Insurance · Car
Car insurance in Europe for expats: what you need to know
Every car driven in the EU must have at least third-party liability insurance, and EU law sets a high minimum: €6.45 million per accident for injuries and €1.3 million for damage to property. The good news for expats: since EU rules changed in 2023, an insurer must treat your claims history from another EU country the same as a local one, so you should not have to start again without a no-claims bonus.
The three levels of cover
| Level | What it pays for | Local names |
|---|---|---|
| Third-party liability (compulsory) | Damage and injuries you cause to others | Kfz-Haftpflicht (DE), responsabilité civile / au tiers (FR), RC auto (IT), a terceros (ES), WA (NL) |
| Partial cover | Also theft, fire, glass, storms and animal collisions with your own car | Teilkasko (DE), tiers étendu (FR), terceros ampliado (ES), WA+ / beperkt casco (NL) |
| Comprehensive | Also damage to your own car when it is your fault | Vollkasko (DE), tous risques (FR), kasko (IT), todo riesgo (ES), allrisk (NL), comprehensive (UK, IE) |
In the UK and Ireland the middle level is called third party, fire and theft. A new or financed car usually needs comprehensive cover.
Keep your no-claims bonus
- Ask your current insurer for a claims history statement before you cancel. EU insurers must issue it on request, in a standard EU format (since 2024), covering your claims-free years with them.
- Insurers in other EU countries must treat it like a domestic statement when they set your price. They still use their own scale, so the discount may not be identical.
- From outside the EU (UK, US, Switzerland) there is no such right. Many insurers still accept a letter in English; ask before you buy.
- Every country counts it differently: Germany uses SF classes (Schadenfreiheitsklasse), France a bonus-malus coefficient from 0.50 to 3.50, Italy merit classes 1 to 18, the Netherlands a ladder of claims-free years.
Bringing your own car
- As a visitor you can drive your foreign-registered car on its home insurance, but many policies limit trips abroad to 30–90 days. Check yours.
- Once you live in the new country, you normally have to register the car there, usually within about six months, and then insure it locally. Driving on foreign plates long-term can lead to fines and tax bills.
- In Germany you need an insurance confirmation number (eVB) before you can register a car.
- Inside the EU, EEA and Switzerland you don’t need a Green Card to drive. Outside (for example Albania, Türkiye, Morocco) carry your insurer’s Green Card or buy border insurance.
What makes it expensive
- Few years of local history: new arrivals often pay more until they build a record, which is why the claims history statement matters.
- Age and driving licence: young drivers pay much more, and some insurers charge extra for a non-EU licence. Exchange your licence on time; see local rules.
- Where you live and park: cities and areas with high theft cost more.
- Car type, power and annual mileage.
- Excess (deductible): a higher excess on partial or comprehensive cover lowers the premium.
Switching and saving
- Compare every year: renewal prices rise more often than new-customer prices.
- In Germany most policies renew on 1 January and must be cancelled by 30 November.
- Paying yearly instead of monthly is often cheaper.
- Telematics (“black box”) policies can help young drivers.
General information, not insurance advice. ExpatCents is not an insurer or broker and does not sell policies. Always read the policy terms before you sign.
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Sources
This guide is general information based on the tax rules we could verify for 2026, not tax or financial advice. Rules change and personal situations differ, so check with the tax authority or a qualified adviser before you act. Spotted a mistake? Email [email protected].