International Student Blog

Introduction to Car Insurance for International Students

This is part of our mini-series helping international students understand every aspect of having a car in the United States as they pursue their studies. For information regarding international student auto loans, please follow this link.

If you are an international student studying abroad in the United States, you may have thought about getting a car while you are abroad. Previously, we have explained international student auto loans, the pros and cons to both buying and leasing cars, and different car options for international students. Today, we will discuss car insurance for international students and give a general introduction to the topic.

What is Car Insurance?

Car insurance is important to understand because many states require car owners to have it in order to legally drive. Please check your state’s DMV website to find out if car insurance is required by state law or not. International student auto insurance is essentially a contract between you and an insurance company that protects you financially in case an accident or theft occurs. You will have to pay a premium, or a set fee, and then your insurance company will cover the rest.

Auto insurance covers the following:

  • Property – in case your car gets damaged, stolen, or even vandalized;
  • Liability – in case you cause an accident and inure someone or damage their property;
  • Medical – covers the cost of treating injuries, or, in some cases, death and funeral expenses.

As you can see, international student auto insurance can help protect you from great financial liability. If you do not have insurance, an accident occurs, you could potentially be on the hook for a great deal of money. Please remember that the coverages listed above are not all that auto insurance covers. There are many different types of auto insurance offered by companies.

Where Do I Get Auto Insurance?

There are many different companies that may offer international student auto insurance. There are also many different packages available from a variety of different insurance providers so that you can find one that fits your budget. International student auto insurance policies are typically given from six to one-year timeframes. This could be beneficial because it can then fit your time in the United States better, without having to commit long-term.

If you are authorized to drive in the United States and have already bought or leased a car, then the process getting international student auto insurance should be no sweat. Please keep in mind however, that new drivers pose a large risk to insurance companies. In fact, statistically speaking, new, young drivers (under the age of 25) often have the highest insurance rates because of their inexperience. However, your rates will not always be high. With a few years of driving experience, and a relatively clean record, your insurance rates will go down over time.

What are Ways to Get a Lower Rate and/or Lower My Rate?

There are ways to find the lowest rate available for new drivers. Also, if you already have international student auto insurance, there are ways to lower your current rate over time. Here are a few tips:

  • Do your research. As stated before, there are many international student auto insurance providers out there. Some may offer lower rates than others, or a more attractive package than others.
  • Keep a clean driving record. Try not get any tickets, and definitely try to avoid accidents!
  • Look out for discounts. Many insurance providers offer student discounts for getting good grades. This can offer a great incentive to do well in your classes!

International Student Loan

At Nomad Credit, we can help you find potential auto loan options that do not require credit history or a social security number as well as answer any questions or concerns you may have while studying abroad in the United States.

For more information, visit Nomad Credit. In addition to potential international student auto loans we will help you find potential options for international student education loans or study loans as well.

If you have any questions, send an email to and we will happily help!




John Romanucci

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