Car Insurance for International Visitors & Foreign Drivers

If you drive a car in the United States, even if you are not a resident, you must have car insurance. The best car insurance for foreign drivers is determined by the length of time you intend to stay in the country. Short-term visitors to the United States can obtain rental car insurance directly from the rental company. Long-term foreign drivers who buy or bring a car to the United States should purchase a car insurance policy from a U.S. company. If you're staying for a few months, some states may require you to obtain a US driver's license.

Car insurance for short-term foreign visitors

People visiting the United States for a short period of time, such as on vacation, are unlikely to require car insurance from a stand-alone insurer. The most convenient option is to obtain temporary insurance directly from the car rental company. This coverage is similar to liability insurance, which pays for any damage or injuries you cause to another driver if you are found to be at fault in an accident.

• In addition to covering your legal liability in the event of an accident, most car rental companies will provide you with an additional layer of protection that pays for any damage to the car itself. The peace of mind provided by additional coverage is largely a personal decision based on your comfort level with driving in the United States and your tolerance for financial risk.

Furthermore, visitors from Canada, particularly those driving their own cars, will most likely be covered by their Canadian insurance while driving in the United States. Check with your insurance company and the laws of the state you intend to drive in.

Car insurance for long-term international visitors

Progressive offers foreign drivers with an international driver's license online car insurance quotes as low as $68 per month. That is only $2 per month more than a US citizen would pay.

If you plan on staying in the United States for a few months and purchasing or leasing a car, you must obtain your own insurance policy. Most states require auto insurance in order to register and drive a vehicle. Unfortunately, getting car insurance for international visitors is not always simple or inexpensive.

You may also be able to obtain coverage from well-known car insurance companies by contacting an insurance agent over the phone or in person. For example, State Farm requires you to enter your Social Security Number or driver's license number to get a quote online — but you can call to speak with an agent who specializes in helping drivers with foreign licenses get car insurance.

Local insurance companies that sell auto insurance to foreign drivers

A few smaller car insurance companies advertise that they provide coverage for drivers with foreign licenses. However, some of these providers, such as Infinity and Gainsco, specialize in working with high-risk drivers, so their rates may be higher.

Among the small insurance companies that offer car insurance to foreign drivers are:

• Dairyland
• Infinity
• Kemper
• Hallmark
• Gainsco
• Assurance

In general, visitors from other countries will pay more for car insurance. American car insurance companies base your rates on your driving history, such as how long you've been licensed and any recent accidents. An insurance provider will not have access to this information if you do not have a U.S. license and may charge you higher rates as a result.

License requirements differ by state, so check with your state's DMV to see if you need one. Regardless of local laws, comparing rates is the best way for any driver — whether they have a U.S. or foreign driver's license — to find affordable insurance.

United States car insurance requirements

Car insurance requirements vary by state in the United States, including the type and amount of coverage required. Fortunately, if you have coverage in one state that meets the legal limits, you will be covered if you temporarily relocate to another.

For example, if you fly into New York City and rent a car at the airport, you must obtain coverage that meets New York's limits. However, if you drive to another state, such as New Jersey or Pennsylvania, you won't have to worry about meeting the state's auto insurance requirements. In addition, insurance companies and rental car companies will usually not sell you coverage that is less than the legal minimum.

Common required car insurance coverage

• Liability coverage: Pays the other driver's medical and car repair expenses if you cause a crash.
• Uninsured/underinsured motorist coverage: Pays for your own medical and car repair costs if another driver causes a collision but does not have insurance.
• Personal injury protection: Pays for your medical bills following a car accident, regardless of who is at fault.

Not all of these coverages are required or available in every state, so check with your host state's Department of Motor Vehicles (DMV) if you're unsure.

In California, for example, the minimum insurance requirements are as follows:

The state insurance minimum will be the cheapest, but there are drawbacks to purchasing the smallest amount of insurance allowed. In many states, purchasing the bare minimum of insurance only covers the other driver's injuries and damages, leaving you to pay for repairs to your own vehicle.

Do I need an international driver's permit as a foreigner in the U.S.?

Foreign residents must have their foreign license with them when driving in the United States. To legally drive within their borders, some states also require foreign residents to have an international driver's permit (IDP).

An IDP is a document issued by your home country in which your driver's license is translated into several languages, including English. Because the permit is simply a translation of your regular license, you'll need both to be considered "licensed" in places that require it. You will need to obtain an IDP before arriving in the United States because the country does not provide them to international visitors.

• We recommend obtaining an IDP when visiting the United States, even if state law does not require it. An IDP will save you time and trouble if you get into a car accident or are pulled over, especially if your home license is not in English. It also enables you to freely travel between states.

An IDP is sometimes referred to colloquially as a "international driver's license" or IDL. This is, however, an incorrect term, and any organization claiming to issue or accept an IDL is most likely a scam.

You may be required to get a U.S. license

Depending on the laws in your destination state, you may be required to obtain a local driver's license in order to legally drive there. In Florida, for example, international visitors who stay for more than six months or work there must obtain a Florida driver's license.

How to get car insurance as an undocumented immigrant

To drive a car, all states require a license, and most also require auto insurance. This can be a serious problem for undocumented immigrants. You cannot purchase an auto insurance policy that allows you to drive if you do not have a driver's license.

You can obtain a driver's license in any state if you are eligible for the Deferred Action for Childhood Arrivals (DACA) program.

However, if you are not eligible, you may be unable to obtain a driver's license and, as a result, insurance. Undocumented immigrants can currently obtain driver's licenses in only 16 states and the District of Columbia.

The process for obtaining a driver's license as an undocumented immigrant varies by state, so check your state's DMV website for instructions. The following states allow unauthorized immigrants to obtain a driver's license:

• California
• Colorado
• Connecticut
• Delaware
• Hawaii
• Illinois
• Maryland
• Nevada
• New Jersey
• New Mexico
• New York City
• Oregon
• Utah
• Vermont
• Virginia
• Washington