How Much Does Car Insurance Cost for International Students?

Introduction

International students coming to the United States to study will need to purchase car insurance if they plan to drive. But how much does car insurance cost for international students in the US? 

There are several factors that impact insurance rates, so costs can vary widely. Here is an overview of average insurance costs, factors that affect pricing, and tips for getting affordable coverage.

Average Cost of Car Insurance for International Student

On average, how much does car insurance cost for international students will cost between $150 to $400 per month. However, prices can range from as low as $50 per month to over $500 per month depending on various factors.

According to insurance industry data, the average annual car insurance cost for international students is around $1,800 to $2,400 per year. That breaks down to approximately $150 to $200 per month. However, drivers with poor driving records or those insuring high-end luxury vehicles may pay more for car insurance cost for international students.

What Impacts Insurance Rates for International Students

International students face other factors that can increase car insurance cost for international students rates, like:

• Lack of U.S. driving history – Most U.S. carriers look for 3 years of driving history in the U.S. or Canada. Lack of local history may raise car insurance cost for international students.
• Foreign driver’s license – Having a license from another country may mean you are seen as a higher risk for car insurance.
• Limited credit history – Most international students won’t have an established U.S. credit score, also potentially raising how much does car insurance cost for international students rates.

Taking steps to offset these risk factors can help international students find affordable car insurance rates.

Tips for International Students to Get Cheaper Insurance

Here are some tips to help international students get lower car insurance cost for international students rates:

• Compare quotes 

Get quotes from several insurers to find the lowest rate for car insurance cost for international students. Online comparison sites can help streamline this process.

• Take defensive driving 

Completing a defensive driving course can earn a discount of up to 10% on car insurance cost for international students in some states.

• Increase deductibles 

Choosing higher deductibles decreases premiums for international students but increases out-of-pocket costs in the event of a claim.

• Drop unnecessary coverage 

Review policy limits and exclude extras like rental car reimbursement if not needed for international students.

Tips for International Students to Get Cheaper Insurance

• Ask about discounts 

Inquire about discounts for how much does car insurance cost for international students for good students, having a car alarm/tracking device, insuring multiple cars on one policy, or paying premiums in full upfront.

• Buy used cars 

Insure a used sedan or economy car rather than a new luxury vehicle to save on car insurance.

• Use public transportation 

Using public transit regularly can earn a lower usage rate for car insurance cost for international students in some cases.

• Improve credit

Having utility bills or other expenses report on-time payments to credit bureaus can help establish U.S. credit history and lower car insurance cost.

Finding the cheapest car insurance for international students requires some work. Getting multiple quotes and optimizing any available discounts are key to reducing premium costs. But with some effort, international students can secure affordable car insurance for international students’ coverage.

Types of Car Insurance Required for International Students

At a minimum, international students will need to buy liability and uninsured motorist coverage to drive legally and protect their finances when considering how much does car insurance cost for international students. Here are the main types of required insurance:

Liability Insurance

Liability insurance covers damage or injuries you cause to others in an accident where you are at fault. It’s required in all states and usually expressed as three numbers for car insurance cost for international students:

• Bodily injury per person
• Bodily injury per accident
• Property damage

For example, 100/300/50 means:

• $100,000 bodily injury per person
• $300,000 bodily injury per accident
• $50,000 property damage per accident

Most states require minimum limits from 25/50/10 to 50/100/25, but 100/300/50 is recommended for car insurance. Higher 100/300/100 limits are better for those with assets to protect when evaluating how much does car insurance cost for international students.

Uninsured Motorist Insurance

Uninsured motorist coverage protects you if you’re in an accident caused by a driver with no insurance when determining how much does car insurance cost for international students. It covers injuries to you or passengers in your vehicle.

Minimum limits are typically matched to your liability coverage. But higher limits of 100/300 are recommended for better protection related to car insurance cost.

Other Optional Coverages

Other optional coverages like collision, comprehensive, medical payments, and personal injury protection may also be required by law in some states or required by your lease or loan company if financing a car when evaluating. Be sure to understand your state and lender requirements that factor into car insurance cost for international students.

Where International Students Can Buy Car Insurance

International students have several options for where to purchase required insurance coverage that meets their needs:

Specialty Insurers

• Insurers like International Student Insurance offer policies tailored for international students’ car insurance cost for international student. This can make getting coverage easier for those with no U.S. driving history.

Direct Insurance Carriers

• Large insurers like Geico, Progressive, State Farm offer online quotes and sell directly to consumers looking for car insurance cost for international student. Rates from direct carriers may beat specialty insurers.

Local Insurance Agencies

• Local independent agencies have access to quotes from multiple insurance companies for how much does car insurance cost for international student. An local agent may be able to find you the most affordable rate based on your needs.

Peer-to-Peer Insurers

• InsuredMine and Gabi allow you to buy from actual policyholders who can provide insight on car insurance cost for international students. This can sometimes offer lower prices than standard carriers for international students.

No matter where you shop, comparing multiple quotes will be key to finding the best rate for your specific how much does car insurance cost for international students situation. Speaking with an independent agent who can quote many companies may simplify the process of evaluating.

Frequently Asked Questions About International Student Car Insurance

If you’re an international student planning to drive in the U.S., here are answers to some common questions related to how much does car insurance cost for international student:

Do international students need car insurance?

Yes, you are required to buy at minimum liability insurance that meets your state’s legal minimum limits in order to drive legally. Uninsured motorist coverage is also highly recommended given considerations.

How long can I drive on my home country license?

Most states allow non-citizens to drive on a valid foreign license for up to 1 year after moving to the U.S. However, you still must have U.S. insurance during that period given your how much does car insurance cost for international students situation.

Can I buy car insurance without a Social Security Number?

Yes, many insurers will issue a policy without requiring a SSN when evaluating car insurance cost for international student. However, having an Individual Taxpayer Identification Number (ITIN) may aid the application process for international students.

Is insurance mandatory for all drivers in the U.S.?

Yes, liability insurance that meets minimum state limits is legally required in all states when considering car insurance cost. Driving without mandatory insurance can lead to fines or loss of registration/driving privileges.

Can I drive someone else’s car?

The car owner’s liability insurance applies when driving another person’s car. However, there is no coverage for damage to the vehicle itself that factors into car insurance cost. Additional coverages like collision or comprehensive need to be purchased separately.

How long should I maintain U.S. insurance after returning home?

It’s recommended to maintain insurance coverage on any car left in the U.S. until it can be sold or driven to your home country. This protects against liability claims that arise related to your car insurance cost.

The Bottom Line

Getting car insurance as an international student is crucial for staying legal and avoiding financial risks from accidents. While rates can seem high at first glance, taking the time to compare quotes and optimize available discounts can help you secure affordable insurance cost for international students coverage. Maintaining continuous coverage while in the U.S. and exploring options like telematics programs or speciality insurers can help manage. With some diligent searching, international students can find the protection they need at a price that fits their budget for their specific how much does car insurance cost for international students needs.