Car insurance in the US works very differently than in most other countries. Three differences explain almost everything else: coverage is state-by-state (not federal), liability limits are low by global standards, and your price depends heavily on your personal history — not just your driving record.

Once you understand those three things, the rest falls into place quickly.

How US Insurance Is Different

In many countries, insurance follows the car. In the US, insurance follows the driver — and the car. Both matter.

Each of the 50 states sets its own minimum coverage rules. What’s legal in Texas may be different from what’s legal in New York or California. When you move to a state, you’re playing by that state’s rules, not your home country’s.

US carriers also use a wide range of factors to set your price: your driving history, your credit score (in most states), your ZIP code, and how long you’ve been insured. “How long you’ve been insured” is the tricky one for new arrivals.

Most carriers assume no prior insurance if they can’t verify it. That gap makes you look riskier — even if you drove accident-free for 15 years abroad. The fix is finding carriers that accept foreign driving history, or building a local record fast.

What Carriers Want to See from New Arrivals

To get a quote, you’ll need a few things:

• A valid driver’s license. Some states let you drive on a foreign license for 30 to 90 days. Others want you to convert immediately. Check your state’s DMV website — this varies widely.
• A US address. Your policy is rated to your garaging address.
• An SSN or ITIN. An ITIN (Individual Taxpayer Identification Number) works at many carriers. ITIN-friendly carriers include Progressive, Farmers, and some regional insurers. If you don’t have an SSN yet, ask specifically — not every agent knows which carriers accept ITINs.
• Vehicle information. VIN, year, make, model.

Some carriers will also ask for your prior insurance carrier’s name (from abroad) and your years of continuous coverage. Even if they can’t verify it directly, a signed letter from your foreign insurer can help.

Foreign Driving History — When It Counts

A handful of major carriers give explicit credit for foreign driving experience. GEICO, Progressive, and some regional carriers have programs that let you submit a foreign driving record or a letter of experience.

What qualifies varies. Most carriers want:

• A letter from your previous insurer on company letterhead
• Your name, policy period, and claims history
• Translation if not in English (certified translation preferred)

Even when a carrier accepts foreign experience, the discount may be partial — they might give you credit for three of your seven years abroad. That’s still better than starting at zero.

International Driving Permits (IDPs) are useful while you’re transitioning, but they don’t count as driving history. They’re a translation document, not a credential. Get your state license as soon as you’re eligible — that’s what builds your US record.

A 30-Day Setup Plan

Here’s a simple sequence to get covered fast:

1. Day 1–5: Research your state’s license conversion timeline. If you have more than 30 days, take a breath. If you have less, move the DMV visit to the top of the list.
2. Day 3–7: Request a letter of experience from your foreign insurer. Email works — ask for it in English or get a translation ready.
3. Day 5–10: Get quotes from at least three carriers. Mention your foreign driving history and ask explicitly if they give credit for it. If you need an ITIN-friendly carrier, ask that too.
4. Day 10–14: Bind your policy. Even if it’s not the perfect rate, you want coverage in place before you drive.
5. Day 20–30: Get your state license if you haven’t already. Notify your carrier of the license number update.

Rates will improve over time as your US record builds. Re-shop every 12 months for the first three years.

Next step: Gather your foreign insurance letter and get quotes from three ITIN-friendly carriers this week. Get a same-day quote that works for your situation →