Car insurance for non-UK residents explained

Whether you’ve come over for a holiday, are studying as an international student, have recently moved to the UK, or are an ex-pat returning to the country, you’ll need car insurance to legally drive on UK roads.

Read on below for more information on car insurance for non-UK residents, including how much it costs, and what to look out for when you compare car insurance quotes.

Do I need car insurance if I am not a UK resident?

It doesn’t matter if you are a UK resident or not – you must have car insurance to drive in the UK. In fact, it’s a criminal offence to drive without a policy in place.

You’ll need at least third party cover before taking your car for a spin, as that’s the legal minimum for UK motorists. This will cover the cost of damages to another driver in the event of an accident, but not the cost of damages to you or the car you’re driving. 

If you want more coverage, you could consider third party, fire and theft, or fully comprehensive car insurance.

Alongside car insurance, to drive in the UK will also need to:

• Have a valid driving licence
• Make sure the car is taxed and registered in the owners’ name (either in the UK or your home country, depending on the vehicle)
• Check the car has a valid MOT, and source one if not

What if I bring my own car over to the UK?

If you bring your own car with you to the UK, you may be covered on your existing car insurance policy for a certain amount of time. 

However, this will likely only be third party cover. And, once that period expires, you’ll need to take out a new car insurance policy to legally drive on UK roads.

Always check before you travel that you have the right level of cover in place. You should see if your insurer can provide you with a ‘green card’ that can act as proof of your cover if you get into an accident while driving in the UK.

If your existing policy doesn’t cover international driving, you will need to take out a policy that does.

If you become a UK citizen, or live here for longer than six months, you will also need to register and tax your vehicle in the UK. This will also involve replacing your number plates.

What if I’m hiring a car?

If you end up hiring a car in the UK, it’ll come with third party insurance as standard as part of your rental agreement. But that is only the most basic level of protection, and you may want to source your own additional cover.

What if I borrow a car?

If you borrow a vehicle from someone else, such as a friend or family member, while you are here, you could potentially be added as a named driver. However, many policies will only allow UK residents to be added. In that case, you would need to take out your own temporary car insurance policy for non-UK residents.

What if I buy a car in the UK?

If you buy a car while in the UK, and intend to drive it over here, then you must have at least third party insurance. 

How much does car insurance for non-UK residents cost?

Unfortunately, car insurance for non-UK residents is often more expensive than for UK residents. This is because insurance providers perceive international drivers to be more of a risk, as they are less familiar with UK roads. 

As with getting car insurance as a UK resident, there are a range of factors that’ll determine how much your non-resident policy costs. These include:

• What type of cover you take out, e.g. temporary versus annual
• The level of cover you chose to take out (third party, third party, fire and theft, or fully comprehensive)
• Any optional extras, such as breakdown cover, you choose to add on
• Your age
• Your gender
• Your address
• Whether you have a UK driving licence
• The make and model of the car you are driving
• Your driving history, including no-claims discounts
• How many miles you plan to drive

Can I use my international no-claims bonus in the UK?

Whether or not you can use your existing no-claims bonus in the UK will depend on the insurer, and where the discount was built up. 

You stand a higher chance of carrying over your no-claims bonus if you are from a country that is part of the Driver and Vehicle Licensing Agency (DVLA) licence exchange scheme. This includes the European Union (EU) and European Economic Area (EEA), alongside:

• Andorra
• Australia
• Barbados
• British Virgin Islands
• Canada
• Cayman Islands
• Falkland Islands
• Faroe Islands
• Gibraltar
• Hong Kong
• Japan
• Monaco
• New Zealand
• Republic of Korea
• Republic of North Macedonia
• Singapore
• South Africa
• Switzerland
• Taiwan
• Ukraine
• United Arab Emirates
• Zimbabwe

If you are from outside those regions, you may need to contact the provider directly to discuss your options.

What is temporary car insurance for non-UK residents?

If you are borrowing a car, then temporary car insurance for non-UK residents, sometimes known as ex-pat car insurance, is worth considering. It can be easier, and potentially cheaper, than being added as a named driver to an existing policy. However, it can still be expensive, as insurers will view you as more of a risk due to your potential lack of familiarity with UK roads.

Normally this cover is only available if you have a valid driving licence from the UK, EU, or EEA. Sometimes Commonwealth countries, such as Australia, Canada and New Zealand, are also included.

This type of policy can cover as little as one hour, and will often run to around 30 days. 

It usually comes with fully comprehensive insurance as standard. This means you will be covered for:

• Damages to a third party
• Damages to you, or your vehicle, following an accident
• Any damage to your car caused by a fire
• Theft

And, since it is a standalone policy, temporary cover will also protect the no-claims bonus of the car owner if you were to have an accident. 

Other types of cover for non-UK residents

Aside from temporary, or short-term, cover, you could consider the following options as a non-UK resident:

• Renting a car: if you hire a car when you come to the UK, it should have third party cover as standard. However, always make sure to check this before signing the policy
• Being added as a named driver: if you borrow someone’s car, you could potentially be added as a named driver to their policy. This means you would be able to drive their car with the same level of cover that they already have in place. However, some policies will only allow for UK residents to be added as named drivers 
• Annual car insurance policy: if you are staying in the UK for a longer period of time, and intend to drive, you could get an annual car insurance policy. You may need a permanent UK address to do so, or the help of a specialist provider. You may find your premium is cheaper if you get a UK driving licence

Do I need a UK driving licence as a non-resident?

You won’t immediately need a UK licence. But unless you have an EU or EEA driving licence, the maximum amount of time you can drive on your international licence is 12 months.

After 12 months, you’ll either need to exchange it for a UK licence, which costs £43, or pass a UK driving test. This will depend on where your original licence is from.

Getting a UK licence can help you reduce the cost of your car insurance premiums, so it might be worth considering if you are staying in the UK for the medium to long-term or frequently visit. 

What happens if I am a UK resident, but have an international driving licence?

If you live in Great Britain for at least 185 days each calendar year, there are certain rules around what licence you can drive on depending on where you passed your test:

• EU or EEA: you can drive in Great Britain on your licence until you are 70 years old. Then you will need to exchange it for a UK licence
• Designated countries or territories: you can continue to drive in the UK without exchanging your licence for 12 months after becoming a resident. There may be exceptions to this rule. Designated countries include Australia, Canada and New Zealand
• Other countries and regions: you can drive for up to 12 months on your international licence. After that period, you’ll need to take a theory and practical test to get a UK licence

If you live in Northern Ireland, you can drive on a foreign licence for up to 12 months from the time you became a resident. To keep driving after that period, you will need to obtain a provisional Northern Irish driving licence and pass your driving tests before the 12 month period ends.