Obtaining car insurance without a license within the USA seems a bit difficult; however, in some cases it is a tangible possibility.
We must remember that having a driver’s license is an important part of qualifying for auto insurance. In fact, auto insurance companies use the license number to look up the driver’s history and check whether or not there are any violations that could be of concern to the insurer.
Cases may arise where it is necessary to buy car insurance without a license and although it may seem like a strange situation; You may be surprised to learn all the reasons non-drivers need auto insurance. Next, we will tell you the entire procedure that you must follow if you are looking to obtain auto insurance without a license.
Why does an Unlicensed Person need Auto Insurance?
Although each case is different, in some cases situations such as the ones mentioned below arise:
Personal Drivers: Elderly, disabled, etc.
Learning Permit and Students: Provisional licenses or learning permits for adolescents, youth and adults.
Antique or Collection Car: Exclusive for collector’s items, recreational cars, family heritage.
Car Owner (Minor): Any minor will probably have trouble getting car insurance for themselves. In this case, the minor will need an adult to co-sign.
Suspended License: If you are charged with DUI, or have a history of disorderly driving, you will need to show proof of financial responsibility with an SR-22 certificate.
Can a Car Insurance be Requested without a License?
Yes you can, but it is quite difficult and in some cases very expensive ; this is because the available options are quite scarce. Remember that having a valid driver’s license is a crucial step in obtaining auto insurance.
On the other hand, your driver’s license allows insurance companies to access and evaluate your driving record; a crucial piece of information that will define the final quote of your insurance . In fact, insurance companies use your resume (as the insured) to predict the risk you represent and how much they should charge to offer you their protection. However, there are some ways to get car insurance without a license, at least in the US.
How to Buy Car Insurance without a License?
When you apply for auto insurance, you generally must include a valid driver’s license number . If you don’t have a license, you can’t provide that number. In addition, the act of “insuring an unlicensed driver” is a huge risk for all car insurance companies.
However, in some cases you can still buy car insurance without a “valid” driver’s license. And how to do this? It’s pretty straightforward; Instead of listing your own driver’s license number, some companies may allow you to apply for a policy using the name and license number of another driver whom you’ll need to list as the ” primary driver on your policy .” That way, you figure on the policy, the cars you own are insured, but you’re not technically the driver of that car .
Who can be the Principal Driver of an Unlicensed Car Insurance?
Any licensed driver can be named your primary driver, regardless of whether they live or in your home. Now, if you’re insuring a car for your spouse, you must list that person as the primary driver.
On the other hand, if the car insurance is for your teenager, you just have to write their name. Likewise, if you’re buying auto insurance so your roommate, caregiver, or friend can drive freely, you’ll need their name and current, up-to-date license information.
Keep in mind that insurers use driving records as one of many factors in calculating your car insurance premium. That is why a valid driver’s license number is required . In other words, the insurer will establish a rate (insurance premium) based on the driving record of the main driver . So, make sure you choose a responsible person with a clean driving record as your primary driver .
What is an Excluded Driver?
If you find an insurer that agrees to issue car insurance without a license ; you will need to name yourself as an excluded driver on your own policy . This means that your car insurance will not be valid if you are driving the car.
Remember, no person can drive a car legally (within the United States) without a valid license. Therefore, your insurance company will want to make sure you know this, and that they won’t pay any claims for accidents incurred while the excluded driver was driving .
On the other hand, if you plan to get a license in the future , once you get your license, you will need to contact the insurance company to be named as a driver on the policy; until then, you will not be covered, even if you have your license.
Important : Not all insurers will allow you to include someone other than the person applying for the insurance policy as the “main driver”. So if you don’t have a license, you may have to look a little deeper to find an insurer willing to offer their services.
Auto Insurance with Suspended License
This is a very particular scenario, but it can also become a reality. There are people who do have a license, but it is suspended due to various « car accidents or fines » have
Let’s remember that there are several reasons why your driver’s license can be suspended ; including being convicted of a DUI , having repeated traffic violations, or being in an at- fault accident without auto insurance. Now, if your license is suspended, you cannot legally drive until it is reinstated. However, that doesn’t mean you don’t need auto insurance.
In fact, if your license is suspended, you may be imminently in need of auto insurance to prove to the state that you have protection behind the wheel . Therefore, in these cases you should immediately contact your insurer and request that they send you the SR-22 compliance form .
SR-22 Car Insurance
An SR-22, sometimes called a “Certificate of Financial Responsibility” or “Certificate of Liability Insurance,” is a document that confirms to your state DMV that you do not have the state minimum amounts of liability coverage . Please note that this is not a special policy; it is a regular auto insurance policy with an SR-22 form attached .
Any insurer can apply for an SR-22 form on your behalf, but is not required to accept you as a client (when the form is issued by someone else). Typically, anyone with this active form is labeled a “high-risk driver,” and not all insurance companies are willing to provide coverage for these types of customers.
In fact, if you have a suspended license and need an SR-22 form, you may have to shop around to find a company that even knows about your case and will agree to sell you an affordable policy.
Final Thoughts
If you don’t have a valid license , many insurers will refuse to issue coverage in your name.
Without a license, you may still be able to buy car insurance by listing other drivers in your household as primary drivers on the policy .
Now, if you have a license, but it has been suspended, you will need to find an insurance company that is willing to accept a “high risk” driver.
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