Victoria Berezhetska According to Statista, in 2021, about 282 million vehicles were registered in the United States, and only about 233 million people had a valid driver’s license.
These statistics show that not everyone who buys a car has a driver’s license because it is optional. The law considers different circumstances.
And here the question arises, “Can you get insurance on a car without a license?” Experts of the American Reia agency have prepared an article in which they tell about what car insurance you can get without a license and who needs it.
In What Cases Might Insurance Be Necessary if the Driver Doesn’t Have a License?
Even if you don’t have a driver’s license, there are several scenarios in which insurance may be necessary or desirable:
- Your health condition prevents you from driving.
- You don’t personally drive your car, but other family members do.
- You are a student driver or have only temporary permits.
- You own a vintage car that you don’t drive.
- You have purchased a car your own driver will drive.
- You have decided to give a gift to a child, and so on.
Some insurance companies may refuse to provide coverage to drivers without licenses because the absence of a valid license increases the risk of accidents.
Where Can You Get Car Insurance Without a Driver’s License?
You can get auto insurance in Colorado, PA, Illinois, Michigan, California, and other states without a driver’s license. Still, the process is difficult, as not all insurers want to sell policies to unlicensed drivers.
The thing is that insurance companies calculate monthly premiums based on your driving record for the last 3-5 years. If you don’t have one, you will be considered a high-risk driver, which automatically increases the amount of your premiums.
Can you get insurance for a car without a license? Yes, you can, and here are some recommendations to follow:
- Look for insurance companies that serve customers with special needs or high risk. They may offer policies for car owners without driver’s licenses, although their cost is usually higher.
- Familiarize yourself with local laws and regulations. Some states may have special programs or exceptions allowing you to obtain car insurance without a driver’s license.
- Consult with an experienced insurance agent. They can assist you in finding special policies or alternative options that meet your needs.
Before approaching an insurance company, verify its financial stability and reliability. Also, take the time to study reviews to gauge the insurer’s reputation among its customers.
What Coverage Is Available to Unlicensed Drivers?
Will my insurance cover an unlicensed driver? Coverage for unlicensed drivers is typically limited and can vary depending on the insurance company and state. Let’s consider some available types:
- Liability Coverage. This is the minimum required car insurance US law mandates. It covers the cost of car repairs and medical expenses up to set limits.
- Personal Injury Protection. This insurance policy covers medical and other related expenses for the driver and passengers in the event of an accident. It is also known as “no-fault” coverage because it compensates the insured parties regardless of who is at fault in the accident.
It’s important to remember that the availability and terms of coverage for unlicensed drivers in states like NC, Maryland, Oregon, Hawaii, Louisiana, and others may differ depending on the insurance company. We recommend consulting with an insurance agent to obtain detailed information about your region’s available insurance options for unlicensed drivers.
How Do I Get Car Insurance Without a Driver’s License?
There are many ways to get insurance, even without a driver’s license. However, each company has different criteria for providing a policy, so it’s important to look into a few suggestions.
So, how can you get car insurance without a license?
- Consult with an independent insurance agent. They can arrange insurance policies with various companies and collaborate with local insurers who provide services for unlicensed drivers.
- Designate another person as the primary driver. If you own a car but don’t drive it yourself, some insurance companies allow you to specify another person as the primary driver in the policy. The key requirement is that this person must be a family member.
- Add a co-owner to the vehicle’s registration documents. This convenient method helps bypass the issue of lacking a driver’s license since vehicle ownership is a mandatory requirement for obtaining insurance. The process of adding a co-owner is relatively straightforward. You’ll need to fill out and submit a specific form to the United States Department of Transportation and pay a fee.
- Get parked car insurance. If you don’t have a driver’s license and your car remains parked near your home for an extended period, you can acquire this type of insurance. The policy will cover damage caused to the vehicle due to theft, natural disasters, falling objects, etc.
- Include yourself as an excluded driver. This reduces the risk for the insurance company as neither you nor your car will be insured. However, remember that if you are stopped by law enforcement or get involved in an accident, you may face fines or have your vehicle confiscated for lacking insurance.
These tips will help you get a car insurance policy even if you don’t have a driver’s license.
Can You Get SR-22 Without a License?
Your state’s Department of Motor Vehicles may require you to obtain an SR-22, also known as a Certificate of Financial Responsibility, if your driver’s license has been suspended due to a traffic violation.
This is not an insurance policy but a document proving to the state that the driver has the necessary auto liability coverage to reinstate your license. If you live in Florida or Virginia, you may be required to have a different FR-44 form.
Not all insurance companies offer SR-22 registration. For example, an insurer may provide traditional basic coverage in a particular state but not issue an SR-22.
How to get SR-22 insurance without a license? Obtaining SR-22 insurance without a license is complicated because it is closely tied to a valid driver’s license. Consult an insurance agent or contact a company that provides policies for high-risk drivers.
Auto Insurance Without a Business License
An insurance policy is required for vehicles used for personal or business purposes. A business license is not a primary requirement for obtaining insurance on a car for personal use.
Let’s explore common scenarios where you can obtain insurance for a car without a business license:
- If you primarily use your car for personal needs, such as driving to work, running errands, and attending family events, you can purchase Personal Auto Insurance.
- If you occasionally drive vehicles owned by others, such as friends or family, consider getting Non-Owned Auto Insurance.
- If you rent a car, you can opt for Rental Car Insurance or use your Personal Auto Insurance if it provides rental vehicle coverage.
- If you use a car for business purposes, you will need Commercial Auto Insurance. This policy covers damages to vehicles used for business activities.
It’s important to provide the insurance company with accurate information about the purpose of your car usage to ensure appropriate coverage.
If you have any questions regarding whether you can get insurance on a car without a license or if you encounter difficulties obtaining a policy, contact the specialists at American Reia.
We are familiar with all the nuances and peculiarities of obtaining insurance in states like NJ, Ontario, Kentucky, CT, Texas, and others in America, and we would be happy to assist you in selecting the right policy for your specific situation.
FAQs
Can you get car insurance without a license?
Yes, you can get a car insurance policy without a driver’s license. Some insurance companies offer coverage for car owners or unlicensed drivers if certain conditions are met.
Will insurance cover an unlicensed driver?
Insurance coverage for a driver without a driver’s license depends on the insurance policy and specific circumstances. Some policies may provide coverage for unlicensed drivers, while others exclude them from coverage. It’s important to consult with specialists and carefully review the policy terms to understand the coverage limitations.
Can you get auto insurance without a business license?
You can get car insurance if you do not have a business license. Auto insurance depends primarily on the purpose for which the car is used (personal or business), not whether the owner has a business license. Determining what you will use the vehicle for is important to select the appropriate insurance.
Do you need insurance to get your license?
Requirements for obtaining a driver’s license vary from state to state and country to country. Many places require you to provide proof that your car is insured before you can get a license.
Victoria is a Senior Content Writer at American REIA. She helps customers find the right educational material through easily-digestible blog posts and buying guides backing their insurance coverage choice. Victoria covers the latest industry news and various insurance topics, including auto, home, health, and life insurance.
