Spain is one of the most visited countries in the world. Tourists from across the globe head to Spain to bask in the sun and explore everything this wonderful country has to offer. If you are an expat who plans on driving in Spain, you must follow the local laws. It is a legal requirement for drivers to have car insurance in Spain. Hence, you should not leave your home unless you are covered. All vehicles need to be insured to at least a third-party liability level. It includes scooters, motorbikes, RVs, trucks, and cars. The only exception is bicycles. Anyone who is found driving with car insurance would be fined €3,000 by the Spanish police.
The first thing you need to get car insurance in Spain for expats is to register the car. Keep in mind that foreign vehicles can be driven in Spain for 3 to 6 months. However, after this period, Spanish registration for at least third-party insurance is needed. Since every vehicle in Spain must have insurance, the law applies both inactive and parked vehicles as well. It is common for expats to bring their car along with them when they relocate to Spain, especially if they are coming from a European country. As there are measures taken by the European Union and the EEC, Europeans end up assuming that there is no need for buying Spanish car insurance. However, it could not be further from the truth.
How Can You Insure Your Car In Spain?
If you travel to Spain with an insurance policy from the UK or any other EU country, you would typically have third-party insurance for a limited period. The majority of insurers offer coverage of 90 days in a foreign country. Moreover, if you are applying for residency, your car needs to be registered with the Spanish traffic department within 30 days. Since you cannot insure foreign-registered vehicles with Spanish insurance companies directly, you would first need to register your car with the relevant authority before you can apply for legitimate Spanish car insurance. Once you have registered your car, the process of buying car insurance in Spain is quite similar to other EU nations. You have to choose from roadside assistance, comprehensive, third-party or part comprehensive, and third-party (the minimum required).
How Much Should You Expect To Pay For Expat Car Insurance In Spain?
The best thing about Spain is that it offers car insurance for the lowest premiums in the EU. You will be shocked by how much money you have to pay and might even end up saving money. The cost of the insurance policy depends on your vehicle, the type of coverage you seek, and the provider. So, you do not have to worry about paying hefty premiums. Since Spain has an extensive public transport network, the streets are not as crowded, and driving around will feel like an exhilarating experience.
Tips for Expat Car Insurance in Spain
- Ensure That You Do Not Have Dangerous or Drink Driving Convictions
One of the most important things you should keep in mind when you consider getting expat car insurance is to ensure that you do not have a dangerous or drink driving conviction. It would drive up your premium significantly. Insurance companies are always careful and they take such convictions very seriously. Hence, you should make sure that you do not have convictions that convince the insurance company of reckless driving habits. The importance of having a good driving record cannot be stressed enough.
- Try to Get Car Insurance in a City That Has a Lower Population and Car Accident Rate
When getting expat car insurance in Spain, you should get car insurance from a car insurance company that is located in a city with a lower population and car accident rate. For instance, if you get car insurance in Madrid rather than a city such as Seville, you would end up paying more in insurance. You should use the internet to look up cities where the premium is less. Besides, you could even move to that city if you are only traveling throughout Spain. Start your journey from a city with a lower population and car accident rate for a much lower premium rate.
- Drive Carefully
This tip might seem obvious but you have to drive carefully as an expat. If you do not continue to drive carefully, your premium would only go up. Hence, if you want to avoid having to pay a high premium, you should always drive carefully and follow the local laws.
- Utilize Your NCD
Insurers in most countries provide NCDs (No Claim Discounts) to drivers that have not submitted any claims or have been involved in an accident. A great thing about NCDs is that their value increases the longer you are not involved in an accident. Spain offers premium discounts of up to 50% when you do not make claims for five years. It is a good idea to look it up before proceeding with your request for a discount.
- Consider Increasing Your Excess
An important tip that will help you change the car insurance premium is through adjustment of your excess. It is the amount of money one pays if a claim occurs. When you increase the excess amount, the premium would decrease and vice-versa. It is a popular way to reduce the premium. However, do not go overboard as it would end up costing you if a claim is filed.
- Take Your Time with Comparing Options
There is no need to hurry with which car insurance company you choose. Do not go for the cheapest policy in the market. Instead, take your time and understand what insurance plans are available. It will help you make a more informed decision.
- Get Help from a Reputed Broker
Finally, you should consider getting help from a reputed broker. When you consult with an experienced broker, they would help you choose an insurance plan that meets your coverage and budget requirements.