International House/Division of Student Affairs yh/May 2009 Handouts/AutoInsurance.doc
Automobile insurance companies can charge a wide range of prices. Car insurance rates depend on the
following: year, make and model of car; residence location; how much your car will be used; your driving
record in the USA, etc. The best plan is to shop around, compare prices, coverage and services. Make sure to
ask questions if you do not understand. To drive in the State of North Carolina, everyone needs LIABILITY
Note: If you purchase a new car, you will
want to purchase
Collision/Comprehensive insurance in
addition to liability insurance. If you
purchase collision/comprehensive, then the
auto insurance company is required to
run a credit check. If you are new to the
country you will not have a credit history
(which is fine). Therefore you will be
required to pay a higher auto insurance
rate. There is no avoiding this. You
should certainly call around to different
companies to compare rates.
Items Needed to Purchase Insurance Coverage
1. Valid Driver’s License from home OR a valid US Driver’s License OR a valid US Learner’s Permit. Note: You
CAN purchase a car and auto insurance without a driver’s license.
2. Your Passport
3. Funds: Money to cover first insurance payment. Some companies do not accept MasterCard/Visa for payment.
You can pay by check.
4. Driving History: Some insurance companies WILL NOT sell you COLLISION/COMPREHENSIVE insurance
unless you bring proof of your home country driving history or obtain a US license.
Although this is no longer being recognized, do bring a government issued letter from your Dept. of
Transportation or Motor Vehicles Dept. back home AND/OR your Automobile Insurance Company back home
stating your driving history. Your Driving History should include date of issue, date of expiry, name of license
holder and refer to your driving record.
INSURANCE TERMS: Types of Insu