Important Auto Insurance Question?

Question

A non-American girl, arrives in the USA to start her studies. She has a drivers license she received from her home country. There is this "law" saying that if a foreing person already has a driver's license he/she can transfer it into an american drivers license without taking the road test. So she did just that.

She went to an auto insurance agency. The person there simply asked her whether she has been driving for 4 years, without specifying that she had to be driving in the USA for 4 years. She answered positively even though she hadnt been driving in the USA for 4 years. Now she is insured with that company.

I'm 22 from the same country just got my drivers license in the USA without "transfering" the one i got from my home country. I called the same company for a quote, telling them that i have been driving since i was 18 in my home country (hoping i wasnt considered as a new driver) and what they told me was that "we cant insure you because you dont have any driving record in

the US". 

So what i want to know is: How does an insurance company know whether a foreign new driver is really a new driver or not?

Someone told me that if that person was never licensed in the US then the insurance company will have to take your word for it. Is that true?


Answer 1

I don't know to which state you are referring, but I'm a licensed insurance broker in New York. Generally, if you can demonstrate previous driving history - from anywhere - you should not be considered a "new" driver. In New York you have to show three years driving history to no longer be considered "inexperienced". They don't simply have to take your word for it; you have to prove it. While your original license (if you still have it) should show a issue date which would demonstrate driving experience, the most helpful thing that you could do for yourself would be to secure a copy of your driving history/record/abstract from your home country which would show not only the original issue date of your driver's license but also your driving history. Good luck!

Answer 2

As a licensed insurance agent I can tell you this. The question is specific and should be asked specifically. "At what age did you obtain a license in the USA?" Even though you may have many years of driving experience in a foreign country there is no way an insurance company can know how good or bad your driving record was. Depending on which state you are from (NY) for example has probation dates on DMV abstracts where we are able to tell when exactly you obtained your license. If an insurance company simply asks when you were licensed and writes the policy based on your response they are bound to cover you for at least 60 days even if they find out you have no US driving history. They can cancel you after finding out this information and must send you a cancellation notice which gives you 60 days to obtain other insurance. State laws are specific: for instance if you have Canadian, virgin island, puerto Rico or other Us territories driving experience this would count as driving history in the US. But contrary to this if you have Canadian driving history and are now living in New Hampshire your driving history would count but not in New York or any other US State. It is confusing to most people outside the insurance industry. I hope this helps you a little.

Answer 3

She may be in trouble eventually once they look up her record. Be honest with the insurance company during the quote period. Tell them your exact situation and ask what they can do for you. Once they give you a price, move on to the next company. After you've done this a few times you'll begin to see patterns. All the companies will have certain requirements based on your states laws, but some will behave different based on their own policies. Once you are informed you'll be able to make the right decision.

Answer 4

They might take your word for it; it's up to the insurance company how to deal with that.

You can get a copy of your driving record from your home country in most cases. If it's not in English, you will need to get a certified translation. Most insurance companies will accept this as proof of your driving record.

Answer 5

This agency either didn't ask the question right of the other girl, or is making stuff up as they go along. Shop around, and be up front about your driving record in the u.s. so it's not an issue.

Answer 6

There are companies that will insurae a driver with a forgien drivers licence, merely shop around to more companies.