistics. Your car insurance rates will also differ depending on whether you have full or minimum coverage. While minimum coverage auto insurance is usually less expensive, it can leave you financially vulnerable in the event of an accident. If your car insurance does not cover the full cost of the damages, you may be forced to pay out of pocket. In addition, minimum coverage excludes coverage for damage to your own vehicle. Full coverage car insurance, on the other hand, covers your vehicle and may include other optional types of coverage, as well as being more likely to protect your finances.

Do I need to buy car insurance if I visit the U.S.?

Car insurance is required by law for all foreign visitors operating a vehicle in the United States (except in New Hampshire), regardless of length of stay. If you intend to drive a rental car in the United States, most rental companies will give you the option of purchasing coverage for the entire rental period, as the protection extends to the rental vehicle itself.

Instead, some foreign visitors choose to ship their foreign vehicles to the United States. This option will necessitate the purchase of a separate car insurance policy before you can legally operate your vehicle on US roads. Many of the cheapest car insurance companies can assist you in obtaining the appropriate amount of coverage for your foreign vehicle at an affordable rate, allowing you to begin driving as soon as it arrives in the United States.