Car Insurance for Immigrants: What to Know

Foreign drivers can get car insurance from rental car agencies or U.S. insurance companies, but the process may vary by state and by your immigration status.

Sarah Archambault
Sarah Archambault
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Sarah enjoys helping people find smarter ways to spend their money. She covers auto financing, banking, credit cards, credit health, insurance, and personal loans.

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Ashley Cox
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Konstantin Halachev
Data reviewed byKonstantin Halachev
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Konstantin HalachevVP of Engineering & Data Science
  • 7+ years experience in data analysis

  • Ph.D. in Computational Biology

Konstantin has led data teams across multiple industries, including insurance, travel, and biology. He’s led Insurify’s engineering team for more than three years.

Updated December 25, 2024

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Insurify’s drivers have found rates ranging from $34/mo. to $239/mo. in the last few days

*Quotes generated for Insurify users within the last 10 days. Last updated on December 25, 2024. Actual quotes may vary based on the policy buyer’s unique driver profile.

Rates shown are real-time Insurify user quotes from 100+ insurance companies and Quadrant Information Services data. Insurify’s algorithm excludes anomalous quotes and anonymizes personal details, then displays refined quotes by price, date, and insurer popularity up to 10 days ago from December 25, 2024. Actual quotes may vary based on the policy buyer’s unique driver profile.

*Quotes generated for Insurify users within the last 10 days. Last updated on December 25, 2024. Actual quotes may vary based on the policy buyer’s unique driver profile.

Rates shown are real-time Insurify user quotes from 100+ insurance companies and Quadrant Information Services data. Insurify’s algorithm excludes anomalous quotes and anonymizes personal details, then displays refined quotes by price, date, and insurer popularity up to 10 days ago from December 25, 2024. Actual quotes may vary based on the policy buyer’s unique driver profile.

Whether you’re moving to the U.S. or just visiting, you’ll need car insurance to legally operate a vehicle. Even if you have a foreign license from your home country, U.S. insurers will still consider you a new driver, and you’ll pay higher rates.

Finding affordable car insurance as an immigrant can be complicated, especially for undocumented immigrants. Below, you’ll learn how to navigate the process so you can secure the coverage you need to drive safely and confidently.

Quick Facts
  • Most insurers only consider U.S. driving history when making policy decisions.

  • New drivers typically face higher rates than more experienced ones.

  • You can reduce costs by comparing quotes from multiple companies and bundling your insurance policies.

When foreign drivers need U.S. car insurance

All U.S. states except New Hampshire require drivers to carry auto insurance. Foreign drivers visiting the U.S. and renting a car can typically get temporary car insurance through the rental agency. But if you plan to stay for an extended period of time or move to the U.S., you’ll need to get a standard American insurance policy.

To get car insurance, you’ll need a driver’s license. Some insurers may allow you to use your foreign license, but you may also need an international driving permit (IDP), depending on the state you’re driving in. An IDP is not a license but instead proof that you’re licensed to drive in your home county. If you move to the U.S., you may also need to get a driver’s license in the state where you reside.[1]

How car insurance works in the U.S.

Car insurance protects drivers from the costs of accidents, damage, and other unforeseen incidents on the road. It also covers property damage and medical treatment for injuries sustained by drivers and passengers. If you don’t have car insurance, you’ll be responsible for covering vehicle expenses out of your own pocket.

These are the main types of car insurance coverage:

  • illustration card https://a.storyblok.com/f/162273/150x150/0ee044afbd/car-and-driving-96x96-orange_039-car-accident.svg

    Liability

    Liability insurance includes coverage for bodily injury and property damage. If you cause an accident, bodily injury pays the injured person’s medical expenses and property damage helps cover the repair costs of the other person’s vehicle or other damaged property.

  • illustration card https://a.storyblok.com/f/162273/x/665da91bf7/comprehensive-coverage.svg

    Comprehensive

    You’re not required to carry comprehensive insurance, but it’s often included in full-coverage car insurance policies. It covers damages caused by non-collision incidents, such as theft, vandalism, fire, hail, and animals.

  • illustration card https://a.storyblok.com/f/162273/x/7b43b14514/damage-from-aircraft.svg

    Collision

    Like comprehensive coverage, collision insurance is also optional. It covers vehicle damage from a collision with another car or object, such as a tree or fence.

  • illustration card https://a.storyblok.com/f/162273/150x150/7e47a00c4f/car-dashboard-96x96-green_045-airbag.svg

    Personal injury protection

    Also known as no-fault insurance, personal injury protection helps with medical bills, lost income, and funeral expenses for you and your passengers, regardless of fault.

  • illustration card https://a.storyblok.com/f/162273/150x150/95fa30ac35/insurify-icons-auto-orange-96x96_005-insurance.svg

    Uninsured/underinsured motorist

    Uninsured/underinsured motorist coverage protects you if a driver who doesn’t have auto insurance hits you or if you’re the victim of a hit-and-run.

Driving without car insurance exposes you to various financial and legal risks. If you’re caught driving without an active insurance policy, you’ll receive a fine, and some states will even revoke your license. And if you cause an accident while driving without insurance, you’ll be liable for property damage and bodily injury costs.

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How car insurance works for undocumented immigrants

Most insurers require you to have a driver’s license to obtain coverage, so foreign drivers will need to first get a license in order to buy a policy. In 16 U.S. states and Washington, D.C., undocumented drivers are allowed to get their driver’s licenses without proof of legal presence in the U.S.[2]

But you’ll still likely need to provide proof of residency and some identification.[3]

If you’re unsure whether you qualify, check with your state motor vehicle department or the Deferred Action for Childhood Arrivals (DACA) program. Like all foreign drivers, undocumented immigrants will likely pay higher rates with most insurance companies. So, it may pay to shop around to find the best rate once you have a driver’s license.

How much does car insurance for immigrants cost?

The average cost of car insurance in the United States is $153 per month. And since insurance companies treat immigrants as new drivers, their rates may be more expensive than rates for other U.S. drivers. Maintaining safe driving habits, taking advantage of discounts, and comparing car insurance quotes are some of the best ways to save money on your policy.

The below rates are estimated rates current as of: Sunday, December 1 at 11:00 AM PST
Data reviewed by Konstantin Halachev
Headshot of Konstantin Halachev, VP of Engineering at Insurify
Konstantin HalachevVP of Engineering & Data Science
  • 7+ years experience in data analysis

  • Ph.D. in Computational Biology

Konstantin has led data teams across multiple industries, including insurance, travel, and biology. He’s led Insurify’s engineering team for more than three years.

State Name
Liability Only
Full Coverage
North Carolina$95$163
Wyoming$107$257
Iowa$109$246
New Hampshire$110$229
Alabama$113$273
Wisconsin$114$246
Vermont$117$266
South Dakota$127$290
Tennessee$129$278
Idaho$130$249
Hawaii$131$250
Indiana$131$258
Montana$135$288
New Mexico$136$336
Ohio$140$249
Washington$141$279
Illinois$148$325
Kansas$151$314
Rhode Island$151$266
Pennsylvania$151$283
West Virginia$158$310
Mississippi$164$385
Maine$168$301
Oklahoma$169$355
North Dakota$171$307
Colorado$176$399
Nebraska$178$393
Utah$187$315
Missouri$188$393
Arizona$190$373
Virginia$190$343
Oregon$194$320
Minnesota$204$389
Arkansas$211$456
New Jersey$213$356
Washington D.C.$218$353
Texas$223$444
California$228$454
Michigan$238$412
Massachusetts$244$449
Delaware$246$336
Florida$259$407
Louisiana$275$509
Georgia$302$485
South Carolina$314$516
Kentucky$317$533
Maryland$323$536
Nevada$333$553
Connecticut$406$677
New York$594$752
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer's unique driver profile.

Best car insurance companies for immigrants

Some car insurance companies won’t work with foreign drivers, but it’s still possible to find car insurance coverage in the U.S. Start your search with the insurance companies below.

Progressive: Best for discounts

JD Power
J.D. Power data measures overall customer satisfaction and claims satisfaction based on a 1,000-point scale.
819
IQ Score
The Insurify Quality (IQ) Score uses more than 15 criteria to objectively rate insurance companies on a one-to-ten scale. The Insurify editorial team researches insurer data to determine the final scores.
8.4 /10
Liability Only
Liability-only insurance, sometimes called minimum-coverage insurance, pays for bodily injury and property damage to others in an accident the policyholder causes. It does not pay for the insured’s own damages.
$97/mo
Full Coverage
Full-coverage car insurance generally includes liability, collision, and comprehensive coverage, and may include other optional coverages such as uninsured motorist coverage. Collision covers a policyholder’s repair or replacement costs in case of an accident. Comprehensive covers damages caused by non-accident events. The average quote displayed here reflects policies with the following coverage limits: $50,000 bodily injury liability per person; $100,000 bodily injury liability per accident; $50,00 property damage liability per accident; $1,000 collision deductible; and a $1,000 comprehensive deductible.
$152/mo
How drivers feel about Progressive

Drivers appreciate the professional service and accident forgiveness but dislike the high prices and frequent rate increases.

AI-generated from the text of verified reviews collected by Insurify
Best For
Competitive rates
Easy buying process
Telematics program
How drivers feel about Progressive

Drivers appreciate the professional service and accident forgiveness but dislike the high prices and frequent rate increases.

AI-generated from the text of verified reviews collected by Insurify
Best For
Competitive rates
Easy buying process
Telematics program
Reviews (5,909)

Joe

December 24, 2024

Verified Review

Good

Okay, I've never had a claim. They seem a little expensive!

Peter

December 24, 2024

Verified Review

Deceptive Practices

They quoted a price, but then refused to provide insurance. No reason was given. They simply referred me to local agents, from whom I am still waiting for quotes.

Tom

December 24, 2024

Verified Review

Absolutely the Best - Progressive

If you want the best price, coverage, and response, you have to go with Progressive.
See all Progressive reviews
JD Power
J.D. Power data measures overall customer satisfaction and claims satisfaction based on a 1,000-point scale.
819
NAIC Index
Average amount of customer complaints relative to competitors on a 0-5 scale. A lower score represents fewer complaints.
0.82
A.M. Best
A.M. Best analyzes an insurer’s financials, operating performance, business profile, and other factors to generate an opinion-based rating of a company’s financial and credit strength. Ratings range from A++ (exceptional) to D (poor).
A+
Why we picked this company

Foreign drivers in the U.S. might look to Progressive for coverage, which offers competitive rates and insures drivers with an IDP or recognized foreign license. If you enroll in Snapshot, the company’s safe-driving program, the company says you could save more than $200 on your premiums, on average.

Several discounts are also available, including those for being a good student, signing your policy documents online, setting up automatic payments, and going three years without an accident or moving violation.

Pros
  • Insures drivers with a recognized foreign license or an IDP

  • Numerous available discounts to help drivers save

  • A+ (Superior) financial strength rating from AM Best

Cons
  • People enrolled in Snapshot program could see rates increase if they demonstrate unsafe driving habits

  • Below-average J.D. Power claims satisfaction rating

  • Negative customer reviews on Trustpilot

Liberty Mutual: Best for safe drivers

User Reviews
3.7
IQ Score
The Insurify Quality (IQ) Score uses more than 15 criteria to objectively rate insurance companies on a one-to-ten scale. The Insurify editorial team researches insurer data to determine the final scores.
7.7 /10
Liability Only
Liability-only insurance, sometimes called minimum-coverage insurance, pays for bodily injury and property damage to others in an accident the policyholder causes. It does not pay for the insured’s own damages.
$162/mo
Full Coverage
Full-coverage car insurance generally includes liability, collision, and comprehensive coverage, and may include other optional coverages such as uninsured motorist coverage. Collision covers a policyholder’s repair or replacement costs in case of an accident. Comprehensive covers damages caused by non-accident events. The average quote displayed here reflects policies with the following coverage limits: $50,000 bodily injury liability per person; $100,000 bodily injury liability per accident; $50,00 property damage liability per accident; $1,000 collision deductible; and a $1,000 comprehensive deductible.
$257/mo
3.7
A solid optionBased on 2,717 verified guest reviews and ratings
How drivers feel about Liberty Mutual

Drivers appreciate the initial low prices, quick claims handling, and easy account access but dislike the significant price increases over time.

AI-generated from the text of verified reviews collected by Insurify
Best For
Numerous discounts
New and financed vehicles
Accident forgiveness
How drivers feel about Liberty Mutual

Drivers appreciate the initial low prices, quick claims handling, and easy account access but dislike the significant price increases over time.

AI-generated from the text of verified reviews collected by Insurify
Best For
Numerous discounts
New and financed vehicles
Accident forgiveness
Reviews (1,586)

Sinisa

December 22, 2024

Verified Review

There's no appreciation for returning customers. The price is constantly increasing despite having no claims. If the rates go up in the next six months, which I believe they will, I'll switch.

There's no appreciation for returning customers. The price is constantly increasing despite having no claims. If the rates go up in the next six months, which I believe they will, I'll switch.

Searle

December 19, 2024

Verified Review

Fair

They don't give you any discounts.

Kenneth

December 19, 2024

Verified Review

Steer Clear of This Greedy Insurer

Steer clear of this company. They continue to raise rates regardless of how safe a driver you are.
See all Liberty Mutual reviews
JD Power
J.D. Power data measures overall customer satisfaction and claims satisfaction based on a 1,000-point scale.
819
NAIC Index
Average amount of customer complaints relative to competitors on a 0-5 scale. A lower score represents fewer complaints.
3.95
A.M. Best
A.M. Best analyzes an insurer’s financials, operating performance, business profile, and other factors to generate an opinion-based rating of a company’s financial and credit strength. Ratings range from A++ (exceptional) to D (poor).
A
Why we picked this company

Liberty Mutual offers several discounts to help safe drivers save, including a claims-free discount and a discount for not having any moving violations on your driving record. If you enroll in the company’s safe-driving program, RightTrack, you’ll get an initial discount of 10% for participating, and you could save up to 30% for completing the program.

Pros
  • Drivers can save up to 30% with the RightTrack safe-driving program

  • Above-average J.D. Power claims satisfaction rating

  • A (Excellent) financial strength rating from AM Best

Cons
  • May not have the cheapest car insurance rates

  • J.D. Power consistently rates it below average for customer satisfaction

  • Negative customer reviews on Trustpilot

State Farm: Best for customer satisfaction

User Reviews
4.2
IQ Score
The Insurify Quality (IQ) Score uses more than 15 criteria to objectively rate insurance companies on a one-to-ten scale. The Insurify editorial team researches insurer data to determine the final scores.
9.3 /10
Liability Only
Liability-only insurance, sometimes called minimum-coverage insurance, pays for bodily injury and property damage to others in an accident the policyholder causes. It does not pay for the insured’s own damages.
$54/mo
Full Coverage
Full-coverage car insurance generally includes liability, collision, and comprehensive coverage, and may include other optional coverages such as uninsured motorist coverage. Collision covers a policyholder’s repair or replacement costs in case of an accident. Comprehensive covers damages caused by non-accident events. The average quote displayed here reflects policies with the following coverage limits: $50,000 bodily injury liability per person; $100,000 bodily injury liability per accident; $50,00 property damage liability per accident; $1,000 collision deductible; and a $1,000 comprehensive deductible.
$119/mo
4.2
Best choiceBased on 9,278 verified guest reviews and ratings
How drivers feel about State Farm

Drivers appreciate the helpful local agents and initial service but dislike the high prices and frequent rate increases.

AI-generated from the text of verified reviews collected by Insurify
Best For
Customer service
Competitive rates
Discounts for safe drivers
How drivers feel about State Farm

Drivers appreciate the helpful local agents and initial service but dislike the high prices and frequent rate increases.

AI-generated from the text of verified reviews collected by Insurify
Best For
Customer service
Competitive rates
Discounts for safe drivers
Reviews (5,096)

Andrew

December 24, 2024

Verified Review

Drive Sensors are a Scam

Their 'Drive Safe and Save' setup is a scam that kills my discount. No matter how gently I brake, it registers it as a hard brake. Even when I present them with dash cam video that has the same timestamp and GPS location, they claim their inexpensive device is more accurate than my high-end dash cam.

Mary

December 23, 2024

Verified Review

Rob Becker State Farm is Perfect!

Rob Becker is wonderful! He always answers my calls and provides excellent service. My car has never been in better hands!

Steve

December 23, 2024

Verified Review

Insurance

The coverage is good, but after a few years, the price skyrockets despite having no claims in the last 5 to 6 years for both home and auto.
See all State Farm reviews
JD Power
J.D. Power data measures overall customer satisfaction and claims satisfaction based on a 1,000-point scale.
842
NAIC Index
Average amount of customer complaints relative to competitors on a 0-5 scale. A lower score represents fewer complaints.
0.78
A.M. Best
A.M. Best analyzes an insurer’s financials, operating performance, business profile, and other factors to generate an opinion-based rating of a company’s financial and credit strength. Ratings range from A++ (exceptional) to D (poor).
A++
Why we picked this company

State Farm is the largest insurance company in the U.S. by market share and has a long-standing history in the insurance industry. J.D. Power consistently rates it highly for customer and claims satisfaction, indicating that policyholders are happy with the company.

If you have an IDP and meet your state’s requirements for a driver’s license, you should be eligible for coverage with State Farm.

Pros
  • Insures foreign drivers who meet their state’s requirements for a driver’s license, which could include an IDP

  • Above-average J.D. Power customer and claims satisfaction ratings

  • Many available discounts to help you save

Cons
  • Not as many discounts as some competitors

  • Doesn’t offer accident forgiveness coverage

  • Gap insurance not available

Hallmark: Best for non-owner insurance

User Reviews
4.1
IQ Score
The Insurify Quality (IQ) Score uses more than 15 criteria to objectively rate insurance companies on a one-to-ten scale. The Insurify editorial team researches insurer data to determine the final scores.
2.4 /10
4.1
Best choiceBased on 8 verified guest reviews and ratings
How drivers feel about Hallmark

Drivers appreciate the low premiums and friendly customer service but dislike the slow claims handling and outdated mobile app.

AI-generated from the text of verified reviews collected by Insurify
Best For
SR-22 insurance
Short-term coverage
Foreign-born drivers
How drivers feel about Hallmark

Drivers appreciate the low premiums and friendly customer service but dislike the slow claims handling and outdated mobile app.

AI-generated from the text of verified reviews collected by Insurify
Best For
SR-22 insurance
Short-term coverage
Foreign-born drivers
Reviews (4)

Michael

July 29, 2024

Verified Review

Hallmark is Great

They had the best rate at the time.

Michelle

September 7, 2023

Verified Review

Average

The pricing is mostly reasonable.

Jackie

September 30, 2019

Verified Review

Excellent

The prices are good and low.
JD Power
J.D. Power data measures overall customer satisfaction and claims satisfaction based on a 1,000-point scale.
NR
NAIC Index
Average amount of customer complaints relative to competitors on a 0-5 scale. A lower score represents fewer complaints.
2.35
A.M. Best
A.M. Best analyzes an insurer’s financials, operating performance, business profile, and other factors to generate an opinion-based rating of a company’s financial and credit strength. Ratings range from A++ (exceptional) to D (poor).
A-
Why we picked this company

Hallmark Financial Services offers car insurance for temporary residents, international students, and workers with foreign driver’s licenses. If you don’t own a car but still drive occasionally, you might want to consider a non-owner policy from Hallmark. This type of policy typically costs less than a standard car insurance policy, but it ensures you have enough coverage to drive legally.

Pros
  • Offers coverage to people with a foreign driver’s license

  • Non-owner policies available for infrequent drivers

  • A+ rating from the Better Business Bureau (BBB)

Cons
  • Available in only seven states

  • Not rated by J.D. Power for customer service or claims satisfaction

  • Poor AM Best financial strength rating

Kemper: Best for high-risk drivers

User Reviews
3.4
IQ Score
The Insurify Quality (IQ) Score uses more than 15 criteria to objectively rate insurance companies on a one-to-ten scale. The Insurify editorial team researches insurer data to determine the final scores.
5.4 /10
3.4
A solid optionBased on 270 verified guest reviews and ratings
How drivers feel about Kemper

Drivers appreciate the relatively low initial prices and decent customer service but dislike the frequent rate increases and lack of towing services.

AI-generated from the text of verified reviews collected by Insurify
Best For
Hard-to-insure drivers
SR-22 insurance
Affordable rates
How drivers feel about Kemper

Drivers appreciate the relatively low initial prices and decent customer service but dislike the frequent rate increases and lack of towing services.

AI-generated from the text of verified reviews collected by Insurify
Best For
Hard-to-insure drivers
SR-22 insurance
Affordable rates
Reviews (141)

Christina

December 12, 2024

Verified Review

Never use Kemper… the turtle did NOT win the race!

My experience with Kemper was not good at all. The only positive aspect was the premium I paid, but as the saying goes, 'you get what you pay for.' I can confirm this is true. I would not recommend Kemper to anyone because when I had an at-fault accident, they were slow to start processing my claim. It took at least 2 weeks for an adjustor to be assigned to my claim. Even then, the adjustor was not easy to reach. The shop where I took my car said they never had good experiences working with Kemper and often had to speak to the claim adjuster’s supervisor. It took almost 3 weeks for someone to give an estimate on my car. They were also slow in making the payment to the shop for the original estimate and the supplement estimate. This delay caused my car's repair to be delayed and the shop was unable to finish in a timely manner. Because of all these delays, my rental went well over 20 days and they tried to avoid paying for my rental too. I had to fight for my rental benefit to get reimbursed so I could pay the rental, which wasn't even half of what I was being charged for my rental. Kemper only paid me $500 and the total cost of the rental car was $1359.66, which is the total amount I owed for the rental. I would never recommend them to anyone else because no one deserves to go through the amount of stress and anxiety that they put me through all because they just drag their feet and are slow to process and pay out your claim to get your car back on the road.

Hannah

December 8, 2024

Verified Review

Average

The prices are too expensive.

Susan

November 25, 2024

Verified Review

New Auto Insurance Company

Ensure that there's a representative available who understands the business of Kemper. My contact did not have the knowledge or understanding to answer my questions.
See all Kemper reviews
JD Power
J.D. Power data measures overall customer satisfaction and claims satisfaction based on a 1,000-point scale.
748
NAIC Index
Average amount of customer complaints relative to competitors on a 0-5 scale. A lower score represents fewer complaints.
1.74
A.M. Best
A.M. Best analyzes an insurer’s financials, operating performance, business profile, and other factors to generate an opinion-based rating of a company’s financial and credit strength. Ratings range from A++ (exceptional) to D (poor).
A-
Why we picked this company

An insurer will consider you to be a high-risk driver if you have violations on your record, such as a speeding ticket, at-fault accident, or DUI. It can be harder to find coverage as a high-risk driver, but Kemper works with people who have marks on their driving record. You can also get a policy with this insurer if you have a state ID, IDP, or a matrícula consular.

Pros
  • Policies available for drivers who only have state IDs, IDPs, or a matrícula consular

  • Works with high-risk drivers

  • A- financial strength rating from AM Best

Cons
  • Not many discounts available

  • Not rated by J.D. Power for claims satisfaction

  • Can’t get a quote online; must contact an agent

Factors that affect car insurance for immigrants

You’ll face unique challenges when trying to get car insurance as an immigrant, such as possible language barriers, the lack of a Social Security number, and limited driving experience in the U.S. But you’ll also feel the effects of factors common to all drivers, such as age, location, and the type of car you drive.

Below, you’ll find an overview of the factors affecting car insurance for immigrants.

Immigration status

Immigrants in the U.S. fall into two main legal status categories: documented and undocumented. A documented immigrant is a person who has legal authorization to reside in the U.S., while an undocumented immigrant doesn’t. It may be more challenging for undocumented immigrants to get car insurance, as only 16 states and Washington, D.C., allow undocumented people to get a driver’s license.

States that allow undocumented immigrants to obtain a driver’s license include:

Driver profile

Various factors make up a driver’s profile, and each can affect car insurance rates, including:

  • Age: Insurers typically charge higher premiums for drivers younger than 25.

  • Location: If you live in a city, you’ll probably pay more for insurance than someone living in a small town.

  • Gender: Women generally pay less for car insurance than men because they have a lower accident rate.[5]

  • Marital status: Married couples may receive better car insurance rates than single people in some instances where they qualify for discounts.

  • Claims history: You may pay higher premiums if you’ve filed claims in the past, depending on the type and cost of the claim.

  • Vehicle use: How you use your vehicle can affect rates, such as whether you use it for work or pleasure. Drivers who work for a rideshare company may pay more for insurance.

Driving history

U.S. insurers won’t be able to access your foreign driving history. But once you’re insured in the U.S., insurers will keep a close eye on your driving habits.

Your driving history in the U.S. affects insurance costs significantly, as it’s the clearest indicator of what kind of driver you are. Insurance companies consider accident history, traffic violations, and DUIs to determine your overall insurance risk.

Credit status

Some states allow insurers to consider credit-related information when making insurance decisions, such as using credit-based insurance scores. These scores help insurers predict how likely you are to file a claim, so they play a role in determining your rate.

People with a poor credit history, or no credit file, generally pay high insurance rates. As a result, foreign drivers with no U.S. credit history will likely pay more for insurance in states where insurers consider credit-based scores.

Some states ban or limit the use of credit in insurance decisions:

  • California

  • Hawaii

  • Maryland

  • Michigan

  • Massachusetts

Type of car

Your vehicle type and cost can also affect your insurance rates. For example, if your car has a strong safety record, your premiums may be lower. On the other hand, if your car is a type that’s commonly stolen, your costs may be higher.

Learn More: How Much Car Insurance Do You Need?

Learn More: How Much Car Insurance Do You Need?

How immigrants and non-citizens can save on car insurance

Navigating the insurance system in a new country can be challenging. Immigrants and foreign visitors can maximize car insurance savings by taking the right steps.

How to buy car insurance

  • Research your state’s laws. The process for obtaining car insurance varies by state. Check with your local department of motor vehicles for your state’s requirements.

  • Get a driver’s license. You’ll need a U.S. driver’s license to get car insurance. If you’re in the U.S. temporarily, you may be able to use an international driver’s license to purchase insurance.

  • Figure out how much insurance you need. Aside from your state’s minimum coverage requirements, you may want to purchase additional coverages, such as comprehensive and collision, for broader protection.

  • Request quotes from multiple insurers. Compare quotes from several insurers to find the best deals and coverage options.

  • Choose your policy. Once you find coverage that meets your needs, contact your broker or apply directly with the car insurance company. You can typically choose to pay the cost of your policy up front or break it up into monthly payments.

How to lower your car insurance costs

These are some good ways to lower your car insurance costs:

  • Ask about discounts. Ask your insurance company about discounts, such as discounts for being a safe driver, being a good student, and completing defensive driving classes.

  • Bundle policies. Many insurers offer discounts when you purchase multiple insurance policies with them, such as auto and homeowners insurance.

  • Increase your deductible. One way to save on car insurance is to increase your deductible.[6] Keep in mind that while increasing your deductible can reduce your insurance costs, you may pay more out of pocket for a covered loss.

  • Review your policy. Review your insurance policy every six months or annually to ensure it aligns with your current needs. Adjust coverage limits, remove unnecessary riders, or explore other insurance companies if your situation has changed or you find a better deal.

Car insurance for immigrants FAQs

Moving to a new country is overwhelming; purchasing car insurance shouldn’t have to be. Below, you’ll find answers to some commonly asked questions about getting car insurance as an immigrant.

  • Can non-U.S. citizens get car insurance?

    Yes. Non-U.S. citizens can get car insurance, but they may face some unique challenges depending on immigration status and other factors, like age, location, gender, and the type of vehicle they drive.

  • Is car insurance more expensive for immigrants?

    Yes. Car insurance is more expensive for immigrants since insurance companies generally consider foreign drivers to be new drivers and therefore higher-risk. You may be able to lower your rates in time by maintaining safe driving habits, shopping around for the best rates, and seeking out discounts.

  • What is the best insurance for immigrants?

    The best insurance for immigrants varies depending on your coverage needs, your budget, your immigration status, and how long you’ll need U.S. insurance. If you’re here for a short-term visit, purchasing insurance through your rental car agency is probably the best bet. But if you’re living in the U.S., you’ll need to purchase a U.S. policy.

    Some top insurers to consider include Progressive, Liberty Mutual, and State Farm.

  • How can you get a U.S. driver’s license?

    The process of getting a U.S. driver’s license varies based on your state of residence. Undocumented immigrants are unable to get a driver’s license in certain states. Contact the department of motor vehicles in your area or visit its website to learn about your state’s rules.

  • Can you get a license without a Social Security number?

    Yes. You can get a driver’s license in the U.S. without a Social Security number, depending on your state of residence. Some states let you apply for a license with an Individual Taxpayer Identification Number or a letter from the Social Security Administration stating that you’re ineligible for a Social Security number.

Sources

  1. USA.gov. "Driving in the U.S. if you are not a citizen."
  2. United We Dream. "Can I get a Driver's License if I am undocumented?."
  3. National Conference of State Legislatures. "States Offering Driver’s Licenses to Immigrants."
  4. National Conference of State Legislatures. "States Offering Driver’s Licenses to Immigrants."
  5. Insurance Institute for Highway Safety, Highway Loss Data Institute. "Fatality Statistics - Males and females."
  6. Insurance Information Institute. "Understanding your insurance deductibles."
Sarah Archambault
Sarah Archambault

Sarah Archambault enjoys helping people figure out how to manage their finances and credit. She covers auto financing, banking, credit cards, credit health, insurance, and personal loans. Her work has been featured on Credit Karma, Experian, LendingClub, Sound Dollar and USA Today Blueprint. She also writes for national insurers, banks and financial institutions like Aetna, MassMutual, Stripe, and UnitedHealthcare. 

Sarah has been a contributor at Insurify since December 2022.

Ashley Cox
Edited byAshley CoxSenior Managing Editor
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Ashley CoxSenior Managing Editor
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Ashley is a seasoned personal finance editor who’s produced a variety of digital content, including insurance, credit cards, mortgages, and consumer lending products.

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Konstantin HalachevVP of Engineering & Data Science
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